Bond Consolidation Criteria

Qualifying Criteria Bond Consolidation?

Any Home Owner with available equity in their property is eligible for Bond Consolidation. This includes non credit worthy consumers as well as Home Owners that are currently under Debt Review. There are other specific criteria that we look at to determine if you qualify.

Let's Grow Together with Bond Consolidation

While anyone can apply for Bond Consolidation even if they are not credit worthy, have adverse notices on their credit reports or are currently under Debt Review, there are still other important factors to consider before applying..



  1. Only existing registered Home Owners can apply. We do not offer new Home Loans.

  2. There must be enough equity available in the property to consolidate all of your debt. We do not consolidate debt in part.

  3. Permanently employed for at least 3 Months.

  4. Affordability. There must be enough available income after living expenses to service the new monthly bond installment.

  5. Total living expenses should not exceed Income.

  6. You must have a valid South African bank account into which your salary is paid each month. Statements will be requested.


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Bond Consolidation is an option that is available to existing home owners who have built up equity in their property and can therefore use this Equity to settle short-term unsecured debt and vehicles. What is Equity and how much do I have? Equity is the difference between the current value of your property and what you still owe on it.

Financial Stability through Bond Consolidation

With personal debt levels rising in South Africa, many Home Owners have turned to Bond Consolidation in an attempt to better their financial situation.


This is done by accessing the available equity in the property.


Available equity is the difference between the outstanding Bond and the current Market Value of the property. This difference is used to Consolidate higher interest unsecured short term debt like clothing accounts, credit cards, loans, overdrafts and Revolving Credit Plans, as well as secured short term debt like vehicles.

The opportunity also exists to access the equity renovations, instead of financing renovations with large high interest loans.


Short term debt is consolidated into the home loan at lower interest rates and longer terms, reducing the overall monthly repayment to debt and therefore freeing up income for living expenses.


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How does Bond Consolidation Work?

Short term unsecured debt is typically granted at high interest rates of around 25%. Home loans typically attract lower interest rates of around 10%. This means that you will save a significant amount of money by settling debt with a Bond Consolidation Loan.

Bond Consolidation improves your Financial Future when you need it most

Make sure you have Equity in your Home Loan


The outstanding balance is less than the original bond that was granted. Let's say that 10 years ago you bought your property for R500.000. The outstanding bond is now only R200,000. You have access to R300,000.00 to consolidate debt.


The value of your property has increased since you bought it. Let's say that 10 years ago you bought your property for R500,000.00. The property is now worth R800,000.00. You have access to R300,000.00 to consolidate and settle debt.


We only grant 70% Bonds. Therefore if the property is worth R1000,000.00 now then a bond of R700,000.00 will be granted.  Make sure that the difference between what is owing and what we grant you is enough to consolidate all of your debt.

We will only consider granting you the Bond if all of your debt is settled in the process.

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What does Bond Consolidation Cost?

The cost to extend your Home Loan is dependent on the amount of debt that you need to settle and consolidate. Bond Consolidation costs are included in the Second Bond and there are no out of pocket costs.

We are making more possible for you with Bond Consolidation

Costs for Bond Consolidation are based on the amount of debt you need to consolidate and therefore on how much we need to extend the Bond by.



1. The amount of debt you need to consolidate.

2. The Bond you are applying for.

3. Whether you want to add renovation expenses

4. The Prime Lending Rate at the time of Application.

We don’t use a ‘computer-says-no’ algorithm. We get to know each and every consumer and their specific needs. So if your financial criteria doesn’t fit the strict criteria of many other institutions, you could have more success here. After all, we want to say ‘yes’ to helping you get out of debt and prosper.


Once the assessment is complete and pre-approval granted for Bond Consolidation, we will make an appointment with you to discuss all the costs involved. The Bond Consolidation Application will only proceed once you understand the costs and we have also covered all questions in a satisfactory manner .


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Benefits of Bond Consolidation?

Refinancing your home loan to consolidate debt can save you money in the short term due to the lower interest rate that you will be paying monthly. It is also significantly easier to manage your home loan repayment instead of multiple repayments.

You can Achieve more with Bond Consolidation

One of the most obvious benefits of Bond Consolidation is the fact that your current monthly repayment to debt is reduced through lower interest rates and longer terms.


  • You do not have to be Credit Worthy to qualify.

  • Any negative listings on the Credit Report are removed - including adverse notices, late payment history, Debt Review notice and judgements.

  • The Credit bureaus will show that each account has been settled or paid up.

  • Debt is reduced through lower interest rates and longer terms. .

  • Combine several credit facilities into one easily managed payment, even though each facility has it's own terms, monthly fees and interest rates.

  • Managing one loan repayment instead of several loan repayments each month reduces stress levels.

  • Your credit score will improve.

  • You can apply for credit again after 12 months.


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