Repossessed cars offer the buyer a sometimes excellent bargain and can be bought at vehicle auctions arranged by banks and other financial credit providers. With the financial climate being what it is in recent times the amount of repossessions has increased significantly as thousands of people are finding it difficult to keep up with monthly car repayments. These vehicles are valeted, serviced and sold at cheap prices to the general public often at the various auctions where people get to view them and then bid against each other on price.
Caution should be taken when buying repossessed cars though as very often the vehicle has been neglected. Those that have had the bank take back a vehicle have often been struggling financially for some time and a lot of them neglect the routine maintenance or could not afford to get repairs done. Or worse still, got a backyard mechanic to do a half hearted job on repairs that were only supposed to be carried out by the dealer themselves. If possible take a mechanic with you to one of the auctions or a friend who has some knowledge on second hand vehicles and is in a position to advise you.
Some real bargains can be picked up though as banks such as ABSA, Nedbank, Standard Bank and Wesbank are often just trying to recover the outstanding money owed to them. Try to find out as much history about a vehicle that you may be interested in as you can before you start bidding. If you are new to the auction scene there is usually someone on hand to help you and often finance is also available for people to apply for when looking at and buying repossessed cars.