Debtfree Magazine Issue 11 of 2021

NCR DROP CASE AGAINST
CREDIT PROVIDER WHO
TOOK ADVANTAGE OF
THOUSANDS OF POOR
SOUTH AFRICANS
In 2014, Moneyline Financial Services got into trouble with
the National Credit Regulator (NCR) over recklessly lending
credit to people who were receiving child grants.
The NCR said the credit was reckless because the credit
provider should not have taken the child grants into account
when working out how much the consumers could afford
to pay each month. As a result, the NCR took the matter to
the National Consumer Tribunal (NCT) and asked for fines
and deregistration.
Moneyline Financial Services is a subsidiary of Net1, the
people who were handling SASSA payments for Government
at the time. Many consumers, who were recipients of grants
at the time, began complaining that they were seeing
deductions come off their grants and bank accounts before
they were able to make any withdrawals.