Vehicle Loan Repayments

M

MikyMouse

Senior Member
Joined
Jan 11, 2011
Messages
803
Reaction score
3
Location
Johannesburg
Hi all,

So I've just signed a new car loan agreement with Wesbank over 48 months and from what I understand from the finance lady that I dealt with I cannot change the loan period or the repayment amounts going forward. She explained that all I can do is make lump sum contributions which would reduce my monthly repayments (over the same term).

So what I want to know is how do you get around this and pay in more each month? I was thinking the only way is to let my repayments go off as normal and then setup an automatic online payment each month for the additional funds (R500 or so). Do any of you do this with Wesbank?

I've heard that I need to call them and tell them to "capitalize" these additional contributions, but does this need to be done each and every time I do an additional payment?

Thanks!

Oh and Wesbank doesn't seem to have an app, can you access your car loan through FNBs app even if you're not an FNB client?
 
When you make a contribution, you need to let them know that you did.

You then have the option to reduce your monthly payment and keep the term the same, or just have them take the lump payment against the outstanding amount. That way the payments remain the same but the term is reduced.
 
whatwhat said:
When you make a contribution, you need to let them know that you did.

You then have the option to reduce your monthly payment and keep the term the same, or just have them take the lump payment against the outstanding amount. That way the payments remain the same but the term is reduced.
Click to expand...

Ah I see. What a pain to have to call them each and every month though
 
whatwhat said:
When you make a contribution, you need to let them know that you did.

You then have the option to reduce your monthly payment and keep the term the same, or just have them take the lump payment against the outstanding amount. That way the payments remain the same but the term is reduced.
Click to expand...

Why should anyone let them know when x amount was paid towards the loan? Certainly the money should be allocated/deducted from the outstanding capital amount and then interest recalculated and charged on the outstanding capital amount.
 
Tikkop said:
Why should anyone let them know when x amount was paid towards the loan? Certainly the money should be allocated/deducted from the outstanding capital amount and then interest recalculated and charged on the outstanding capital amount.
Click to expand...

Because there are two options at play. They don't know which one you wanted.
 
whatwhat said:
Because there are two options at play. They don't know which one you wanted.
Click to expand...

The op already said the term won't be reduced, therefore only the capital remain to be reduced.
 
The sooner you realise that the banks are all out to shaft you, the better.

I think what will happen if you don't call them to capitalise is that your next debit will be reduced by the amount you paid extra. Note that I am not sure of this. I know with ABSA, when i had a loan it would automatically capitalise within 2 business days.
 
Tikkop said:
The op already said the term won't be reduced, therefore only the capital remain to be reduced.
Click to expand...
The lady was wrong.

It can be the term or the capital. And they don't know which, so you'll have to phone them and let them know.
 
When you pay into a wesbank account you reduce the term.
 
Just request to change your debit order and they automatically do the rest.

Or just pay it manually every month if you like.

This lady is a retard it explained it badly.

I just paid mine off in 2.5 years instead of 5. Never called anyone, just updated debit order.

The extra goes and sits in an advance amount column that virtually subtracts from the capital balance.
 
SauRoNZA said:
Just request to change your debit order and they automatically do the rest.

Or just pay it manually every month if you like.

This lady is a retard it explained it badly.

I just paid mine off in 2.5 years instead of 5. Never called anyone, just updated debit order.

The extra goes and sits in an advance amount column that virtually subtracts from the capital balance.
Click to expand...

Thanks, I couldn't believe that it'd be anymore complex than that. I'll give them a call on Tuesday and find out what the deal is.

SauRoNZA said:
It just gets added at the bottom with your other loan accounts like your home loan and such.
Click to expand...

Ok cool. I presume that you can get the app even if you're not an FNB client but a Wesbank one?
 
You must log in or register to reply here.
Back
Top
Sign up to the MyBroadband newsletter
X