World Consumer Rights Day is celebrated on March 15 every year to spread awareness regarding consumer rights. Being aware of your rights and the responsibilities of credit providers, lenders, and other businesses in the credit industry will help you navigate on how to properly respond to issues that may arise. Do you know what your credit rights are in South Africa?

Here are credit rights that you should know:

• To apply for credit
• To be protected against discrimination in the granting of credit
• To be informed why credit has not been granted, should you ask
• To receive a credit agreement in plain and simple language
• To receive information and documents in an official language you can read or understand
• To receive a free copy of your credit agreement and a free replacement copy of documents
• To receive periodic statements
• To have your personal and financial information treated confidentially
• To access and challenge credit records and information
• To remove adverse consumer credit information
• To say no to increases on your credit limit
• To apply for debt counselling should you be overwhelmed by debt
• To be protected from a reckless credit agreement
• To understand all fees, costs, interest rates, the total instalment and any other details

The right to apply for credit. Every adult person has a right to apply to a credit provider for credit. Being granted the credit is however not an automatic right.

To be protected against discrimination in the granting of credit. You have the right to protection against discrimination in respect of credit. A credit provider must not unfairly discriminate directly or indirectly against a person applying for credit

To be informed why credit has not been granted, should you ask. On request from a consumer, a credit provider must advise a consumer of the reason for refusing to enter into a credit agreement; offering a lower credit limit; refusing to increase a credit limit; or refusing to renew an expiring credit card or credit facility. Too few consumers know about this right to make use of if they are denied credit.

To receive a credit agreement in plain and simple language. Credit providers need to ensure their documents are in plain language so the contents, meaning, and importance of the document are easy to understand.

To receive information and documents in an official language you can read or understand. You have the right to receive any document that is required in terms of the National Credit Act (NCA) in an official language that you can read or understand. i.e. Consumers who are not fluent in English can exercise this right.

To receive a free copy of your credit agreement and receive a free replacement copy of documents. This means you can request a copy of all documents at the business premises of the credit provider or to be delivered or sent by ordinary mail, fax, email, or printable web page. If you lose this and need a replacement copy, you can get this free of charge within a year of the delivery of the original documents. After that, the consumer is expected to pay the credit provider and frequent requests for the same documents may be subject to a fee.

The right to receive periodic statements. To receive regular statements of account setting out the current balance, amounts paid, charges, and next installment date.

The right to have your personal and financial information treated confidentially. You have the right to confidentiality. Any person who, in terms of the National Credit Act, receives, compiles, retains, or reports any confidential information must protect the confidentiality of that information.

The right to access and challenge credit records and information. You have the right to challenge incorrect information on your credit profile at each credit bureau, for free.

The right to the removal of adverse consumer credit information. Once you have settled your outstanding amounts owed, the credit provider/s must inform credit bureaus within seven days. The credit bureaus must then remove any adverse classification of consumer behaviour or enforcement action within seven days.

The right to say no to increases to your credit limit. You have the right to decline proposed credit limit increases.

The right to apply for debt counselling should you be overwhelmed by debt. You have the right to be assisted when struggling to pay debts.

The right to be protected from a reckless credit agreement. An assessment must be conducted to determine whether you will be able to repay the credit.

The right to understand all fees, costs, interest rates, the total installment, and any other details. You have the right to receive a quotation setting out the amount, interest rate, other charges and total costs under the credit agreement.

Get a copy of the National Credit Act (No. 34 Of 2005) here: Acts | South African Government