Experience with a vehicle settlement process?

[supersunbird]

Guaranteed business.

I don't know, do people ever need reason to levy penalties.

Why did the NCA stop penalties from being levied in the first place and why only on amounts under R250k?

Because it is unfair. And a 3 months wait or penalty is not that bad, you wont get even anything half as good from the cell phone companies, guess it was just to placate the big credit providers.

 

[Sinbad]

Because it is unfair. And a 3 months wait or penalty is not that bad, you wont get even anything half as good from the cell phone companies, guess it was just to placate the big credit providers.

The reason cell companies don't do it is because they've paid up front for your phone, and you are repaying that. You could end your contract with them but you would need to settle the outstanding balance on the device.

 

[KalMaverick]

The reason cell companies don't do it is because they've paid up front for your phone, and you are repaying that. You could end your contract with them but you would need to settle the outstanding balance on the device.

But the phone is free!

 

[supersunbird]

The reason cell companies don't do it is because they've paid up front for your phone, and you are repaying that. You could end your contract with them but you would need to settle the outstanding balance on the device.

Bet you if you on a 24 month Top Up 315 or whatever without a phone you will still pay a big "penalty" for trying to get out early.

 

[noxibox]

Even before the NCA Wesbank did not charge a penalty or require a notice period to pay the loan off early. They also made it easy to pay in extra, unlike Bankfin at the time.

The mobile phone companies were demanding you pay more than the cost of the phone and monthly subscription if you cancelled early. They even came up with some incredibly ridiculous arguments to justify it (rivalling Vodacom's crazy excuses for how their roll-over works).

Silly question here : what's the point of paying off the loan if you have already paid off most off the interest in the 1st two years?

The last time I financed a car was in 2008. So I'm not up to date with how car finance works these days.

Vehicle loans haven't worked the way you describe for more than a decade.