How the new National Credit Act may help protect you from fraudulent lenders

All South African credit providers are required to register under the National Credit Act to avoid clients being scammed or cheated in any loan agreement.

The blanket regulation came into effect on the 11 May this year.

Before this, a person was required to register as a credit provider under the National Credit Act 34 of 2005 (the Act), if the total principal debt owed to that party under all outstanding credit agreements exceeded R500,000 (or if they are the credit provider under at least 100 credit agreements).

Nthopeng Mokgolego Senior Legal Advisor at National Credit Regulator (NCR) says “It doesn’t matter how many credit agreements you are entering into in a year, and it also doesn’t matter the amount of loans you are granting in a year. Before you can operate legally you must be in possession off a license that is issued by the national credit regulator.”

She says the purpose of the act is to bring all credit granters under the supervision of the NCR, especially ‘mashonisa’ [unscrupulous lenders]


This article first appeared on 702 : How the new National Credit Act may help protect you from fraudulent lenders


Recommended

by NEWSROOM AI
Read More
Eskom files criminal charges against Gupta-linked Tegeta

Eskom files criminal charges against Gupta-linked Tegeta

Testifying at the Zondo Commission, Eskom's Jabu Mabuza said utility was 'the main theatre for corruption and state capture'.

[WATCH] Refentse Morake continues breaking cultural barriers through his music

[WATCH] Refentse Morake continues breaking cultural barriers through his music

The singer who says he's 'on the border of being Afrikaans and being African' joined Azania Mosaka for this week's #702Unplugged.

[LISTEN] Azania in conversation with Khanyi Mbau ahead of 'Red Room' premiere

[LISTEN] Azania in conversation with Khanyi Mbau ahead of 'Red Room' premiere

In the movie Mbau plays Zama Marawa, the wife of a wealthy man who loses everything.

Reports that Eskom has put the army and police on standby are disturbing - Numsa

Reports that Eskom has put the army and police on standby are disturbing - Numsa

There are reports of a possible pushback from unions over potential retrenchments.

What happens to our bodies if we cut out sugar

What happens to our bodies if we cut out sugar

Naked Scientist Chris Smith explains.

Fraudulent debit orders: How to get your money back

Fraudulent debit orders: How to get your money back

Her are some tips on how to stop the debit order and get your money back.

Popular articles
‘We’d be crazy to copy! Sometimes we get it wrong. There's no culture problem'

‘We’d be crazy to copy! Sometimes we get it wrong. There's no culture problem'

The Money Show’s Bruce Whitfield interviews Ian Moir, CEO at Woolworths.

'R23 million for rent a month seems huge. I don't think we could've done better'

'R23 million for rent a month seems huge. I don't think we could've done better'

The Money Show’s Bruce Whitfield interviews Adrian Gore, founder and Group Chief Executive Officer at Discovery Limited.

[VIDEO] Muizenberg pedestrian attacked in broad daylight

[VIDEO] Muizenberg pedestrian attacked in broad daylight

A woman was attacked on her way to work earlier this month.

'Tourist who survived 20m fall on Table Mountain is the luckiest man alive'

'Tourist who survived 20m fall on Table Mountain is the luckiest man alive'

Incident commander Roy Schoor says the man fell 20m and landed on a section of a cliff. His cry was heard by someone in Camps Bay.

'Bring back skilled engineers to Eskom' - Solidarity

'Bring back skilled engineers to Eskom' - Solidarity

Trade Union Solidarity says it supports Pravin Gordhan's idea that technicians who used to work for Eskom should be brought back.

Criminals targeting homes with aluminium windows, warns neighborhood watch

Criminals targeting homes with aluminium windows, warns neighborhood watch

The Panorama, Welgelegen and Plattekloof Neighbourhood Watch has identified a new house break-in trend.