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6 months ago

CCMA_ACCLM_2018

LEGAL

LEGAL PROCESS

Enforcement Entry point into Pre-Litigation can come from a variety of stages including the following: • Unsustainable process • Not co-operating process • ARA Failure • Any appeal must be heard and finalised prior to progressing to legal stage The MARP flag must be removed from the account as the borrower is now outside of MARP The account is still protected and regulated under the CCMA – this means that if the borrower re-engages and makes a proposal for clearing the arrears or advises that their circumstances have improved – the decision to reenter the account into MARP should be agreed with your Line Manager and rationale for same should be clearly documented on PEGA • CM submits request to Credit/Mandate to issue Demand letter • If borrower doesn’t respond to the demand letter, the account moves to “Asset Disposal” process. • Specific CCMA provisions that apply to the pre-litigation process – 57, 58 & 59 • Provisions describe how CM must treat borrowers during the legal process