Bond Cancellation Figures

[Glammy]

We have bought a property and the lawyers keep saying they are still waiting for bond cancellation figures for the seller's bond.

Been a few weeks and it's still dragging on. Surely this shouldn't take long to get? I would think like 2 days max?

 

[Hemi300c]

Agreed it is almost immediately available.

 

[Kosmik]

If you signed a OTP, check your penalties clause, seller delaying the sale can be held liable. No reason for bond cancellation to take longer than a day or so, I think I got mine over the phone even.

 

[kab123]

Should be available immediately. However I’ve had the experience where it took 3 months…

Basically I sold my home, which was financed on a Standard Bank One Account. However by the time I sold it, the One Account was a product Standard Bank discontinued years ago. The end result was that no one knew what a One Account was, and no one new how to cancel it to obtain cancellation figures….

……Even though it’s pretty damn straight forward.

 

[RustyPrincess]

They are probably waiting out the 3 month notification period to avoid additional penalties with the bank

 

[Grubscrew]

Or the seller was in arrears or is in arrears or there was one bond for multiple properties. Or the bond cancellation atternoys haven't actually done anything since getting the instructions from the bank. Unfortunately there are sometimes when it does take a while to get the needed figures.

 

[Knowledge 101]

Bond cancellation figures are requested by the transferring attorney from the sellers bank. The turn around time is different from each bank. Usually 2-5 working days. The cancellation figure is different from the sellement figure therefore it takes more time. The seller nor the purchaser can request these figures, the request must be from a transferring attorney.

Should the seller be liable for Early termination cost, he/she can choose to wait out the 60-90 days in order to avoid these penalties. The cancellation figures are still issued with the ETC in order for Attorney's to prepare there documents, once the waiting period has laps, revised cancellation figures can be requested that excludes ETC.

If the sellers bond is under foreclosure/arrears, this can delay the release of cancellation figures with another 2 days, the bank needs to confirm legal fees from there attorneys that are attending to the foreclosure on there behalf.

As a purchaser, contact the transferring attorney to follow up.

 

[Geoff.D]

Bond cancellation figures are requested by the transferring attorney from the sellers bank. The turn around time is different from each bank. Usually 2-5 working days. The cancellation figure is different from the sellement figure therefore it takes more time. The seller nor the purchaser can request these figures, the request must be from a transferring attorney.

Should the seller be liable for Early termination cost, he/she can choose to wait out the 60-90 days in order to avoid these penalties. The cancellation figures are still issued with the ETC in order for Attorney's to prepare there documents, once the waiting period has laps, revised cancellation figures can be requested that excludes ETC.

If the sellers bond is under foreclosure/arrears, this can delay the release of cancellation figures with another 2 days, the bank needs to confirm legal fees from there attorneys that are attending to the foreclosure on there behalf.

As a purchaser, contact the transferring attorney to follow up.

You seem to have a good handle on these things. Some advice please.
How long should it take a bank to reply to a request for and existing bond to be settled? The settlement amount calculated and the bond paid and completely cancelled?

Must an Attorney handle such a request or is it simply between the Bank and the property owner?

 

[Funie]

You seem to have a good handle on these things. Some advice please.
How long should it take a bank to reply to a request for and existing bond to be settled? The settlement amount calculated and the bond paid and completely cancelled?

Must an Attorney handle such a request or is it simply between the Bank and the property owner?

What best can I do as I didnt notify the bank with 90days waiting period.

 

[The_Mowgs]

What best can I do as I didnt notify the bank with 90days waiting period.

Either wait it out or pay the penalty

 

[P924]

There should be no penalty unless the bond is younger than 6 months. The penalty will not be more than the interest you would pay by waiting 90 days - paying the penalty and waiting will cost you the same.

 

[Jehosefat]

There should be no penalty unless the bond is younger than 6 months. The penalty will not be more than the interest you would pay by waiting 90 days - paying the penalty and waiting will cost you the same.

The age of the bond does not matter. The penalty fee is 90 days interest minus the notice period you gave.

 

[rietrot]

The age of the bond does not matter. The penalty fee is 90 days interest minus the notice period you gave.

Some banks charge a flat 3 months fee and don't minus the notice period you gave if you cancel inside of that period.

People should just make sure they notify the bank in time to avoid any penalties. If you intend to sell your hose. There is no obligation if you give notice but don't end up selling.

 

[Jehosefat]

Some banks charge a flat 3 months fee and don't minus the notice period you gave if you cancel inside of that period.

People should just make sure they notify the bank in time to avoid any penalties. If you intend to sell your hose. There is no obligation if you give notice but don't end up selling.

I'm fairly certain that that's against the NCA but I could be wrong.

 

[rietrot]

I'm fairly certain that that's against the NCA but I could be wrong.

I think it was Nedbank. But old info so might have changed.

 

[supersunbird]