Debt collection or harassment? Consumers’ rights vs debt collectors’ rights

With an estimated 10 million South Africans more than three months behind on their bills, they are almost guaranteed to receive frequent calls about making payment arrangements.

While debt collection can be a stressful occupation and a target-driven industry, there is a fine line between doing a job and harassment.

According to the Council for Debt Collectors (CFDC), customers should not be contacted before 6am, after 9pm, or on Sundays.

Not making payments on an account is not grounds for collectors to humiliate, embarrass, harass or threaten a person.

Customers’ rights regarding debt:

•     Request for proof of registration, which can be provided to the company by the CFDC

•     Consumers can request legal advice before signing any documentation. Signing a document is an acknowledgement of debt and can have significant financial consequences

•     They are to be treated with dignity

Debt collectors’ rights:

•     Are permitted to contact you regarding the outstanding payments

•     Allowed to charge the prescribed fees for the work done in collecting a debt

Source: CFDC | Frequently Asked Questions

HAVE YOUR SAY