In 2007 The National Credit Act came into effect, thus creating an umbrella of options for consumers to obtain debt help.
The most pertinent solution offered by the act is the creation of the debt review process. When a consumer finds themselves unable to keep with the demands of their creditors, they can apply for debt review with the help of a debt counsellor and through doing so they can enjoy the protection that consumers are allowed under The National Credit Act.
Because of the The National Credit Act, the National Credit Regulator was established in order to help keep the new laws in effect and apply them in practice. The National Credit Regulators is a watchdog of sorts and is there to regulate creditors, consumers and debt counsellors in order to keep the debt machine working smoothly.
In addition to The National Credit Act, the Consumer Protection Act also has numerous sections dedicated to protecting consumers against unscrupulous creditors who skirt the law in order to get their money back.
The law is constantly evolving in favour of the consumer and it is pertinent that the consumer know that the law is now on their side and dead set on providing them with debt help. The days where consumers lived in fear of creditors and bankruptcy are coming to end thanks to these recent legal developments.
Article written by: Andrea van Tonder 04-2013