Windhoek
Bank Windhoek has confirmed that as of August 1 amendments to the Credit Agreement Act officially came into force.
“The amendment means the minimum deposit required is 10 percent and the maximum repayment period is 54 months on mechanically propelled road passenger vehicles designed to seat not more than 15 persons. These may differ according to the year models that clients finance,” said Sandra Blaauw, manager at Bank Windhoek’s vehicle and asset finance division.
Clients will not be able to purchase vehicles without paying a deposit and no deviations will be allowed on the repayment period either. Existing clients will only be affected if they decide to trade the vehicle and buy a new vehicle.
With regards to re-financing or restructuring motor vehicle agreements, Blaauw said: “Bank Windhoek remains a responsible lender and we are always available to try and get to a mutual beneficial agreement and although this is not common, we are available to discuss options.”
The amended Credit Agreement Act was gazetted on Wednesday, July 20.
The penalty for contravention of the new regulations has been increased to N$50 000 from N$5 000, or an amount equal to the deposit payable, as required by the Act, or imprisonment for a maximum of two years, or both a fine and imprisonment.