BANK PENALTIES AND CANCELLATION FEES
ABSA:
Penalty is charged if the bond is cancelled within 2 years.
The penalty amount is approximately 1% of the outstanding balance.
The waivers for cancellation fees will be considered for the following reasons:
When a client has given 90 days written notice and it has been recorded.
When a client is re-financing a new property via ABSA after the sale of existing property.
When client is compelled to sell due to financial difficulty or to avoid legal action by collections( this excludes investors & speculators)
FNB:
Penalty is charged if the bond is cancelled within 3 years.
The waivers for cancellation fees will be considered for the following reasons:
When a client has given 90 days written notice and it has been recorded.
When a client is re-financing a new property via FNB after the sale of existing property.
Three months interest, which will be calculated by the bank, is paid.
NEDBANK:
Penalty is charged if the bond is cancelled within 3 years.
The waivers for cancellation fees will be considered for the following reasons:
When a client has given 90 days written notice and it has been recorded or the client can pay finance charges.
When a client is re-financing a new property via NED after the sale of existing property.
Deceased Estates
Sequestered Estates
STANDARD:
Penalty is charged if the bond is cancelled within 3 years, a minimum period of 90 days must lapse from date of registration before a further 90 days notice can be given.
The bank reserves the right to charge interest if this criteria is not met.
The waivers for cancellation fees will be considered for the following reasons:
When a client has given 90 days written notice and it has been recorded.
When a client is re-financing a new property via STD after the sale of existing property.
NB: When client’s give notice, they must get a stamped copy of the cancellation letter from the branch, to prove that notice has been given. You can download a copy of a cancellation letter here.
BANK CANCELLATION FEES
Property with an existing bond:
1 Registered Bond R 812.40
2 Registered Bonds R 986.40
3 Registered Bonds R 1160.40
Disclaimer: Please note that this information may change from time to time. This info was relevant at time of posting to website, therefore PROPERTY NETWORK can not be held liable for any incorrect figures. They will be updated from time to time
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Penalty is charged if the bond is cancelled within 2 years.
The penalty amount is approximately 1% of the outstanding balance.
The waivers for cancellation fees will be considered for the following reasons:
When a client has given 90 days written notice and it has been recorded.
When a client is re-financing a new property via ABSA after the sale of existing property.
When client is compelled to sell due to financial difficulty or to avoid legal action by collections( this excludes investors & speculators)
FNB:
Penalty is charged if the bond is cancelled within 3 years.
The waivers for cancellation fees will be considered for the following reasons:
When a client has given 90 days written notice and it has been recorded.
When a client is re-financing a new property via FNB after the sale of existing property.
Three months interest, which will be calculated by the bank, is paid.
NEDBANK:
Penalty is charged if the bond is cancelled within 3 years.
The waivers for cancellation fees will be considered for the following reasons:
When a client has given 90 days written notice and it has been recorded or the client can pay finance charges.
When a client is re-financing a new property via NED after the sale of existing property.
Deceased Estates
Sequestered Estates
STANDARD:
Penalty is charged if the bond is cancelled within 3 years, a minimum period of 90 days must lapse from date of registration before a further 90 days notice can be given.
The bank reserves the right to charge interest if this criteria is not met.
The waivers for cancellation fees will be considered for the following reasons:
When a client has given 90 days written notice and it has been recorded.
When a client is re-financing a new property via STD after the sale of existing property.
NB: When client’s give notice, they must get a stamped copy of the cancellation letter from the branch, to prove that notice has been given. You can download a copy of a cancellation letter here.
BANK CANCELLATION FEES
Property with an existing bond:
1 Registered Bond R 812.40
2 Registered Bonds R 986.40
3 Registered Bonds R 1160.40
Disclaimer: Please note that this information may change from time to time. This info was relevant at time of posting to website, therefore PROPERTY NETWORK can not be held liable for any incorrect figures. They will be updated from time to time
Back to Costs of Buying
Go to Once off Costs
Go to Monthly Costs
