(b) an important agreement, as described in paragraph 9, paragraph 4, in which the consumer is a legal entity whose assets or annual turnover, at the time of the agreement, are below the threshold set by the Minister in Section 7, paragraph 1; In this document, credit is referred to as a “double-edged sword” because the power is “significantly unbalanced” due to poor consumer education and knowledge of consumer rights due to poor levels of consumer education and the inability of consumers to enforce these rights through negotiations or legal actions. Some information on credit contracts concluded before the law comes into force must also be provided. This registry is available to anyone who requests it in the prescribed form. It will also provide a way to monitor South Africa`s debt, as the NCR is required to do. When a fund issues direct home loans within the meaning of Section 19 (5) of the Pension Funds Act 1956, it directly gives its members money normally insured by their payments to the Fund. As a result, a pension fund is covered by the definition of a “lender,” that is, the lender as part of a secured loan. Credit bureaus play an important role. For example, they provide credit providers with information on consumer creditworthiness. This information could, of course, harm consumers. Credit agencies are therefore required to verify with other sources that the information provided to them by credit providers is accurate. Consumers have the right to obtain information about cancelled judgments that are removed (deleted) from credit bureau records. Similarly, a consumer who has fulfilled all of its debt restructuring obligations has the right to withdraw debt restructuring from these registers in advance.

The National Credit Act is a complex and time-consuming law that attempts to regulate precisely every consumer credit sector. The final provisions of the Act will come into force on June 1, 2007. The Act repealed the Usury Act[2] and the Credit Agreements Act[3] and bears little resemblance to these statutes. It`s a clear break with the past. All consumer credit law is included in the law applicable to all credit contracts and credit providers. The law contains detailed provisions for bank statements. The regulations prescribed the form and content of declarations for small agreements. Credit providers are required to provide consumers with regular bank statements, usually once a month (but every two months for temperature purchase contracts).