Nedbank Zim relaunches car loans for individuals & companies

Valentine Muhamba Avatar
Nedbank Zimbabwe Vehicle Asset Financing Car Loan Loans

The second-hand car market has been effectively neutered by SI 89 of 2021 which banned the importation of second-hand vehicles over 10-years old. This is meant that the ordinary Zimbabwean who dreamt of getting an affordable ex-Jap would now have to contend with the scalpers at the car dealerships. One of the things I banged on about when the government announced the ban was the lack of car loans or specific vehicle financing.

There are a number of products on the market, including short term loans but nothing from what I could see browsing the interwebs was specifically for cars (also if you know of any hit me up in the comments). However, and in a good turn of events, Nedbank Zimbabwe relaunched its Vehicle Asset Financing facility.

The company yesterday, put out a tweet outlining the terms and conditions for vehicle loan financing or car loans.

Nedbank Zimbabwe car loan terms

I guess the obvious thing is that you have to be a Nedbank account holder to be eligible for its vehicle financing facility. You will, as I am sure you’ve already guessed, have to have a salary that comes into your account as well as:

  • Completing a Nedbank Vehicle Finance application form.
  • Assessment of stability of employer is carried by the Bank.
  • Satisfactory account conduct by applicant.
  • Copy of current payslips and financial statement in case of a Corporate applicant.
  • National identity or incorporation documents in case of a Corporate.
  • Letter from employer (Human Resources Manager/Head) supporting the request and confirming that one is permanently employed.
  • Proof of residence.
  • Copy of Driver’s license.
  • Credit checks – KYC, FCB, CRB and World checks.
  • Pro-forma invoice from an Authorised Dealer.

The vehicle can be new or pre-owned however, for pre-owned vehicles Nedbank says only Nissan, Toyota, Ford, Chevrolet, Isuzu, Mazda Landrover and Mercedes Benz models are eligible for a car loan. In addition, Nedbank also says in its brochure that it does not finance “grey” imports.

Below are the vehicle loan terms for individuals and corporates:

Personal car loans terms

TERMSBRAND NEWPRE-OWNED
Upfront Deposit requirement20%Minimum 20% for <5years
Tenure maximum36 – 60 months36 months
Once-Off Admin fees1%1%
Arrangement fees (once-off)2%2%
Credit Insurance3%3%
LimitZWL8,500,000ZWL6,000,000

Corporate car loan terms

NEW VEHICLES PURCHASED THROUGH AUTHORISED CAR DEALERSPRE-OWNED VEHICLES WHICH ARE BELOW 5 YEARS, PURCHASED THROUGH AUTHORISED CAR DEALERS.
Maximum AmountPegged in line with turnoverPegged in line with turnover
Deposit20%30%
Repayment periodCurrently up to 18 monthsCurrently up to 18 months
InterestMLR 40% p.a + marginMLR 40% p.a + margin
Arrangement FeeUp to 5% Flat upfront.Up to 5% Flat upfront.
Administration FeeUp to 5%Up to 5%
Authorised Dealer’s & AA reportsNot requiredRequired
CVR, Interpol & Vehicle Theft Squad clearanceNot requiredRequired
Full Comprehensive InsuranceRequiredRequired

You can download Nedbank Zimbabwe’s vehicle financing brochure with the link below:

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8 comments

What’s your take?

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  1. kayanga

    Do you need to have account with the bank to qualify

  2. Lewis

    ZWL sounds impractical given our current exchange rate situation

  3. Captain Chirandu

    Is this facility available for civil servants

  4. Tangai Matengenyika

    I’m interested but I don’t have an account with Nedbank. Kindly assist all company documents are available.

  5. Pauline Zvidzai

    I am interested

  6. Ntombizile Setheli

    Un interested but i dont have a Nedbank account

  7. Arnold Kuimba

    i want a car to rent to buy

  8. Daniel Mutata

    Need one ore owned car but I don’t have Ned bank account