By Lungile Ntimba
The Gauteng Office of Consumer Affairs has urged consumers to exercise caution when taking out loans and safeguard their rights from any possible violations by credit providers during this challenging financial period.
Director for Education, Awareness and Stakeholder Relations, Milly Viljoen, said unregistered credit providers like Abomashonisa exploited consumers by imposing exorbitant interest rates, and took their identity documents and social grant cards to enforce payment.
“If your application is declined by all registered credit providers, it means that you have a bigger financial problem than you realise,” Viljoen warned in a statement.
“Rather seek assistance by negotiating for lower instalments with your current credit providers, paying off and closing some accounts than accessing more credit through unregistered credit providers.”
According to the Consumer Protection Act, consumers have a right to receive information in plain and understandable language.
Viljoen said it was crucial that consumers read and
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