Tag Archivesnational credit act

Reckless Credit: Obligations of the Credit Provider and Consumer

The National Credit Act No. 34 of 2005, as amended from time to time, (hereinafter called “the Act”) first introduced the concept of reckless credit or lending in South Africa. The Act aims to promote responsible credit granting and use, and for that purpose prohibits reckless credit granting by credit providers. Upon reading the preamble […]

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The National Credit Act and your Debt Review: How does it really work?

The subject of credit and over-indebtedness remains an important and deeply concerning topic in the current economic climate in South Africa. Over the years we have seen consumers incurring debt, not only to live exorbitant lifestyles above their means, but to actually for day to day financial survival. On the flip side of the coin – credit […]

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Threshold for registering as credit provider possibly reduced

In terms of Section 42(1) of the National Credit Act 34 of 2005 (the Act), the Minister of Trade and Industry can determine and publish the principal debt threshold for registration as a credit provider. The previous threshold was a principal debt of R 500 000.00. This means any credit provider with a principal debt of […]

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Legal exceptions– what are those fancy Latin legal phrases and are they allowed?

When entering into a credit agreement the consumer is often faced with an agreement which contains firstly a great deal of legal jargon and secondly Latin phrases which are unknown to the consumer. In this article we will briefly discuss some of the Latin legal exceptions that you could incur. In terms of the National […]

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Know your rights with regards to your credit record and the credit bureau

Consumers on a daily basis find that their hands are tied when dealing with the credit bureau and the information contained on their credit record. For many people this only becomes a reality or to their knowledge when they apply for credit. Since the commencement of the National Credit Act, Act 34 of 2005 as […]

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