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South Africa
NATIONAL LEGISLATION OVERVIEWS
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National Credit Act, No. 34 of 2005

Long title

To promote a fair and non-discriminatory marketplace for access to consumer credit and for that purpose to provide for the general regulation of consumer credit and improved standards of consumer information [ ; ] to promote black economic empowerment and ownership within the consumer credit industry [ ; ] to prohibit certain unfair credit and credit-marketing practices [ ; ] to promote responsible credit granting and use and for that purpose to prohibit reckless credit granting [ ;  ] to provide for debt re-organisation or debt intervention in cases of over-indebtedness [ ; ] to regulate credit information [ ; ] to provide for registration of credit bureaux, credit providers and debt counselling services [ ; ] to establish national norms and standards relating to consumer credit [ ; ] to promote a consistent enforcement framework relating to consumer credit [ ; ] to establish the National Credit Regulator and the National Consumer Tribunal [ ; ] to repeal the Usury Act, 1968, and the Credit Agreements Act, 1980 [ ; ] [ , ] and to provide for related incidental matters.

[...Long title amended by Act 2019_007_030_20190819]

Table of contents
SECTION TITLE

CHAPTER 1. INTERPRETATION, PURPOSE AND APPLICATION OF ACT

Part A. Interpretation
1.  Definitions
2.  Interpretation

Part B. Purpose and application
3.  Purpose of Act
4.  Application of Act
5.  Limited application of Act to incidental credit agreements
6.  Limited application of Act when consumer is juristic person
7.  Threshold determination and industry tiers

Part C. Classification and categories of credit agreements
8.  Credit agreements
9.  Categories of credit agreements
10.  Developmental credit agreements
11.  Public interest credit agreements

CHAPTER 2. CONSUMER CREDIT INSTITUTIONS

Part A. National Credit Regulator
12.  Establishment of National Credit Regulator
13.  Development of accessible credit market
14.  Registration functions of National Credit Regulator
15.  Enforcement functions of National Credit Regulator
16.  Research and public information
17.  Relations with other regulatory authorities
18.  Reporting requirements of National Credit Regulator
19.  [...repealed by Act 2014_019_003 - was entitled "Governance of National Credit Regulator"]
20. [...repealed by Act 2014_019_003 - was entitled "Qualifications for Board membership"]
21.  [...repealed by Act 2014_019_003 - was entitled "Conflicting interests of members of Board"]
22.  [...repealed by Act 2014_019_003 - was entitled "Resignation, removal from office and vacancies"]
23.  Appointment of Chief Executive Officer
24.  Conflicting interests
25.  Appointment of inspectors and investigators

Part B. National Consumer Tribunal
26.  Establishment and constitution of Tribunal
27.  Functions of Tribunal
28.  Qualifications of members of Tribunal
29. Term of office of members of Tribunal
30. Deputy Chairperson of Tribunal
31. Tribunal proceedings
32. Conflicts and disclosure of interest
33. Acting by member of Tribunal after expiry of term of office
34. Remuneration and benefits

Part C. Administrative matters
35. Finances
36. Reviews and reports to Minister

Part D. National and provincial co-operation
37. Co-operative exercise of concurrent jurisdiction
38. Information sharing

CHAPTER 3. CONSUMER CREDIT INDUSTRY REGULATION

Part A. Registration requirements, criteria and procedures
39. Limited application of this Part
40. Registration of credit providers
41. Supplementary registration to provide developmental credit
42. Thresholds applicable to credit providers
43. Registration of credit bureaux
44. Registration of debt counsellors
44A. Registration of payment distribution agents [...inserted by Act 2014_019_012_20140518]
45. Application for registration
46. Disqualification of natural persons
47. Disqualification of juristic persons and associations
48. Conditions of registration
48A. Code of Conduct [...inserted by Act 2014_019_016_20140518]
49. Variation of conditions of registration
50. Authority and standard conditions of registration
51. Application, registration and renewal fees
52. Certificate, validity and public notice of registration
53. National record of registrations

Part B. Compliance procedures and cancellation of registration
54. Restricted activities by unregistered persons
55. Compliance notices
56. Objection to notices
57. Cancellation of registration
58. Voluntary cancellation of registration
58A. . Additional requirements for cancellations [...inserted by Act 2014_019_020_20140518]
59. Review or appeal of decisions

CHAPTER 4. CONSUMER CREDIT POLICY

Part A. Consumer rights
60. Right to apply for credit
61. Protection against discrimination in respect of credit
62. Right to reasons for credit being refused
63. Right to information in official language
64. Right to information in plain and understandable language
65. Right to receive documents
66. Protection of consumer credit rights

Part B. Confidentiality, personal information and consumer credit records
67. Conflicting legislation
68. Right to confidential treatment
69. National register of credit agreements
69A.National record of debt interventions [...inserted by Act 2019_007_006_20190819]
70. Credit bureau information
71. Removal of record of debt adjustment or judgment
71A. . Automatic removal of adverse consumer credit information [...inserted by Act 2014_019_022_20140518]
72. Right to access and challenge credit records and information
73. Verification, review and removal of consumer credit information

Part C. Credit marketing practices
74. Negative option marketing and opting out requirements
75. Marketing and sales of credit at home or work
76. Advertising practices
77. Required marketing information

Part D. Over-indebtedness and reckless credit
78. Application and interpretation of this Part
79. Over-indebtedness
80. Reckless credit
81. Prevention of reckless credit
82. Assessment mechanisms and procedures
82A. Report and investigation of reckless credit agreement [...inserted by Act 2019_007_010_20190819]
83. Declaration of reckless credit agreement [...Title amended by Act 2014_019_025(a)_2014_019_025(a) - was entitled "Court may suspend reckless credit agreement"]
84. Effect of suspension of credit agreement
85. Court may declare and relieve over-indebtedness
86. Application for debt review
86A. Application for debt intervention [...inserted by Act 2019_007_013_20190819]
87. Magistrate's Court or Tribunal may re-arrange consumer's obligations [...Title amended by Act 2019_007_014_20190819 - was entitled "Magistrate's Court may re-arrange consumer's obligations"]
87A. Other orders related to debt intervention [...inserted by Act 2019_007_015_20190819]
88. Effect of debt review or re-arrangement order or agreement
88A. Effect of debt intervention [...inserted by Act 2019_007_016_20190819]
88B. Application for rehabilitation [...inserted by Act 2019_007_017_20190819]

 CHAPTER 5. CONSUMER CREDIT AGREEMENTS

Part A. Unlawful agreements and provisions
89. Unlawful credit agreements
90. Unlawful provisions of credit agreement
91. Prohibition of unlawful provisions in credit agreements and supplementary agreements [...amended by Act 2014_019_028 - was entitled "Supplementary requirements and documents"]

Part B. Disclosure, form and effect of credit agreements
92. Pre-agreement disclosure
93. Form of credit agreements
94. Liability for lost or stolen cards or other identification devices
95. Changes, deferrals and waivers
96. Address for notice
97. Consumer must disclose location of goods
98. Agreement attaches to substituted goods
99. Obligations of pawn brokers

Part C. Consumer's liability, interest, charges and fees
100. Prohibited charges
101.  Cost of credit
102.  Fees or charges
103.  Interest
104.  Changes to interest, credit fees or charges
105.  Maximum rates of interest, fees and charges
106.  Credit insurance

Part D. Statements of account
107.  Limited application of this Part
108.  Statement of account
109.  Form and content of statement of account
110.  Statement of amount owing and related matters
111.  Disputed entries in accounts
112.  Dating and adjustment of debits and credits in accounts
113.  Statement of settlement amount
114.  Tribunal may order statement to be provided
115.  Disputes concerning statements

Part E. Alteration of credit agreement
116.  Alteration of original or amended agreement document
117.  Changes by agreement
118.  Reductions to credit limit under credit facility
119.  Increases in credit limit under credit facility
120. Unilateral changes by credit provider

Part F. Rescission and termination of credit agreements
121.  Consumer's right to rescind credit agreement
122.  When consumer may terminate agreement
123.  Termination of agreement by credit provider

CHAPTER 6. COLLECTION, REPAYMENT, SURRENDER AND DEBT ENFORCEMENT

Part A. Collection and repayment practices
124.  Charges to other accounts
125.  Consumer's or guarantor's right to settle agreement
126.  Early payments and crediting of payments
126A.  Restrictions on certain practices relating to credit agreements [...inserted by Act 2008_068_000 Sch1]
126B.  Application of precription on debt [...inserted by Act 2014_019_031_20140518]

Part E. Surrender of goods
127.  Surrender of goods
128.  Compensation for consumer

Part C. Debt enforcement by repossession or judgment
129. Required procedures before debt enforcement
130. Debt procedures in a Court
131. Repossession of goods
132. Compensation for credit provider
133. Prohibited collection and enforcement practices

CHAPTER 7. DISPUTE SETTLEMENT OTHER THAN DEBT ENFORCEMENT

Part A. Alternative dispute resolution
134. Alternative dispute resolution
134A.   Registration and accreditation of alternative dispute resolution agents [...inserted by Act 2014_019_035_20140518]
134A.   Deregistration of alternative dispute resolution agents [...inserted by Act 2014_019_035_20140518]
135. Dispute resolution may result in consent order

Part B. Initiating complaints or applications
136. Initiating a complaint to National Credit Regulator
137. Initiating applications to Tribunal
138. Consent orders

Part C. Informal resolution or investigation of complaints
139. Investigation by National Credit Regulator
140. Outcome of complaint
141. Referral to Tribunal
141A.  Extended application of this Part [...inserted by Act 2008_068_000_20090429 Sch1]

Part D. Tribunal consideration of complaints, applications and referrals
142. Hearings before Tribunal
143. Right to participate in hearing
144. Powers of member presiding at hearing
145. Rules of procedure
146. Witnesses
147. Costs
148. Appeals and reviews

Part E. Tribunal orders
149. Interim relief
150. Orders of Tribunal
151. Administrative fines
152. Status and enforcement of orders

CHAPTER 8. ENFORCEMENT OF ACT

Part A. Searches
153. Authority to enter and search under warrant
154. Powers to enter and search
155. Conduct of entry and search

Part B. Offences
156. Breach of confidence
157. Hindering administration of Act
157A.  Extended application of this Part [...inserted by Act Act 2019_007_025_20190819] 
157B. Offences related to credit agreements generally [...inserted by Act Act 2019_007_025_20190819] 
157C.  Offences related to registration [...inserted by Act Act 2019_007_025_20190819] 
157D.   Offences by non-natural person [...inserted by Act Act 2019_007_025_20190819] 
158. Failure to attend when summoned
159. Failure to answer fully or truthfully
160. Offences relating to regulator and Tribunal
161. Penalties
162. Magistrate's Court jurisdiction to impose penalties

Part C. Miscellaneous matters
163. Agents
164. Civil actions and jurisdiction
165. Variation of order
166. Limitations of bringing action
167. Standard of proof
168. Serving documents
169. Proof of facts
170. Credit provider to keep records

CHAPTER 9. GENERAL PROVISIONS
171. Regulations
172. Conflicting legislation, consequential amendments, repeal of laws and transitional arrangements
173. Short title and commencement
Sch. 1.  SCHEDULE 1. RULES CONCERNING CONFLICTING LEGISLATION [s172]
Sch. 2.  SCHEDULE 2.AMENDMENT OF LAWS [s172]
Sch. 3.  SCHEDULE 3. TRANSITIONAL PROVISIONS [s172]

1 Definitions

2 Delayed application of required registration

3 National register of credit agreements

4 Application of Act to pre-existing agreements

5 Maximum interest rate

6 Specific preservation of rights, instructions, registration and similar status

7 General preservation of regulations, rights, duties, notices and other instruments

8 National Credit Regulator

9 Provincial regulatory capacity

10 Continued enforcement of repealed laws

11 Regulations
 
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