Debtfree Magazine September 2018
SA's Free Debt Counselling and Debt Review industry magazine. What do you do if someone says they are coming to take your car? Why did the NCR remove the incentive to investigate reckless credit? Industry news and more.
SA's Free Debt Counselling and Debt Review industry magazine. What do you do if someone says they are coming to take your car? Why did the NCR remove the incentive to investigate reckless credit? Industry news and more.
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RECKLESS LENDING FEE GUIDELINE<br />
ARE MANY CREDIT<br />
AGREEMENTS<br />
RECKLESS?<br />
One of the largest debt counselling firms in the country (DebtSafe)<br />
recently released a report into their investigations into reckless credit.<br />
They reported that they found thousands of probable cases of reckless<br />
lending (note: only a court or the National Consumer Tribunal can declare<br />
an account reckless – not a Debt Counsellor who can only report that<br />
something looks suspicious and why).<br />
Many Debt Counsellors only check for a single part of reckless credit: if<br />
the consumer could afford the credit at the time or not. There are however<br />
many other facets of reckless lending that are not being investigated<br />
which may actually push the incidents of this practice even higher. Many<br />
consumers do not understand the obligations they are taking on when<br />
applying for credit and contracts in South Africa are still very complex and<br />
hard to understand.
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