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Articles in the Credit Law Category

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[7 Mar 2016 | No Comment | ]
Prescribed Rate of Interest Act Changes Explained

The Prescribed Rate of Interest Act (Act 55 of 1975) sets the maximum rate of interest that can be charged on mora interest (over-due payment) and is also used in court orders relating to damages claims.
Mora interest applies where payment is due and the rate of interest has not been agreed between the parties. In order for a creditor to become entitled to such interest there has to be demand made for payment or a due date for payment. The creditor is then entitled to charge mora interest from such …

Credit Law, Credit News, Featured, Headline, National Credit Act »

[2 Feb 2015 | No Comment | ]
Proposed Guidelines for “Statutory in Duplum” Interest & Charges Cap

With consumer debtor’s under pressure the government seems to focusing on the interest that they are being charged. The Department of Trade and Industry has published a PROPOSED GUIDELINES FOR THE INTERPRETATION AND APPLICATION OF SECTION 103(5) OF THE NATIONAL CREDIT ACT 34 OF 2005 (GOVERNMENT GAZETTE No. 38419 , 30 JANUARY 2015). This as a result of “uncertainty in the credit industry regarding the implementation of Section 103(5) of the National Credit Act. The National Credit Regulator therefore publishes these proposed guidelines for information and comment by the public …

Credit Law, Credit Management, Credit News, Credit Seminars, Featured »

[6 Oct 2014 | No Comment | ]
Commercial Credit Management Seminar – Durban 16th October 2014

COVERING:
With the continuing effects of the economic downturn being felt by businesses, the importance of good credit management has been   magnified and all companies credit management policies need to be reviewed and upgraded in order to avoid your company becoming a statistic of the poor economy. In addition credit management is also being impacted by the new legislation such as the National Credit Act, the Consumer Protection Act and the new Companies Act.
This is a full day seminar in Durban on the  16th  October 2014 aimed at commercial creditors (businesses who supply …

Credit Law, Credit Management, Credit News, Credit Seminars, Featured »

[6 Aug 2014 | No Comment | ]
Commercial Credit Management Seminar – Cape Town 10th October 2014

COVERING: With the continuing effects of the economic downturn being felt by businesses, the importance of good credit management has been   magnified and all companies credit management policies need to be reviewed and upgraded in order to avoid your company becoming a statistic of the poor economy. In addition credit management is also being impacted by the new legislation such as the National Credit Act, the Consumer Protection Act and the new Companies Act. This is a full day seminar in Cape Town on the  10th  October 2014 aimed at commercial …

Credit Law, Credit Management, Credit News, Credit Risk, Headline, National Credit Act »

[4 Aug 2014 | No Comment | ]
Draft NCA Regulations and National Consumer Tribunal Rules Published

The Minister of Trade and Industry, Dr Rob Davies, has published the National Credit Regulations and regulations for the amendment of regulations dealing with functions and rules of the National Consumer Tribunal in Government Gazette No. 37882 of 1 August 2014. The draft regulations are a result of the National Credit Amendment Act, 2014 (Act No. 19 of 2014), which was signed into law by the President on 19 May 2014.
This notice, among other things, contains affordability assessment regulations that provide criteria credit providers must adhere to before credit can …

Credit Law, Credit Management, Credit News, Featured »

[30 Jul 2014 | No Comment | ]
Prescribed Rate of Interest to change and it’s not a variable rate

 
We previously pointed out that the Prescribed Rate of Interest was set to change after having remained unchanged at 15.5% per annum from 1 October 1993.
 
It has now been confirmed that the prescribed rate of interest will be reduced to 9% on the 1st August 2014 in terms of GOVT NOTICE NO R.554 of the 18 July 2014.
 
Furthermore, and as explained previously, the Prescribed Rate of Interest Act (55 of 1975) sets the maximum rate of interest that can be charged on mora interest (over-due payment) and which is also used in …

Credit Law, Credit Management, Debt Collections, Featured, National Credit Act »

[21 May 2014 | No Comment | ]
National Credit Amendment Act of 2014 Signed into Law

 
The National Credit Amendment Act of 2014 was signed into law by the President on the 20th May 2014.
The Amended Act deals with a number of issues in terms of the National Credit Act, the most significant of which include:
• The creation of industry codes of conduct
• Removal of the minimum thresholds for registration as a credit provider in terms of the NCA
• The removal of the NCR’s board and requires the regulator to account directly to the minister of trade and industry
• The formalisation of the payment distribution agents …

Credit Law, Credit News, National Credit Act »

[9 May 2014 | No Comment | ]
No boom in car sales after credit amnesty

DAVID FURLONGER of Business Day reports:
CONSUMERS hoping a recent credit amnesty would open the door for them to buy new cars received a reality check last month, with new vehicle sales falling by 16% month on month.
Banks continued to hold the line against credit risk despite reporting a surge in finance applications after an amendment to the National Credit Act allowed some consumers to re-enter the market following previous bad-debt judgments against them.
WesBank research head Brian Mahoney reported a 6.7% increase in new-car finance applications last month, compared to April …

Credit Law, Credit News, Featured »

[9 May 2014 | 2 Comments | ]
The Prescribed Rate of Interest Set to Change

 
The Prescribed Rate of Interest Act (55 of 1975), sets the maximum rate of interest that can be charged on mora interest (over-due payment) and is also used in court orders relating to damages claims.
 
To explain further, mora interest is where payment is due and the rate interest has not been agreed between the parties. In order for a creditor to become entitled to such interest there has to be demand of payment or a due date for payment and from such date the creditor is entitled to charge mora …

Credit Law, Debt Collections, Featured »

[8 May 2014 | No Comment | ]
Brett Bentley is Awarded Legal Prize

Brett Bentley, the founder and senior attorney at Bentley Attorney is the 2013 LexisNexis Prize winner for the best article written by an attorney for his article on emoluments attachment orders, “Separating the Baby and the bathwater – Garnishee Orders“, published in the March issue of De Rebus.
Speaking to Nomfundo Manyathi-Jele, News Editor of De Rebus , Brett was asked how he felt about winning the prize? “It was a big surprise, but a great honour to be awarded this prize in a magazine which is the official journal of …