NUMSA commemorates the 100 year anniversary of the Russian Revolution

Finances: DEBT!

23 November 2006, Posted in News

DEBT!

Charlene MoodleyEvery time I hear that word I shudder… that word for me and I am sure for many people is a burden that hangs over my head.But we have to face facts. We have to deal with it. It is nice to go and borrow money but when it comes to paying back the debt it becomes a completely different story. We find that we are borrowing money or opening new accounts. Sometimes we do this because we are genuinely in need of the money. Other times we do this because we want to keep up with the “Joneses” or the “Dlamini’s” next door.But the new National Credit Act (NCA) gives us rights as borrowers. And the National Credit Regulator (NCR) which became operational in June 2006 must enforce the NCA. Follow these tips to keep you out of the debt trap!

Dos and don’ts with credit agreements* When you sign agreements you must read the small print. If you don’t, you could find yourself signing an agreement that says that if you cannot pay, then the lender can hand over your case for judgement by the court. * Take your time when deciding when buying something or when borrowing money* Never sign a blank piece of paper from anyone who lends you money. They could add in something called a “Consent to Judgement”. This will give them the right to have your money deducted from your salary and the loan doubled if you default on your payments.* Shop around for the lowest interest rate before you make a decision to borrow money.

Do your expenses and debts exceed your income?If yes, then phone the Debt Relief Programme on 0860 444 440. This is a free service set up by government.Here debt counsellors:* can negotiate for lesser instalments so you can afford to pay your debts and still be left with some income to survive* can give you financial advice to help you cope * can give you legal advice – help you on how to get out of being blacklisted, even those under administrationNOTE: These debt counsellors WILL NOT:* give you money to pay your debts* will not consolidate your debts.

How do I know if the information that a credit bureau has about me is correct?Step One:The NCA says you can get one free credit record a year, thereafter you will have to pay up to R20 each time you request the information.Contact your credit bureau. Ask them for your credit record. Inform the credit bureau of the incorrect information or get them to explain what is not clear.If you think that they have the wrong information, ask them to change it.If they refuse to change it, go to

Step TwoContact the Credit Information OmbudCall Centre: 0861 OMBUDS (0861 662837)If you are still not satisfied, go to

Step ThreeContact the National Credit RegulatorToll Share: 0860 627 627e-mail: complaints@ncr.org.za

Ukubhekana nesikweletu!Umthetho Wezikweletu Kazwelonke omusha (National Credit Act (NCA)) ukunika amalungelo kanye nezinsizakalo ezintsha:* uma izindleko zakho zedlula imali oyitholayo, shayela Uhlelo Lokukhululwa Esikweletwini uthole iseluleko samahhala kumeluleki ngezikweletu kule namba 0860 444 440* uma kungukuthi ubhlekilistiwe, ungacela i-credit bureau ukuthi ikuthumelele imininingwane yamarekhodi ezikweletu zakho mahhala kanye ngonyaka. Shayela i-TransUninon ITC ucingo – Isikhungo sokushayela izingcingo: 0861 482 482; i-Experian SA – Isikhungo sokushayela izingcingo: 0861 105 665

Takel skuld!Die nuwe Wet op Nasionale Krediet (WNK) bied jou nuwe regte en dienste:* as jou uitgawes meer is as jou inkomste, kan jy die Skuldverligtingsprogram by 0860 444 440 skakel en gratis advies by “˜n skuldberader kry* as jy geswartlys is, kan jy die kredietburo vra om jou kredietrekordbesonderhede een maal per jaar gratis aan jou te stuur. Skakel TransUnion ITC – Oproepsentrum: 0861 482 482; Experian SA – Oproepsentrum: 0861 105 665

Ho shebana le dikoloto!Molao o motjha wa Naha wa Dikoloto e leng National Credit Act (NCA) o ho neha ditokelo le ditshebeletso tse ntjha:* haebe ditshenyehelo tsa hao di feta kuno ya hao, letsetsa ba Debt Relief Programme mme o fumane dikeletso tsa mahala ho tswa ho moeletsi wa dikoloto nomorong ena 0860 444 440* haebe lebitso la hao le kentswe lenaneng la ba hlolehang ho lefa dikoloto tsa bona (blacklisted), o ka kopa ba biro ya dikoloto (credit bureau) ho o romela rekoto ya dikoloto tsa hao mahala hang ka selemo. Letsetsa TransUnion ITC – Call Centre: 0861 482 482; Experian SA – Call Centre: 0861 105 665

————————————————————————————————————–Tjoo! What an empowerment!During October all Numsa administrators were put through a paralegal course run by the Black Sash. Paulina Mohale reports:We discussed issues that Numsa members face most of the time. These are some of the useful things I learnt:Budget: Combine all your accounts and pay off the little ones till you finish. Avoid borrowing money to pay other accounts because you are just creating more accounts. Avoid cash loans. You will have to pay interest on these cash loans, money that you could have used to payoff another instalment. Do not buy unnecessary things. Christmas is around the corner. Beware of specials that say “buy without deposit” because stores often double the payment later. Coida: Workers should identify industrial occupational diseases such as industrial asthma caused by gas inhaled by working. Before a worker can be declared permanently unfit, there must be three different opinions from three different doctors to confirm whether a worker is temporarily unfit or permanently unfit.Road Accident Fund: Claim within 14 days of being involved in an accident otherwise your claim might not be accepted. Administration Order: Only an attorney can do an administration order. S/he will combine all your accounts and go with you to court so that the magistrate grants you an administration order that sets out the money that you must pay. You cannot clear yourself from an administration order. Your attorney must clear your name again in court when you have finished paying all your accounts. Visit your nearest Numsa office to find out more from your administrators!

—————————————————What participants said:”When I was told to attend I was worried because I thought this will need young people to lead us! But we were all sailing in the same boat. Numsa has brilliant administrators; we were participating seriously.” Thandi Makhene, membership administrator from Western Transvaal.

“When they told us it was a paralegal course I thought it was about serious legal matters only. But all the issues were useful because they are issues that affect Numsa members and communities at large. We must know about these Acts and regulations because they will help to solve our problems without paying for an attorney to act on our behalf.” Tiny Matsaneng, Western Transvaal regional receptionist.