NCR clamps down on micro-lenders

By Staff Writer

Thirteen individuals have been arrested after the National Credit Regulator (NCR) and the South African Police Service (SAPS) joined forces to stop abusive micro-lenders and ensure compliance with the National Credit Act (NCA).  


“The focus of this kind of operation is primarily on credit providers who are unlawfully garnishing, retaining pension cards, bank cards, identity documents and personal identity numbers (PIN) of their clients as surety,” said Nomsa Motshegare, CEO of the NCR. “This is a contravention of the National Credit Act and it is a criminal offence,” she added.  


Eleven criminal cases were opened after the suspects were found to be in possession of 5 453 pension cards, 130 ID books and 1 720 bankcards. The effort also involved the Directorate of Priority Crimes and Investigation in Upington, Keimos, Kakamas and Groblershoop and 32 lenders were investigated.


The clampdown is part of the NCR’s ongoing strategy to ensure that all credit providers comply with the provisions of the NCA. “The exploitation of vulnerable and unsuspecting consumers by credit providers will not be tolerated,” added Motshegare.


Motshegare complimented the SAPS and the Directorate of Priority Crimes and Investigation from Upington, Keimos, Kakamas and Groblershoop for their excellent assistance to the NCR during this operation, and for their willingness to assist consumers.


“This operation was definitely not the last of its kind. Such operations are conducted nationally in different parts of the country. Credit providers should be warned that the NCR will not condone any contraventions by credit providers,” concluded Motshegare.

Recent Articles

Featured How can debt counselling keep creditors away?

Among the many benefits of debt counselling is its ability to keep creditors from hounding you, leaving you with some measure of peace while you figure out how to repay your debt.

What are debt collectors not allowed to do?

Debt - if not managed - can seem like a dark cloud looming. But, you do have rights.

Should you authorize a minor on your credit card?

If you have children who need to move around independently, it may be practical to authorize them as users on your credit card. However, is this the right thing to do?

Economic devastation sees rapid rise in debt counselling

A survey conducted by DebtBusters indicates that consumers are increasingly turning to debt counselling.

Deals

Treat Yourself Tuesdays at Piatto Restaurant & Grill

Price: R69
When: Tuesdays
Where: Johannesburg

Pick-Me-Up Package at Rouge Day Spa

Price: R895
When: Mondays to Saturdays
Where: Cape Town

Haircare Deal at Skêr Hair Salon

Price: R199
When: Mondays to Saturdays
Where: Cape Town


Latest Guide

Guide to debt rehabilitation solutions