The National Credit Act guarantees you: a written pre-agreement quote before signing, capped interest and fees, the right to settle early without penalty (on small agreements), protection against reckless lending, one free credit report per bureau per year, and access to debt counselling if you're over-indebted. Complaints go to the National Credit Regulator: 0860 627 627.
1. The right to a pre-agreement quote
Before any credit agreement, the lender must hand you a quote stating the amount, every fee, the interest rate, the total you will repay and the instalments. It's valid for 5 business days, and the lender may not charge more than what's quoted. No quote = don't sign.
2. Capped interest and fees
For short-term credit (up to R8 000, max 6 months) the caps are: 5%/month interest on a first loan (3%/month on repeats in the same year), initiation fee of R165 + 10% of the amount above R1 000 (max R1 050), and a R60/month service fee, plus VAT on fees. Anything above this is unlawful — check any quote against our calculator.
3. Protection from reckless lending
A lender who grants credit without a proper affordability assessment — or despite clear evidence you can't afford it — commits reckless lending. A court or the National Consumer Tribunal can suspend the agreement or set aside your obligations partially or entirely. Keep copies of what you disclosed when applying; that's your evidence.
4. Early settlement without penalty
On credit agreements up to R250 000 you may settle the outstanding balance at any time without an early-termination penalty — you pay only the balance plus interest to the settlement date. Ask for a settlement letter; the lender must provide it within 5 business days.
5. One free credit report per bureau, every year
TransUnion, Experian and XDS must each give you one free report per year, and disputing wrong information is free — bureaus have 20 business days to investigate. Guide: how to improve your credit score.
6. Debt counselling (debt review)
If you genuinely can't meet your obligations, an NCR-registered debt counsellor can restructure your repayments to an affordable level. While under review, creditors can't repossess or take judgment against properly included debts. You may not take new credit until you receive a clearance certificate.
7. Plain language and no harassment
- Agreements must be in plain, understandable language.
- Collectors may not harass, threaten or contact you at unreasonable hours.
- Automatic debit dates must match what you agreed — unauthorised changes are disputable at your bank.
How to complain about a lender
- Complain to the lender first in writing and keep proof.
- Escalate to the NCR: 0860 627 627 · complaints@ncr.org.za · ncr.org.za.
- Credit bureau disputes: free via the bureau; unresolved ones go to the Credit Ombud.
Borrow from lenders that play by these rules
We only match you with NCR-registered credit providers.