Your rights as a credit consumer in South Africa

The NCA came into effect on 1 June 2007  and  it sets out what the law is when consumers take loans or buy goods on credit.  It also provides for the establishment of the National Credit Regulator (NCR), which monitors activities in the credit market and ensures that credit providers, for example, banks, microlenders or companies selling goods on credit, comply with the NCA.

You have the right to – an understandable credit agreement in plain language.

You have the right to – a quote and a per-agreement statement, binding for 5 days.

You have the right to – advertisement and marketing which contain all information on the cost of credit

You have the right to – limited credit sales whilst  you are at work or home

You have the right to – feedback as to why a credit application was unsuccessful

You have the right to – the regulation of automatic credit limit increases

You have the right to – the prohibition of reckless credit lending

You have the right to – regulated fees and interest on all credit agreements, including micro loans

You have the right to – regulated credit bereaux and the right to one free credit report each year

You have the right to – assistance when over indebted, to negotiate with your credit provider or debt councilor

You have the right to – debt counseling to enable the restructuring of your debt.

The Act encourages consumers to resolve their complaints directly with the company, and failing that to use “alternative dispute resolution” mechanisms such as ombuds offices.

If the consumer has tried to resolve the complaint with the company and they do not give him/her the required response, then contact the relative ombudsman or related watchdog

See a list of contact details for various industries here: Click for contact details.