HOMELOANS AND FOREIGN MARRIAGES: ABSA AND FNB SPECIFIC REQUIREMENTS
Category General News
HOMELOANS AND FOREIGN MARRIAGES: ABSA AND FNB SPECIFIC REQUIREMENTS
We have received indication from both ABSA and FNB that where a client’s marriage is governed by the laws of a foreign country, these banks require that the bond must be registered in the name of both spouses and that the application submitted needs to be by both spouses notwithstanding that the spouse applying for the financing may have sought to take out the loan in his or her own name.
The consequence is that if a loan is sought in respect of the purchase of immovable property from FNB or ABSA, such a purchaser will have to involve his or her spouse as co-purchaser and Co-Applicant, so that the bond that is registered can then reflect both owners as debtors of ABSA or FNB, whichever is applicable.
Keep this in mind when concluding agreements with purchaser(s) whose marriage is governed by the laws of another country.
Author: Welgedacht Properties
