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NCR to help Magistrates identify hold ups

The National Credit Regulator has recently received a lot of feed back from Debt Counsellors saying they are having issues at certain courts in regard to getting consumers court orders for debt restructuring granted.

While a Debt Counsellor will help negotiate with creditors in regard to agreements that can be reached between CPs and Consumers, it is only a Magistrate who can grant a court order which replaces the power of a contract between both parties.

In some areas consumers struggle to have these orders granted which leaves them open to additional necessary litigation.

Recently the NCR called for a more detailed report from Debt Counsellors regarding various courts and the particular challenges in each.

Morris Maluleke has personally said” The NCR has been engaging with Magistrates provincially to address the shortcomings in the courts system with regards to debt counseling cases.” He says that in particular the Gauteng Chief Magistrate would like to have “specific information with regards to challenges encountered in the Gauteng region.”

This sparked off the recent call for more info. The NCR are now requesting that DCs send them information in the following format:

  • Specify the court
  • Specify the challenges encountered in that court.
  • etc

They have asked that written submissions be sent to the NCR

(on mmaluleke@ncr.org.za ) by no later than 26th October 2012.