Enactment of the National Credit Act and its implication on new and improved borrowers rights in South Africa
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Date
2015
Authors
Green, Paul
Sewnunan, Teshani Devi
Journal Title
Journal ISSN
Volume Title
Publisher
The Clute Institute
Abstract
The National Credit Act, 2005 (NCA) was introduced to create a more stable credit market and is applicable to all credit transactions. One of the main objectives of the Act is to establish new and improved rights for credit consumers. As a result, credit providers are obliged to comply with the NCA and enforce the new and improved rights. The purpose of this research paper is to determine if the NCA has established new and improved rights for home loan borrowers. The study utilised a mixed methods approach. Using a convenience sampling technique, a sample size of 250 respondents was used. The findings of the study revealed that borrowers’ rights are being enforced by credit providers by maintaining confidentiality, providing information to home loan borrowers on a regular basis and, most importantly, ensuring that home loan borrowers are well informed prior to entering the home loan credit agreement.
Description
Keywords
NCA, Credit Providers, Rights, Home Loan, Borrowers, Credit
Citation
Green, P. and Sewnunan, T. 2015. Enactment of the National Credit Act and its implication on new and improved borrowers rights in South Africa. The Journal of Applied Business Research. Vol 31(5): 1757-1766.