When his son was selected to attend a music competition in Europe, like any parent Malcolm (name changed at reader’s request) was prepared to do anything to make it happen. Unable to get a loan to cover the cost of the air tickets, he and his wife...
Your joint mortgage may form part of your partner’s debt review without your consent. If you are married in community of property and your spouse is placed under debt review, so will you, because you share a joint estate which includes all debt....
There is a misconception that debt intervention proposals currently being considered could mean that some debts are likely to be written off. The high levels of indebtedness in South Africa have led to parliamentary hearings, held by the portfolio...
Last week the Western Cape High Court issued a judgement which set aside certain sections of the National Credit Act which it argued “unreasonably and unfairly discriminates against the section of the population that largely consists of the poorer...
I recently wrote about readers who were complaining about loan shark tactics that got them trapped in a perpetual cycle of debt. Since writing the article, I received several comments from readers who argued that the actions of some micro-lenders...
CreditVision, a new product from TransUnion, should make it easier to get financing without a credit record. One of the reader queries we receive regularly is from people who have chosen not to take out short-term credit. They have sensibly avoided...
Once you borrow money from a loan shark, you will be indebted to them for life. City Press has received an increase in the number of readers complaining about loan sharks as illegal moneylenders or mashonisa operate across the country, using...
Four months ago, City Press reader Oscar wrote to us asking for help in finding a debt counsellor as, in his words, he was “broke because of debt.” After doing some research we found RD Debt Counselling and Oscar met with debt counsellor Russell...
On 9 August, the new limits on how much a lender can charge for credit insurance came into effect. Credit insurance is usually required when taking out a loan; the policy assists in the repayment of the loan if you die, are retrenched or become...
Tighter lending criteria as well as consumer awareness is resulting in an improvement in debt levels. The latest figures from the TransUnion SA Consumer Credit Index suggest that South African consumers are starting to wean themselves off credit...
If you want to draw down on the equity built up in your property, you may be in for a nasty surprise. Paragon Lending Solutions recently issued a press release warning investors and small business owners that if they try and access additional capital through their...
Is financial education more important than free education? According to figures published by the Consumer Credit Panel in the USA, a student who leaves college with a $100 000 student loan is twice as likely to repay that debt than a student who leaves with less than...
A cap placed on how much a lender can charge for credit insurance could result in cheaper loans, but some warn it could also cut credit to higher-risk individuals. Last month the Department of Trade and Industry issued the final credit life insurance regulations which...
We’ve lost the plot when it comes to borrowing and saving Recently I had a conversation with a young woman who, along with her husband, is under debt review. She told me that they had just let their lifestyle get ahead of them – they bought a house, went a bit...
The new maximum interest rates do not apply to existing credit cards In May 2016, amendments to the National Credit Act came into effect which set new maximum interest rates which can be charged on a loan based on the repo rate. In many cases this has reduced the...
A landmark ruling by the Constitutional Court on garnishee orders will not be applied retrospectively. Last month, the Constitutional Court issued its ruling relating to emolument attachment orders (known as garnishee orders) in a case that had been brought before it...
Debt review is not as simple as handing over your bills to a debt counsellor – you have to keep track of your credit provider statements Three years ago Linda (not her real name) and her husband went under debt review. Like so many young couples, the allure of easy...
Rainfin CEO Sean Emery frequently holds investor meetings with his family who are all investors in small businesses funded through funding platform RainFin. “My mom is an investor and she always asks me “am I making money” and “am I helping people?” That sums up the...
I often receive complaints from people who have signed agreements they haven’t fully understood. Unfortunately there is little recourse for the consumer in such cases. Take time to read the fine print. As consumers we tend to be very emotional about our purchases. We...
Andy writes: What information are banks able to buy from credit bureaus about my financial history and standing and what do they use it for? Credit bureau TransUnion replies: When someone applies for credit from a lender, such as a bank, the lender will purchase that...