NCR & Credit Ombud Team Up To Help Consumers
The National Credit Regulator (NCR) regulates the credit industry including all the banks and anyone else who offers credit (non banks). When it comes to the banking sector there is a Banking Ombud and for non banks there is the Credit Ombud. These Ombuds have jurisdiction in terms of the National Credit Act (NCA) and help resolve disputes between consumers and credit providers.
Sometimes the investigative services offered by these organisations can possibly overlap. This is why the NCR and the Credit Ombud have signed a new agreement (Memorandum of Understanding) about how to handle such matters. They have also set out what each party will take care of etc.
‘the NCR and the Credit Ombud have signed a new agreement … about how to handle such matters’
The NCR and Credit Ombud have agreed that instead of using vital limited resources at the NCR they will refer matters to the Ombud for disputes relating to non bank credit providers. The Ombud has agreed to a system of reporting to the NCR so that they can report and track how things are going.
They also agreed to how training will be done in regard to these matters and how they can cooperate to raise awareness and consumer education.
It is worth noting that if a matter does go to the credit ombud it can still later be referred to the NCR if parties are unhappy with the outcome (as it is a voluntary process. The NCR however will lean heavily on the outcomes of the Credit Ombud matter in any further investigation)