Thank you for your question.
There are two ways in which the bank can take back or repo you vehicle.
- By means of court order form the high court of South Africa.
- By means of voluntary surrender in terms of the National credit Act.
Voluntary surrender of the vehicle is most credit provider’s first option. Most consumers think that they have to give the vehicle back at this point, but they do not. You do not have to sign anything. If you do sign something you are most likely signing an agreement to give the vehicle back.
If you are issued with a summons it’s a little more serious and before long the bank will have an order to repo the vehicle. In case of a summons, be present at the court hearing and present your case. Do not ignore it. If you mention to the Magistrate that you did try to negotiate a payment plan and properly explain your circumstances I am sure there will be some sort of leniency towards you. If you are not present at the court case, the magistrate will by default rule in favour of the bank.
From the sound of your situation it might be wise to consider debt review. Through debt review your instalments will be reduced and the bank will not be able to take further action against you. It’s however important that you do not wait too long. If they issue summons the account cannot be included in your debt review.
Please email your details to [email protected] and mark email as urgent.
Have a great day.