The National Credit Act is a complicated piece of legislation that many experts have written and argued about to a great extent. It is confusing and difficult and, simply put, a thorn in the side of many a credit provider.
If you are credit provider, you need to familiarise yourself with the legal implications thereof. It is essential to do lest you wish you had done it earlier.
The need to remind Mbombela’s credit providers of this fact was emphasised to Nelspruit Post when two local businesswomen appeared in the Nelspruit Magistrate’s Court for contravening Section 133 of the National Credit Act. Esmarelda de Ameida (32) and Deidre van Rooyen (36) were clearly distraught when they were accused of contravening these sections of the act on Friday. They cried throughout other proceedings while awaiting their turn to appear before the magistrate.
Section 133 of the Act, read with section 90(2)(1) states that no credit provider is allowed to require a consumer to deposit an identity document, bank card, bank account, ATM access card, access code or similar document, device or code in order to obtain credit or to access this credit. It is also illegal to use any of these documents or numbers to enforce the agreement.
Both accused were released on bail of R500 and the case was postponed to December 15.
Before your failure to adhere to this legislation dampens your festive season, be sure to study the National Credit Act if it applies to you. The National Credit Regulator offers various courses on it and its contents – visit www.ncr.org.za for more information.
