0860 627 627 (Call Centre) / 011 554 2700  (Reception) 

  info@ncr.org.za / complaints@ncr.org.za / workshops@ncr.org.za

The National Credit Regulator (NCR) and the Credit Ombud have signed a Memorandum of Understanding (MoU) facilitating co-operation and collaboration in achieving the objectives of the National Credit Act 34 of 2005 (the Act) and specifically the resolution and investigation of disputes between non-bank credit providers, credit bureaux and consumers.

The NCR is responsible for regulating credit providers and is tasked with carrying out education, research, proposing policies to the Minister, registration of industry participants, investigation of disputes and ensuring the enforcement of the NCA 34 of 2005. The Credit Ombud is a voluntary, non-statutory body; afforded recognition under Section 11 of the Financial Services Ombud Scheme Act, 2004 and is an Ombud with jurisdiction in terms of the NCA; which engages in the resolution of disputes arising within the non-bank credit industry and consumers.

Working together is pivotal to building and maintaining the spirit and objective of the NCA.


Section 139 of the NCA provides that the NCR may, upon acceptance of a dispute, refer such dispute to an Ombud with jurisdiction for the purpose of assisting the credit provider and consumer to resolve the dispute. The NCR agreed that all disputes against members of the Credit Ombud will be referred to the Credit Ombud for resolution. The Credit Ombud resolves disputes between consumers and credit providers relating to credit agreements and credit information, this covers all disputes of clothing and furniture retail accounts, micro lenders, and other non-bank loans.

The MoU will see the NCR and Credit Ombud work together on several areas of co-operation. The main elements include the following

  • As an alternative to disputes being investigated by the NCR against subscribing members of the Credit Ombud, the NCR shall refer non-bank credit agreement and credit information matters to the Credit Ombud;
  • Quarterly reporting to the NCR by the Credit Ombud regarding the resolution of disputes referred by the NCR;
  • Capacity building and training programmes;
  • Outreach initiatives and credit industry awareness and education;
  • Research and information sharing.

The services offered by the Credit Ombud is FREE to consumers wanting to resolve their disputes arising from within the non-bank credit industry. Consumers are not bound by the ruling or decision of the Credit Ombud and may refer a matter to the NCR.

Working together is pivotal to building and maintaining the spirit and objective of the NCA.


NCR Contact details:

Call Centre: 0860 627 627
Reception: 011 554 2700
Email: This email address is being protected from spambots. You need JavaScript enabled to view it. / This email address is being protected from spambots. You need JavaScript enabled to view it. / This email address is being protected from spambots. You need JavaScript enabled to view it.
Website: www.ncr.org.za

Credit Ombud Contact details:

Call center: 0861 662 837
Reception: 011 781 6431
SMS: ‘Help’ to 44786
Email: This email address is being protected from spambots. You need JavaScript enabled to view it.
Twitter: @creditombud
Facebook: @creditombud
Website: www.creditombud.org.za

Dear Industry Stakeholder

In terms of Section 14 of the National Credit Act, 2005 (NCA), the National Credit Regulator (NCR) is responsible for regulating the consumer credit industry in South Africa. According to Section 69 of the NCA, the Minister of Trade and Industry may require the NCR to establish and maintain, in the prescribed manner and form, a single national register of outstanding credit agreements.

With the promulgation of the Financial Sector Regulation Act, 2017 (FSRA) in August 2017, the South African Reserve Bank’s (SARB) mandate was expanded to include an explicit financial stability responsibility. The SARB is responsible for protecting and enhancing financial stability by monitoring the global and domestic environment for risks and vulnerabilities and mitigating them through macro-prudential policy action. 

This responsibility requires the SARB to, among other things, increase its focus on credit risk by expanding its database with more granular credit data and improving credit information reporting systems. At the same time, more granular credit data will serve the SARB’s price stability mandate  and promote more prudent risk-management practices and enhance prudential supervision by the Prudential Authority (PA).

In light of this, in July 2019, Governor Lesetja Kganyago recommended to the Department of Trade, Industry and Competition (DTIC) Minister Ebrahim Patel to establish a central credit register (CCR) for South Africa. In September 2019, Minister Patel agreed and requested the NCR to cooperate with the SARB and other stakeholders to create and maintain a national register of credit agreements for South Africa, as considered in section 69 of the NCA.

Consequently, a CCR Steering Committee (Committee) was set up in December 2019 to drive the establishment of a CCR for South Africa. Members of the Committee include the National Credit Regulator, South African Reserve Bank, Prudential Authority, Financial Sector Conduct Authority, Financial Intelligence Centre, the National Treasury and the Department of Trade, Industry and Competition. Work has been ongoing, and it is envisaged that the financial sector industry will be engaged for discussion and consultations in the first quarter of 2021.

 

More detailed communication will follow in due course.

For inquiries contact Lebogang  Selibi at This email address is being protected from spambots. You need JavaScript enabled to view it.

November 2020

It is beyond doubt that this year has been exceptionally difficult for everyone in many ways. The Covid-19 pandemic which resulted in loss of income, retrenchments and salary reductions for some consumers, added extra financial pressure on the already-financially –stressed households and/or individuals. The effect of the aforementioned factors is that consumers are likely to find themselves battling to meet their current financial obligations, says Anne-Carien Du Plooy, Acting Manager: Education & Communication at the National Credit Regulator (NCR).

Some consumers are looking forward to the upcoming Black Friday deals and bargains. Certain retailers have already announced that this year’s “Black Friday” deals will start earlier, says Du Plooy. In these difficult economic times, consumers are cautioned to avoid partaking in this year’s Black Friday if they did not properly plan or budget for it. They should rather save their money for emergencies. Consumers are further advised not to use credit for Black Friday as using credit does not amount to saving. Instead, consumers will end up paying more due to the addition of interest and other fees such as monthly service fees, once- off initiation fees, credit life insurance etc, adds Du Plooy.

Du Plooy cautions that failure to pay back credit will have negative and adverse consequences for consumers such as being adversely listed at the credit bureaus and or having legal action being taken against them by credit providers to recover their monies.

Although Black Friday may be beneficial for some consumers, it may also create financial strain to those who participate without a proper budget and planning. A budget is a crucial tool which assists consumers to know whether they can afford certain deals or not.

Helpful tips for consumers for Black Friday:

  • Set a realistic budget of what you can afford to spend and stick to it;
  • Plan and draw up a list of what you need;
  • Check the items and prices before Black Friday to do a comparison on the prices and to ensure that you are getting a better deal;
  • Avoid buying food on credit;
  • Avoid using unregistered credit providers to get quick loans as you will pay dearly for those;
  • Remember, cash is king!

Ends


About The National Credit Regulator

The National Credit Regulator (NCR) was established in terms of the National Credit Act 34 of 2005 (NCA) and is responsible for the regulation of the South African credit industry. The NCR is mandated with the registration of Credit Providers, Credit Bureaus, Debt Counsellors, Payment Distribution Agents, and Alternative Dispute Resolution Agents; and monitoring their conduct in compliance with the National Credit Act as amended. The National Credit Regulator offers education and protection to consumers of credit in promotion of a South African credit market that is fair, transparent, accessible and dynamic.

For more information contact:
Media Office: This email address is being protected from spambots. You need JavaScript enabled to view it.
Or
Ntombizodwa Mahlangu
Cell: 064 752 3926
E-mail: This email address is being protected from spambots. You need JavaScript enabled to view it.
Website: www.ncr.org.za

December 2020

Do not allow impulsive and spontaneous spending during the festive season make your January an excruciating one, says Anne-Carien Du Plooy, Acting Manager: Education & Communication at the National Credit Regulator (NCR). “If you enter January unprepared, the month will seem longer compared to other months”. “Avoid excessive spending with an aim of impressing friends, family or even strangers”, she cautions.

Many will receive their December salaries mid-month as opposed to the end of the month as is usually the norm. This does not mean that you should spend all of it before the end of December. Bear in mind that the very same salary should cater for debit orders at the end of December and also for all January’s expenses such as rent, food, electricity, transport and additional expenses such as school fees, school uniforms, registration fees, stationery etc. advises Du Plooy.

Many consumers who spend without a proper budget during the festive season end up applying for credit in order to get through January. When their applications for credit are declined by registered credit providers due to affordability, they opt for unregistered credit providers such as Mashonisas, Skoppersetc. Unregistered credit providers charge consumers exorbitant interest and uses unlawful tactics such as retention of cards and PINs to collect their monies. Du Plooy urges consumers to report such conduct by unregistered credit providers to the National Credit Regulator on 0860 627 727 / This email address is being protected from spambots. You need JavaScript enabled to view it..

The COVID-19 pandemic has caused financial strain to many consumers, which calls for consumers to save more and spend less. She advises consumers battling to repay their debts to seek assistance by contacting their credit providers for assistance. If this fails, they should contact registered debt counsellors for assistance. Du Plooy, however, cautions consumers to be wary of debt counsellors who use misleading marketing and advertising practices, particularly on social media platforms such as Facebook to lure consumers into their businesses. “These advertisements are misleading in nature as they misrepresent the spirit and the objectives of the National Credit Act regarding the provisions of debt counselling as a debt relief measure.” An example of these advertisements is “NCR DC is giving South Africans “Extra Cash” to enjoy by reducing debt interest and protection from repossession of assets. Free assessment sms “YES”.”

Du Plooy gives the following tips to consumers during these difficult times:

  • If you have credit life insurance, submit a claim in the event of loss of income, retrenchment, disability or death;
  • If you get a bonus, count yourself lucky and use it wisely to repay debt and save as you do not know what the future holds;
  • Do not be tempted by “Sales / Specials” in the shops, stick to your budget;
  • Always remember that budgeting is crucial, do one and spend wisely!

ENDS


About The National Credit Regulator

The National Credit Regulator (NCR) was established as the regulator under the National Credit Act 34 of 2005 (the Act) and is responsible for the regulation of the South African credit industry. The NCR is mandated with the registration of Credit Providers, Credit Bureaus, Debt Counsellors, Payment Distribution Agents, and Alternative Dispute Resolution Agents; and monitoring their conduct in compliance with the National Credit Act as amended. The National Credit Regulator offers education and protection to consumers of credit in promotion of a South African credit market that is fair, transparent, accessible and dynamic.

For more information contact:
Media Office: This email address is being protected from spambots. You need JavaScript enabled to view it.
Or
Ntombizodwa Mahlangu
Cell: 064 752 3926
E-mail: This email address is being protected from spambots. You need JavaScript enabled to view it.
Website: www.ncr.org.za

October 2020

The National Credit Regulator (NCR) released the Consumer Credit Market Report (CCMR) and the Credit Bureau Monitor (CBM). These reports are based on the data submitted to the NCR by registered credit providers and credit bureaus, respectively. The latest edition of the reports covers credit market information from March 2020 to June 2020. The total value of new credit granted decreased by 56.72% quarter-on-quarter from R126.35 billion to R54.68 billion. The number of credit agreements entered into decreased by 47.73% quarter-on-quarter from 3.93 million to 2.05 million.

The following were some of the most significant trends observed in terms of credit granted for the quarter ended June 2020:

  • The value of new mortgages granted decreased by R25.95 billion (66.65%) quarter-on-quarter and by R27.20 billion (67.69%) year-on-year.
  • Secured credit which is dominated by vehicle finance, decreased by R18.57 billion (47.51%) quarter-on-quarter, and by R20.69 billion (50.22%) year-on-year.
  • Credit facilities decreased by R9.71billion (50.53%) quarter-on-quarter and by R11.60 billion (54.97%) year-on year.
  • Unsecured credit decreased by R15.10 billion (59.64%) quarter-on-quarter and by R18.42 billion (64.32%) year-on-year.

The total outstanding consumer credit balances (or gross debtors book) as at June 2020 was R1.96 trillion, representing a decrease of 0.94% quarter-on-quarter and an increase of 3.09% year-on-year. The trends for outstanding balances for the quarter ended June 2020 were as follows:

  • Mortgages debtors book decreased by R4.26 billion (0.43%) for the quarter ended June 2020 and increased by R25.90 billion (2.70%) year-on-year.
  • Secured credit debtors book decreased by R4.51 billion (1.01%) for the quarter ended June 2020 and increased by R7.63 billion (1.75%) year-on-year.
  • Credit facilities debtors book decreased by R6.96 billion (2.64%) for the quarter ended June 2020 and increased by R7.42 billion (2.97%) year-on-year.
  • Unsecured credit debtors book decreased by R2.97 billion (1.33%) for the quarter ended June 2020 and increased by R15.24 billion (7.41%) year-on-year.

Credit bureaus held records for 26.96 million credit-active consumers, which showed a decrease of 3.69% when compared to the 27.99 million in the previous quarter. Consumers classified in good standing decreased by 559,318 to 16.96 million consumers. This amounts to 62.90% of the total number of credit-active consumers, a decrease of 3.19% quarter-on-quarter and 3.65% year-on-year. The number of credit active accounts decreased from 85.99 million to 85.23 million in the quarter ended June 2020. The number of impaired accounts has increased from 19.88 million (23.12%) to 20.66 million (24.24%) in June 2020, an increase of 779,707 quarter-on-quarter and 506,836 year-on-year.

The number of credit reports issued to consumers decreased from 240,688 to 217,743. A total of 199,977 (91.84%) credit reports were issued free of charge, and the balance of 17,766 (8.16%) were issued at a cost. There were 29,017 disputes lodged on information held on consumer credit records for the quarter ended June 2020, a decrease of 26.67% quarter-on-quarter and 21.66% year-on-year.

Nomsa Motshegare, the Chief Executive Officer (CEO) of the NCR advises consumers battling to keep up with their payments to contact their credit providers first to negotiate for lower instalments or some kind of relief to assist them with their debts. If this fails, consumers are further advised to approach registered debt counsellors for assistance. Motshegare further advised that consumers who have credit life insurance should make a claim against their credit life insurance. Credit life insurance is an insurance that a consumer purchases when applying for credit or loan. It covers the outstanding debt in the event of unforeseen circumstances such as death, retrenchment, unemployment, inability to earn an income, disability and others. In the event of the consumer becoming unemployed or unable to earn an income, the credit life insurance cover provides that credit providers must settle / pay the consumer’s debt for a period of twelve (12) months or for the remaining repayment period or until the consumer finds employment or is able to earn an income, whichever period is shorter. Consumers can contact the NCR on 0860 627 627 / www.ncr.org.za for additional information.

Comparisons in this release- ‘quarter-on-quarter’ refers to a comparison between the March 2020 and June 2020 quarters, and ‘year-on-year’ refers to a comparison between the June 2019 and June 2020 quarters.

ENDS


About The National Credit Regulator
The National Credit Regulator (NCR) was established as the regulator under the National Credit Act 34 of 2005 (NCA) and is responsible for the regulation of the South African credit industry. The NCR is mandated with the registration of Credit Providers, Credit Bureaus, Debt Counsellors, Payment Distribution Agents, and Alternative Dispute Resolution Agents; and monitoring their conduct in compliance with the National Credit Act as amended. The National Credit Regulator offers education and protection to consumers of credit in promotion of a South African credit market that is fair, transparent, accessible and dynamic.

For more information contact:

Media Office: This email address is being protected from spambots. You need JavaScript enabled to view it.

Or

Ntombizodwa Mahlangu

064 752 3926

E-mail: This email address is being protected from spambots. You need JavaScript enabled to view it.

Website: www.ncr.org.za

 

Contact details

Physical Address
127 - 15th Road
Randjespark
Midrand
1683

Consumer Rights

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Operating Hours

Mon - Thur : 8AM - 5PM
Friday : 8AM - 4:30PM

Call Centre
0860 627 627

Telephone
011 554 2700

National Credit Act

Download the National Credit Act
National Credit Amendment Act
National Credit Regulations
Background Documents on the NCA

 

Fraud / Anti-Corruption Hotline

Report any incidents of wrong doing
to the KPMG Ethics Line

0800 20 53 17 (Toll Free)