According to WesBank, South African motorists should weigh a full monthly running cost, not a single repair bill, against a new instalment before replacing an ageing car. The advice comes as the cost of keeping a car on the road continues to climb despite lower headline inflation. Consumer inflation cooled to 4.3% in July 2026, down from 5.0% in June, while annual transport inflation sat at 8.9% over the same month.
WesBank notes that age alone is not a determining factor in deciding whether to keep or replace a vehicle. 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. The financial institution advises owners 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.
To calculate the true monthly cost, owners should divide the total cost 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. Lebogang Gaoaketse, Head of Marketing and Communication at WesBank, says owners tend to compare a repair bill against a monthly instalment, and that comparison is incomplete.
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. Gaoaketse emphasizes that affordability is the starting point for those who do replace their vehicle.
For those replacing their vehicle, WesBank advises establishing the full monthly commitment, including insurance and running costs, before shopping. Buyers are advised 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.
Ultimately, WesBank's advice aims to help motorists make an informed decision when deciding whether to keep or replace an ageing vehicle. By considering the full monthly running cost and weighing it against a new instalment, owners can make a more accurate assessment of their financial situation and make a decision that suits their needs.
Key points
- Consider the full monthly running cost of a vehicle, not just a single repair bill, when deciding whether to keep or replace it.
- Age alone is not a determining factor in deciding whether to keep or replace a vehicle.
- Replacement may be the better choice when twelve months of repairs amount to a meaningful share of the trade or resale value.
