Our Expertise in Disputing Prescribed Debt
Our legal experts understand the nuances of the Prescription Act and have a proven track record of removing this illegal debt from credit reports.
Prescribed debt is a powerful legal protection for consumers in South Africa, but enforcing your rights requires specialized legal knowledge. It is illegal for prescribed debt to be collected or listed on your credit report. At Dispute It, we are experts in using the Prescription Act to our clients' advantage.
What is Prescribed Debt? A Legal Overview
A debt is "prescribed" if the creditor has not received payment, had you acknowledge it, or served a summons on you for a specific period.
- 3 Years for most common debts (credit cards, personal loans, store accounts).
- 30 Years for specific debts like home loans or judgment debts.
The critical detail lies in what "interrupts" this prescription period. Any payment (even R1) or acknowledgement of the debt restarts the clock. Debt collectors are trained to trick consumers into doing this.
Why You Need an Expert
Arguing prescription is not a simple administrative dispute. It is a legal argument.
The Burden of Proof: When we dispute a debt on the grounds of prescription, the burden of proof shifts to the credit provider. They must prove that the debt has not prescribed. They must provide evidence of a payment, a written acknowledgement, or a validly served summons within the legal time frame.
Navigating Collector Tactics: Debt collectors often use ambiguous language or pressure tactics. Our team handles all communication with them, ensuring you never say or do anything that could accidentally revive the debt.
Formal Legal Dispute: We don’t just claim the debt is prescribed. We log a formal legal dispute with the credit bureau, often referencing case law and the specific articles of the Prescription Act and the National Credit Act. This shows the bureau we are serious and prepared to escalate.
The Dispute It Process for Prescribed Debt
File Analysis: Our analysts examine your report to identify accounts that are likely prescribed based on the last payment dates and account history.
Cease and Desist: We immediately issue a formal instruction to the debt collector to cease all contact with you and to direct all future communication to our offices.
Dispute Lodgement: We file a formal dispute with the credit bureaus, demanding the removal of the listing on the grounds of prescription.
Enforcement: The bureau must investigate within 20 business days. Given our legally sound argument, the creditor often cannot provide the necessary proof, forcing the bureau to remove the listing.
Escalation: If the bureau fails in its duty, we immediately escalate the matter to the relevant ombudsman or regulator.
Removing prescribed debt can dramatically improve your credit score. Don't risk speaking to a debt collector yourself. Let our experts handle it and ensure your rights are protected.
The credit repair process is complex and requires specialist knowledge to ensure success. Don't risk handling it alone. Our experts at Dispute It are ready to manage your case and deliver results.