Everything you need to know about how to pawn a vehicle in South Africa

Are you still trying to borrow money from micro-lending companies or banks with no success? Did you know that you can pawn a vehicle without the credit checks and lengthy application processes required by banks? Did you know that you can complete the application process in 30 minutes and have the cash in your bank account the same day?

To help you make an informed decision about borrowing money, let us answer the questions you may have on how to pawn a vehicle in South Africa.

pawn a vehicle

How much can you borrow?

The amount that can be borrowed depends on the assessed trade value of the vehicle. You can borrow between R5 000 and R250 000 from us at XCELSIOR. The amount is not based on your income or any other type of security.

Which types of vehicles can be pawned?

You can borrow against a motorcycle, caravan, boat, trailer, bakkie, passenger car, or a truck.

Why can you not pawn it and drive it?

The NCR has stated that it is illegal to pawn a vehicle and still drive it. Any adverts to the effect are thus illegal and most probably scams. As a registered credit provider, we adhere to the national regulations regarding loans.

How does storage work?

The car is placed in safe and highly secure storage for the duration of the loan agreement. It is not driven for the entire period and is thus not subjected to wear and tear associated with usage. The facility includes 24/7 security, camera monitoring, access control, and perimeter fencing are in place. The car is protected against vandalism, theft, and environmental factors. It is also insured for the duration of the loan.

If no credit checks, what do you need?

The vehicle must be registered in your name or your business’ name. It must be paid up. You cannot borrow against an asset that is not yours. As such, we require the original registration papers as proof of ownership, your ID, and a valid South African driver’s licence. If the car is registered in your business’ name, you need the original car registration papers, the identity documents of all the directors, and the company registration papers.

What don’t you need?

You do not need a good credit record, proof of income, proof of residence, and to state the reason for borrowing money.

What if you want to repay the loan in a shorter period?

With no penalties for early settlement, you can pay off the amount at an earlier date.

How does the application process work?

Complete the online enquiry form. A consultant will call you. You provide the required documents, the asset trade value is assessed, and an amount is offered. If approved, the amount is paid to your bank account. The process is quick, and you can have the money directly after approval.

How long does it take to pay back?

XCELSIOR provides short-term loans.

What next?

Fill in the online enquiry form for more information about how to pawn a vehicle or to get started.

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