The NCA`s goal is to promote fair and accountable lending practices to consumers when entering into credit contracts. It covers most leases, mortgages, tempe sales, credit cards, collateral and other similar credit methods and offers strong protection to credit consumers. The debt advisor will help the client reorganize/restructure his obligations in negotiations with his credit providers, depending on the amount the consumer can afford to pay each month for his debts. An experienced and financially savvy business owner recounts his disastrous experience in entering into a contract to lease a photocopier. The charges seemed appropriate, but the agreement was complex, very small and difficult to understand. He says he was persuaded by the seller to sign the agreement he made without reading and understanding his terms. After several months, the company decided to terminate the contract. The owner discovered that he had unknowingly entered into 2 contracts and the financial house wanted R15,000 on a machine that cost R7,500 new. This after the financial company has already recovered the photocopier! A credit contract is an agreement between a lender and a consumer in which the credit provider provides goods or services or lends money to consumers.
Affordable control is a process of assessing a credit provider with a consumer to determine whether or not loans are granted to the consumer. The affordability assessment will determine whether the consumer will be able to meet their obligations under a credit contract. The affordability assessment includes the assessment of consumer income, expenses, debt repayment, debt repayment history and credit information regarding access to consumer credit bureau data. The judge refused to render the default judgment on the basis that the default judgment on rental and pension costs within the meaning of Section 129 of the National Credit Act was premature. “A lease agreement is expressly excluded in the law and does not fall within the definition of a credit contract,” he said in his ruling. So I think the question is not what the lease seems to be, but what the content of the lease actually attests to. For example, a common rental agreement with an apartment and an immutable rent for the duration of the lease is clearly not in the style of the NCA.