Selling your home? Tell your bank first
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When you sell, your bond has to be cancelled. A buyer can't take ownership while your bank still has a claim over the property.
But this is what catches people out.
If you haven't given your bank three months' written notice that you intend to settle, it can charge you up to 90 days' interest on what you still owe. On a million rand outstanding, that's around R25 000.
Give the full 90 days’ notice and the charge falls away.
So email your bank the day your house goes on the market, not the day you accept an offer. And renew it in three monthly intervals until transfer is done.
But this is what catches people out.
If you haven't given your bank three months' written notice that you intend to settle, it can charge you up to 90 days' interest on what you still owe. On a million rand outstanding, that's around R25 000.
Give the full 90 days’ notice and the charge falls away.
So email your bank the day your house goes on the market, not the day you accept an offer. And renew it in three monthly intervals until transfer is done.
