Know your consumer rights: 15 March

Today, 15 March, is World Consumer Rights Day and DebtSafe considers it a priority to share some valuable information to make consumers aware of certain rights they have.

How well do you know your consumer rights?

In a recently released statement, Wikus Olivier, the debt management expert at DebtSafe, said South Africa can only experience real economic growth when consumers have trust in their preferred product or service providers. They have the right to be offered quality service or products, and should not be exploited by having their hard-earned money go to waste. Customers should therefore be protected and valued at all times.

According to the National Credit Regulator (NCR) consumers have rights in terms of the National Credit Act (NCA) to:

• apply for credit

• know why credit was declined

• receive information and documentation in their preferred official language

• receive information and documentation in simple and clear language

• get documentation in their preferred delivery manner

• receive statements without charge

• receive their free credit report once a year from a registered Credit Bureau and if evidence is available, question/ dispute incorrect information

• privacy

• apply for debt review/ management/ counselling

Wikus therefore emphasised the importance of shopping around to get the best terms and rates available (when applying for credit) to suit your budget. He also said consumers should request and receive a quotation before any credit agreement is accepted. And the quotation received should clearly disclose the fees and installments involved.

Here are a few examples that you, the consumer, need to be aware of when applying for certain credit:

• Buying a vehicle

Mrs X wants to buy a car and applies for credit.

Unfortunately, her application for credit has been declined. She has the right to inquire why her application has not been accepted and is informed via the credit provider that her credit profile is in a bad state. She disagrees with the feedback given, because she knows she is in a position to get financing for a car. Mrs X’s dispute (together with the evidence provided) is logged at the credit bureau and within 20 days she receives feedback that the mistake on her profile has been corrected. She can now apply for credit again.

• Taking out a personal loan

Mr Y has the right to ask for a quotation when applying for a personal loan. The credit provider has to disclose all the fees, installments and necessary terms involved. Mr Y therefore needs to ask for the credit agreement (free of charge), to also see what the credit life installment entails, for example. He has the right to take a look at the credit life premium and can also decide to choose his own credit life insurance provider. FinSafe is one such an option.

World Consumer Rights Day is here and it’s time to get to know your rights as a consumer. Find out what the National Credit Act 34 of 2005, the National Credit Amendment Act 19 of 2015, and their Regulations entail by visiting DebtSafe’s webpage.

By knowing your consumer rights, you can manage your debt effectively. DebtSafe celebrates the idea behind World Consumer Rights Day and also encourages over-indebted consumers to get the best assistance from their skilled advisers.

Do you perhaps have more information pertaining to this story? Email us at randfonteinherald@caxton.co.za  (please remember to include your contact details in the email) or phone us on 011 693 3671.

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