Predatory lenders ‘are violating your rights’

Sebastien Alexanderson

It was Human Rights Day last week and as South Africans reflect on their rights and freedoms, a critical issue facing millions is the scourge of debt abuse and predatory lending. With an eminent result of over 42% of the country’s 23 million credit-active consumers classified as impaired, the threat is more than a financial statistic. The consistent violation of the Right to Protection from Unfair Lending and Debt Abuse under the National Credit Act (NCA) of 2005 is a serious concern. The scourge of reckless lending Despite the NCA mandating thorough affordability assessments by lenders to prevent reckless lending, many South Africans still end up in debt spirals. The allure of easy credit masks the harsh terms that often come attached, exploiting consumer vulnerabilities and leading to situations where…

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Cape Argus (Digital) - 1 Issue, 2025-03-25

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