What is the National Credit Regulator (NCR)?
The National Credit Regulator (NCR) was established by The National Credit Act, 2005 (Act No. 34 of 2005). The NCR is responsible for the regulation of the South African credit industry.
The NCA requires the NCR to promote the development of an accessible credit market and to ensure that debt counsellors, the credit bureaux and credit providers are compliant with the Act.
What are the NCR’s responsibilities?
- Register and monitor the conduct of credit providers, credit bureau and debt counsellors.
- Educate and increase awareness of the protection the NCA provides.
- Suggest policy and legislation to government.
- Research the credit market in the country and monitor access to credit and the cost of credit to find out any factors that may affect consumer protection, competitiveness and access to credit.
- Manage complaints and make sure that consumers’ rights are protected.
- Enforce the Act.
The NCA introduced debt counselling as a debt relief measure to help over-indebted South Africans get out of debt. The process prevents consumers from being blacklisted as well as the other consequences that come with being over-indebted.
Consumers who are struggling to pay off their debt while making ends meet can apply for debt counselling to receive:
- A personalised affordable monthly budget.
- Restructuring of debts into one affordable monthly payment.
- Legal protection over your assets.
- Someone taking over, all communication with your creditors.
By law, all debt counsellors must be registered with the NCR.