A recent article posted on Bizcommunity provided a summary of the amendments to the National Credit Act which was published on 19 May 2014.
The amendments aim to provide added protection for consumers, and places new demands on credit providers to ensure fair treatment of clients. In view of the happenings at African Bank, these measures will probably be applied quite strictly.
In brief, the amendments aim to achieve the following:
- Creditors have to perform an affordability assessment to verify that the lender can afford the loan or credit that they are applying for. If it can be proven that a creditor extended credit recklessly, the loan may be declared null and void.
- The section 129 notice that is sent to consumers to inform them that legal steps are about to be instituted against them will now provide consumers with a ten day period during which they can apply for debt review with a debt counsellor. During this period no further legal action can be taken against the consumer.
- The Termination of Debt Review clause effectively means that once an application for debt review has been set down in court by the debt counsellor, he or she is fully protected under the act.
- Once an indebted consumer has signed up with a debt counsellor to go under debt review, the creditor may not take legal action against the consumer for a period of sixty days.
- While the matter is pending in court, no legal steps may be taken until the matter has been heard. This can take a year or longer during which period the consumer is given a breather to settle his or her outstanding debt.
Moonstone has updated its study material in terms of the above. We offer training for the following industry players who, after successful completion of the written exam, will qualify for an NCA card which confirms that the holder underwent the required training successfully:
- Credit providers (including people in the motor industry and providers of personal loans, HP agreements, credit cards and revolving credit)
- Credit Bureaus
- Debt Counsellors
The updated training programme covers the Act, credit institutions, agreements, consumer rights, complaints and disputes and provides full preparation for the exam.
Please click here to download the application form containing more details as well as a registration form. Alternatively, you can phone Albert or Ronel on 021 883 8000.
Moonstone also offers the following other training:
- National Certificate: Retail Insurance (SAQA ID 49835 – NQF 4)
- Further Education and Training Certificate: Long Term Insurance Category B (SAQA ID 49649 – NQF 4)
- Further Education and Training Certificate: Wealth Management (SAQA ID 57917-NQF 4)
- Further Education and Training Certificate: Short Term Insurance (SAQA ID 66610-NQF 4)
Outsourced training delivery
• National Certificate: Wealth Management (SAQA ID 57608/66611 – NQF 5)
• Higher Certificate: Wealth Management (SAQA ID 83346/66611 – NQF 5)
For more information, please contact Ronel Nell on 021 883 8000.