How We Use the National Credit Act to Protect You
The NCA is your most powerful shield. Our experts are masters of the NCA and use it to defend your rights as a borrower.
The National Credit Act (NCA) is the cornerstone of consumer protection in South Africa's credit market. It is a complex piece of legislation designed to protect you from unfair and predatory practices. At Dispute It, a deep, practical understanding of the NCA is the foundation of our success. We don't just know the Act; we use it as a weapon to fight for our clients.
Here's how our expertise in the NCA directly benefits you:
Key Protections We Enforce
1. Challenging Reckless Lending
- The Law: The NCA forbids "reckless lending." Before granting credit, a provider MUST do a proper affordability assessment.
- Our Application: We analyze the circumstances under which you were granted credit. If we find the lender failed in their duty, we can apply to have the credit agreement declared reckless. A court can then suspend the agreement or even write off the debt. This is a powerful and complex legal argument that we are experts in making.
2. Enforcing Your Right to a Clean Credit Report
- The Law: The NCA gives you the right to dispute any incorrect information on your credit report and dictates that bureaus must investigate within 20 business days. It also governs the removal of paid-up defaults and judgments.
- Our Application: We manage this entire dispute process. We know the exact regulations and prescribed forms. When a bureau or creditor fails to comply, we use the NCA as the basis for our escalation to the National Credit Regulator (NCR), forcing them to act.
3. Capping Interest Rates and Fees
- The Law: The NCA sets maximum interest rates and fees for all types of credit.
- Our Application: In every case we handle, we audit the statements to ensure you have not been overcharged. If we find any unlawful charges, we demand they be reversed and can use this as leverage in settlement negotiations.
4. Stopping the Collection of Prescribed Debt
- The Law: An amendment to the NCA makes it illegal to sell or collect on a debt that has prescribed.
- Our Application: Our experts are trained to identify prescribed debt from your credit report. We then use this section of the NCA to demand the immediate cessation of collection activities and removal of the listing from your credit report.
5. Upholding Your Right to Understandable Information
- The Law: Credit agreements must be in plain, understandable language.
- Our Application: If an agreement is ambiguous or misleading, we can challenge its validity.
Your Expert Advocate
The National Credit Act provides the rights, but it takes an expert to enforce them effectively. Creditors and bureaus have large legal departments. Dispute It acts as your personal legal and compliance team, ensuring the full power of the NCA is working for you.
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.