Bank account: this is a temporary agreement in which there is no fixed timetable for repayment and sets a maximum credit limit. The consumer can transfer the property subject to the credit contract at any time, whether the consumer is late or not. This provision is the subject of an in-depth discussion above. The maximum introductory commission in the form of settlements is R150 by credit contract, plus ten percent of the contract amount of more than 1,000 R1, but never more than 1,000 R1,000. In addition, the initiation fee must never exceed 15% of the main debt. A credit contract can only be declared unwise if it is established that the consumer is over-indebted. If the debtor finds that the consumer is not over-indebted and feels that one or more credit contracts are reckless, these agreements should not be declared unwise. As a result, credit providers may continue to impose credit contracts that are in fact reckless but not formally declared unwise. Section 90 lists many provisions of credit contracts (unlike all agreements) that are illegal and inadmissible. There are too many of them to make the list. The list is broad and extensive; Many of these provisions are likely to be open to a wide range of interpretations, which should lead to uncertainty. For example, a provision is illegal if its general purpose or general effect is to enslave the purposes or directives of the law or to “mislead” the consumer.
In addition, a provision is illegal A consumer may at any time return to a credit provider goods subject to a credit contract, whether the consumer is late or not. The lender must then sell the merchandise and use the product to settle the account. With regard to the old Credit Contracts Act, this procedure applied only in cases of consumer delay. This new provision gives the consumer an extraordinary right to opt out of the agreement if he chooses to do so. The crucial role of credit in the economy is explained in the policy framework of the Ministry of Trade and Industry of August 2004: while credit provides access to products or services that cannot be obtained from a single monthly income, it can also be a dangerous instrument that can lead to high debts and debts. A credit bureau is a company that is responsible for receiving reports or investigating credit applications and agreements, payment designs and other consumer credit information. Credit bureaus are also responsible for the production and maintenance of data and the publication of consumer reports based on this data.