Many consumers do not know they have credit life insurance which settles your loan should you die, become disabled or get retrenched.
Tag - credit insurance
The pricing cap on credit insurance is good news for new loans, but many existing credit customers are still paying over the odds.
On 9 August, the new limits on how much a lender can charge for credit insurance came into effect.
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.
Proposals to curb the costs of borrowing will be welcomed, but a likely consequence is that less credit will be available.
The National Credit Regulator is clamping down on the type of unethical practices that have long plagued the consumer credit insurance industry.
Abuse within the credit insurance industry has led to an investigation by National Treasury into the practices of credit providers selling credit life to customers. If you have borrowed money, whether it be through a furniture retailer, micro-lender or a bank, you will most likely have credit insurance. This is because the National Credit Act...