Credit Providers Face Charges in NCR Raids
The National Credit Regulator (NCR) along with the South African Police Services conducted a series of raids on credit providers in the first 3 months of 2019. During that time 5 arrests were made and 411 Bank and SASSA cards as well as 37 IDs, Passports or drivers licences were seized and returned to consumers.
Many loan sharks (who have to register with the NCR) regularly take some sort of surety from a consumer who comes for a loan. In many cases, it is a bank card (and perhaps even pin number) or one of the consumer’s identity documents. For some consumers, not having their ID books meant they could not head to the polls this month during the voting, which demonstrates just one repercussion of not having your ID book or similar documents.
‘It is illegal for a credit provider to take your ID or SASSA card to ensure you pay’
After conducting the 6 raids during those months, 5 different criminal cases were opened against the individuals running the small, illegally operating, credit providers. It is illegal for a credit provider to take your ID or SASSA card to ensure you pay. If a credit provider in your area has done so then alert both the NCR and local SAPS.