WesBank has urged South African motorists weighing up whether to keep or replace an ageing vehicle to base the decision on its full monthly running cost rather than on a single repair bill measured against a finance instalment. The advice comes as the cost of keeping a car on the road continues to climb despite lower headline inflation.
According to Statistics South Africa, consumer inflation cooled to 4,3% in July 2026, down from 5,0% in June. Annual transport inflation sat at 8,9% over the same month, and petrol remained 19,3% more expensive than a year earlier. WesBank notes that age alone says little. A consistently serviced ten-year-old vehicle covering modest distances can be considerably cheaper to run than a five-year-old one that spends every second month in a workshop.
How to calculate the true monthly cost
Owners are advised to add up everything the vehicle cost over the past twelve months, including services, tyres, brakes, batteries, unscheduled repairs, insurance premiums, licence renewal and fuel, and divide the total by twelve. Where records are patchy, a reasonable estimate is still more useful than a guess based on the instalment alone. A replacement carries an instalment but also lower repair exposure, often a warranty or service plan, and generally better fuel consumption.
“Owners tend to compare a repair bill against a monthly instalment, and that comparison is incomplete,” says Lebogang Gaoaketse, Head of marketing and communication at WesBank. “Once you add all of it up and divide by twelve, you have a number you can actually make a decision with.”
Reliability risk once warranties expire
Once a vehicle is out of warranty and past its service plan, the owner carries the full risk of every failure. WesBank points to repeat faults on the same system, time off the road where the car supports an income or the commute to work, and parts availability on older models, where lead times can stretch. Repairs funded on short-term credit or a credit card make keeping the vehicle more expensive than the invoice shows. Replacement may be the better choice when twelve months of repairs amount to a meaningful share of the trade or resale value, when safety-critical items such as tyres, brakes, suspension or a timing component fall due, when fuel consumption drifts upward as the engine ages, or when the running cost sits close to a replacement instalment.
WesBank advice on affordability and finance
For those who do replace, Gaoaketse says affordability is the starting point, adding that “stretching the term to force the instalment down makes the vehicle more expensive over its life.” Buyers are advised to establish the full monthly commitment, including insurance and running costs, before shopping, to use a repayment calculator to test deposit and term combinations, and to compare finance options before applying. Where the current vehicle still holds value, it can reduce the amount that needs to be financed.
Supplied by MotorPress (WesBank)
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