NCR Registered Payment Distribution Agencies
The National Credit Regulator registers and monitors industry role players such as credit providers, Debt Counsellors, Credit Bureaus, Alternative Dispute Resolution Agents and Payment Distribution Agents (PDAs).
Payment Distribution Agents receive money from consumers (normally one consolidated payment each month towards their debts) and then divide that payment up into a series of smaller payments to various credit providers. This is done in accordance with the debt review plan as devised by the consumer’s Debt Counsellor and ratified by the Magistrates Court (in a debt restructuring court order).
3 Registered PDAs
The National Credit Regulator has thus far only ever registered 3 Payment Distribution Agencies, namely NCRPDA1 Hyphen PDA, NCRPDA2 DC Partner and NCRPDA3 NPDA. If you are contemplating entering debt review you can ask your Debt Counsellor which PDA they recommend you use and why. Under the Consumer Protection Act, you have the right to use any service provider (and according to the National Credit Act you don’t have to make use of a PDA). Normally, however, your Debt Counsellor will advise you to use one particular PDA over the others as they have a good working relationship with that particular PDA. This makes it easier for them to assist you with PDA and payment related matters.
‘ask your Debt Counsellor which PDA they recommend you use and why’
Debt Counsellors Never Touch Consumer’s Payments
A Debt Counsellor will never take payment towards debts from a consumer. To remove any possible compromising situations payments are kept separate. If you are dealing with a firm offering to help you with your debt and they ask you to pay money directly into their account you will immediately know they are not a NCR registered firm and are breaking the law. You should report this firm to the police and NCR as soon as possible. Debt review payments are normally made via a PDA and any monthly fees that are due the Debt Counsellor come from the money the consumer pays to the PDA (not directly).
If you want to do more research about these companies you can visit their websites: