What a balloon payment on your new car really means for your wallet.
Zuko Komisa
As South Africans grapple with economic pressures, the use of balloon payments for vehicle financing is becoming increasingly popular, offering the lower monthly instalments.
However, financial experts are sounding a note of caution, warning that this option can have hidden costs if not fully understood.
On Drive 959’s “Pro Tip” the team focused on unpacking the true implications of this financial structure for consumers’ wallets.
The team spoke to Lebogang Gaoaketse, Head of Marketing and Communication at Wesbank, who provided scenarios illustrating when opting for a balloon payment is a smart financial move for budget management and when it’s a ticking time bomb that could lead to significant debt further down the road.
Listen to the full conversation here:
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The post Are balloon payments a budget fix or a financial gamble? – Drive 959 weigh in appeared first on KAYA 959.
