Can You Borrow Money From the RAF?

Can You Borrow Money From the RAF?

If you’ve filed a claim with the Road Accident Fund (RAF), you might be wondering: Can I borrow money from the RAF while I wait for my payout?

The short answer is: No, the RAF does not offer loans or cash advances.
But that doesn’t mean you’re out of options.

1. RAF Does Not Offer Loans or Advances

The Road Accident Fund is a public entity that compensates road accident victims for injury, death, or loss of income caused by negligent driving. Its purpose is to pay out claims, not to provide loans or financial assistance while your claim is being processed.

RAF payouts can take months or even years to finalize—especially for large or complex claims. This delay often leaves claimants in financial distress, struggling to pay bills, medical costs, or basic living expenses.

2. How Bridging Finance Works for RAF Claimants

While you can’t borrow directly from RAF, you can apply for bridging finance from a private finance company that specializes in RAF claims.

What Is RAF Bridging Finance?

RAF bridging finance is a short-term loan based on your expected RAF settlement. These loans are issued by private lenders and are repaid once your claim is paid out.

Who Qualifies?

You may qualify for RAF bridging finance if:

• Your claim has already been lodged and is nearing settlement
• You have legal representation
• You can provide documentation showing the expected payout

What Can It Be Used For?

• Medical bills
• School fees
• Funeral costs
• Rent and daily expenses
• Business recovery or personal emergencies

3. Benefits of Using a Bridging Finance Provider

• Quick access to cash when you need it most
• No monthly repayments—loan is repaid from your RAF payout
• Helps ease financial pressure while you wait
• Transparent terms tailored to your specific payout situation

4. Important Considerations

Before applying for RAF bridging finance:

Ensure your attorney is aware of the loan, as repayment will be managed via their trust account

Make sure you’re working with a reputable provider

Understand the fees and interest involved