Consumers take battle to the banks

SWINDLED consumers are banding together to stop banks from giving the thumbs up for loans used in the so-called ‘R699 car scam’.

The ‘Drive a New Car from R699 a Month’ project has been a popular option for motorists wanting to afford a new car while acting as advertising service providers.

However, many were left highly disappointed with faulty vehicles straight from the panel beaters and not getting paid as promised.

In July, the company behind the initiative, Satinsky Group, stated on its website that it has dissolved its management agreement with media platform company, Blue Lakes Trading and Promotions Ltd. and confirmed R699 car owners would not be paid according to the two options they signed up for.

Now community activist Simon Lapping said groups of consumers will ‘descend’ on banks on Saturday to ensure the financial institutions comply with the Access to Information Act.

‘Some banks pre-approved loans without any signature on any application forms, which were then signed at the time the vehicles were delivered along with an ultimatum that failing to sign for the vehicles would lead to a penalty in the region of R20,000,’ said Lapping.

‘About 95 % of the application forms that I have seen clearly shows that certain pertinent details were altered to allow the application for finance to be approved, particularly the disclosed income and expenses part of the application forms.’

Lapping said a number of people have been denied access to their application forms by the banks for reasons unknown to them.

‘Under the Access to Information Act, every citizen in this country has a right to information pertaining to their loan application and no bank has the right to take this away from them,’ said Lapping.

‘We have been compelled into a situation whereby our rights have been infringed upon and therefor have decided to start forcing the banks to comply.’