Bond Cancellation Fees
Category Advice
As a service to clients who may be selling their home, we suggest that early in the process you check with your bond holder what their terms and conditions are regarding fees for the cancellation of your bond. Each person's bond conditions are individual to them but recently it has been our experience that banks are charging 3 months interest as a cancellation fee and this gets deducted when the bond is cancelled ie when you have sold your home.
In most cases banks require 3 months notice that you intend to cancel the bond and if this notice is given cancellation fees do not apply.
in the event of your house taking longer than 3 months to sell, your bond does not get automatically cancelled and will remain in place until the property is sold. However if you withdraw the property from the market it is good practice to inform your bank that your notice for cancellation be withdrawn.
For your information banks home loan call centres can be contacted as follows;
Standard 0860 123 001 Nedbank 0860 555 111
FNB 0860 334 444 / homeloanscancellations@fnb.co.za ABSA 0860 023 646
Author: Tyson Properties
