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Consumer Rights Month

 NCR logoDuring March, the NCR and Credit Ombud are trying to educate and inform consumers about the importance of knowing their credit status and getting a credit report.

 

 

Every person who has an account in the country with a credit or service provider can find information about all their accounts recorded at the various credit bureaus (see the list at the bottom of the article) regardless of whether they are paying their account regularly or not. This means that credit bureaus hold two types of information about consumers: positive (where consumers are paying well) and negative information (where a consumers have fallen behind or defaulted on payments). “The purpose of listing the information collectively at the credit bureaus is to create a comprehensive view of the consumer for both prospective and existing credit and service providers to assist them in the evaluation of credit or account applications and also to assist in the management of their relationship with their customers”, explains Lesiba Mashapa of the NCR.

Recently it was decided to remove some of the bad descriptions and information which is showing on credit bureau reports and to change the way accounts that are paid up are shown. It is hoped that this will help consumers look better when others check their reports. Some say however that this will reduce the effectiveness and meaningfulness of credit bureau reports since not all information about past conduct will show.

Free Credit Report

Statistics show that out of 20.29 million credit active consumers, only 164,437 credit reports were issued to consumers recently. What is interesting is that about 77.0% (126,591) of the recent reports issued were issued without charge. Mashapa reminds consumers that under the National Credit Act (NCA), they  are entitled to one free credit report annually from all 13 registered credit bureaus.

What if you see something incorrect on the report?

In SA consumers can challenge information on their credit records held by the credit bureaus if they believe that it is not accurate. It is part of the National Credit Act. If you are unhappy speak up. “When challenging the credit bureau record, the consumer needs to contact the credit bureau … The credit bureau has 20 business days to investigate the matter“, says Mashapa.

Credit Ombud Manie van Schalkwyk says if the consumer is not satisfied with the outcome from the credit bureau investigation or they don’t get an answer after waiting for 20 business days they should escalate the matter to the Credit Ombud’s office. They will provide further assistance free of charge. However, consumers need to get a reference number from the credit bureau so they can make sure they are talking about the correct matter when approaching the bureau.

What matters can be taken to the ombud?

Consumers should feel free to escalate complaints about incorrect or outdated listings (which will soon be removed as of April this year) on their credit profile; unfair listings, (which will also be removed as of April ) as well as instances of fraud or ID theft; as well as complaints about account information not being updated accurately.

Credit Information Amnesty

The removal of adverse consumer credit information and information relating to paid up judgment regulations shall come into effect on 01 April 2014. “This means that adverse consumer credit information, details and results of disputes lodged by consumers irrespective of the outcome of such disputes will be automatically removed from the credit bureau records.” “However, consumers who have judgments against their names need to settle the judgment debt before the judgment listing will be removed from the credit bureau records”, stressed Mashapa.

Consumer Rights Day

World Consumer Rights Day will be held on Saturday 15 March. You even get the day off…well most people since it is a Saturday. You also have the right to go shopping on Saturday and be a consumer.

Some Important Contact Details:

  • National Credit Regulator – 0860 627 627/e-mail: complaints@ncr.org.za
  • Credit Ombud – 0861 662 837 ombud@creditombud.org.za
  • TransUnion – 0861 482 482
  • Experian S.A – 0861 105 665
  • Xpert Decisions Systems (XDS) – (011) 645 9100
  • Compuscan – 0861 514 131
  • Consumer Profile Bureau – 010 590 9505
  • CreditWatch (Pty) Ltd – 011 483 0086
  • Crosscheck Information Bureau (Pty) ltd (previously known as MLCB)  – 0105 909 505
  • Inoxico – 010 001 0540
  • LexisNexis Risk Management – 011 245 6500
  • Managed Integrity Evaluation (Pty) Ltd – 012 644 4000
  • Robertsons International Reports (Pty) Ltd – 011 777 4000
  • Tenant Profile Network (Pty) Ltd – 086 187 6000
  • Tenant Watch Business Activities (Pty) Ltd – 011 394 6828