To buy a car in South Africa you need to be able to pay for it (in cash or through approved finance), and then you must transfer the registration into your name. On a sale the seller completes the notification of change of ownership (NCO) form and hands you the registration certificate, you complete the registration of licensing of vehicle (RLV) form, and you submit the forms at the registering authority within 21 days of buying the car (see the gov.za guide to changing vehicle owner particulars).
The sections below cover what you need to be approved for finance, the documents on both the purchase and registration sides, and how to get ready.
Eligibility Requirements at a Glance
- Cash buyers have no credit requirements. A dealer such as WeBuyCars asks South African cash buyers for an ID or driving licence and proof of physical address not older than 3 months.
- Finance buyers must pass the lender’s approval. Each lender sets its own criteria, and no official minimum credit score is published.
- The vehicle must be roadworthy. It is the buyer’s responsibility to make sure of this, and a roadworthy certificate is needed when ownership changes.
- Company buyers must also submit a certificate of incorporation or name change under the Companies Act, or a founding statement.
Income and Affordability Requirements
If you finance the car, the lender must verify your income before granting credit. For a salaried consumer the National Credit Regulator’s rules say the lender should request your latest three payslips or bank statements showing three salary deposits (see the NCR affordability assessment regulations). Have these ready before you apply.
Credit and Financial Requirements
The lender must consider all your existing debt repayments as shown by a registered credit bureau, so your existing loans, cards and accounts affect both approval and the rate you are offered.
You can check your record first. You are entitled to one free credit report a year from each registered credit bureau and can dispute errors with the bureau, then escalate to the Credit Ombud or the NCR (see the NCR credit report poster).
Some dealers add conditions to financed cars. For example, WeBuyCars finances only Category A vehicles and requires a warranty if the manufacturer’s warranty has expired or is about to. Ask any dealer what conditions apply before you sign.
Documents and Verification Required
To buy the car
Documents depend on how you pay. As an example, WeBuyCars asks a South African finance buyer for a signed application form, a copy of your ID, your driver’s licence, 3 months’ payslips, 3 months’ stamped bank statements and proof of address not older than 3 months, as originals or certified copies (see its buying FAQ). Another lender or dealer may ask for different documents.
To register the car in your name
- The registration certificate, handed to you by the seller
- The NCO form completed by the seller and the RLV form completed by you
- A roadworthy certificate. By law one is required for a change of ownership.
- Your identification, as required by the registering authority
- For a company, the certificate of incorporation, name change or founding statement
The registering authority may also ask for proof of your right to be registered, such as an invoice or sales agreement. A certificate of roadworthiness is obtained at a testing station using form ACR, your ID or licence and the prescribed fee (see the Western Cape roadworthiness guide). Some offices may ask for proof of address, so check with your local registering authority.
How to Apply and Improve Approval Readiness
- Check your credit reports and correct errors before you apply for finance.
- Gather three months of payslips and bank statements, and a recent proof of address.
- Get the registration certificate from the seller and check that the seller completes the NCO form.
- Arrange a roadworthy certificate, since it is the buyer’s responsibility to make sure the car is roadworthy.
- Submit the forms at the registering authority within 21 days of buying the car. Applications there are processed on the same day.
- Ask your local licensing office for the current registration and licensing fees, which are set by province.
Frequently Asked Questions
What documents do I need when buying a car in South Africa?
Buyer and seller complete the NCO and RLV forms, the seller hands over the registration certificate and you supply identification and a roadworthy certificate, filed within 21 days. If you are financing, expect to give your ID, driver’s licence, three months’ payslips and bank statements, and proof of address. Cash buyers at a dealer typically need an ID or licence and proof of address.
Do I have the same rights buying privately?
The registration steps are the same. Whether a private seller or a dealer sells to you, the buyer is responsible for making sure the car is roadworthy, so have it inspected and tested before you pay.
How long do I have to register the car after buying it?
The buyer must submit the forms at the registering authority within 21 days of buying the vehicle.
How much does registration cost?
Fees are prescribed by province, so ask your local licensing office. Dealers may charge their own licence and registration fee separately, so ask for it in writing.
Confirm current requirements with your registering authority and your lender. See finance and funding requirements and browse all loan requirements.