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By unknown | Jul 08, 2009 | COMMENTS [ 0 ]

STANDARD Bank's vehicle and asset finance division has agreed to help a consumer who almost lost all his assets - and his mind.

STANDARD Bank's vehicle and asset finance division has agreed to help a consumer who almost lost all his assets - and his mind.

Mandla Mkhaba, 47, was on the verge of losing his R2,5 million house, which was to have been auctioned had Standard Bank not agreed to reconsider their decision.

The total value of the property he also almost lost was R4,5 million, he says.

This includes a truck the bank had already attached.

Mkhaba's problem began in June last year when an adviser, who assisted him to complete the loan application form, ignored his request not to process the signed sale agreement until he had raised a deposit of R600000.

Mkhaba says the adviser was only too happy to get his commission and so disregarded his request and readiness to pay the required deposit.

When Mkhaba approached Consumer Line Standard Bank had already repossessed a truck (consisting of a horse and trailer and a tipper) valued at R2million and Mpumalanga Economic Growth Agency was about to attach his house because he has not repaid his loan of R500000, he says.

Mkhaba says he had secured a lucrative deal at a Mpumalanga coal mine in May last year and needed a truck to transport coal across the country.

He approached Zeal Finance, who assisted him to get a loan of R2million from Standard Bank.

When the deal was approved he only had R200000 cash, while the bank wanted a deposit of R600000.

Mkhaba says he asked Zeal Finance to keep the signed sale agreement until he had raised the required deposit and Zeal agreed but later submitted the documents without his permission.

"Since the instalment sale agreement was submitted to the bank I had no choice but to pay the R100000 portion of the deposit to a truck dealer in Ermelo to repay my monthly instalments," Mkhaba says.

His monthly instalment was R40000, which he struggled to maintain because the truck was still in the possession of the seller, he says.

The truck dealer refused to release it until he had paid the outstanding R500000.

Zeal Finance washed their hands of the matter and left him to fight this case alone.

He then asked the bank to refinance him, but Standard Bank refused.

Mkhaba later approached Mpumalanga Economic Growth Agency and was granted a loan of R500000 and paid it to the truck dealer.

By March he was in arrears of R318000 and asked the bank to restructure his repayments. The request was turned down and the truck repossessed.

"It is now stationary and collecting dust at the Nasrec Showground and I have been given 21 days to come up with R318000 before Standard Bank will release the truck," Mkhaba says

Having considered the circumstances that caused Mkhaba to default, Standard Bank has agreed to release his truck to him.

The bank's spokesperson Erik Larsen said they have agreed to restructure the repayments.

"We understand that without the truck, Mkhaba is unable to generate income and in view of this a Standard Bank representative will be contacting him shortly to try to resolve the issue," Larsen said.


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