“Based on our research and due diligence, we believe that Capitec is a loan shark with massively understated defaults masquerading as a community microfinance provider,” the report said.

Furthermore, the report called on SARB and the Finance Minister to place Capitec under curatorship.

SARB said as part of its mandate, it monitors the safety and soundness of all banks, including Capitec Bank Limited (Capitec).

“According to all the information available, Capitec is solvent, well capitalised and has adequate liquidity. The bank meets all prudential requirements,” SARB said on Tuesday.