Home
Back
The National Credit Act (NCA)
 
Home
For Me
& My Family
For My Business
Corporates + Public Sector
Private
Calculators
Rates + Pricing
About FNB + Legal
Contact Us + Tools
Careers at FNB

Close

Close

Please select

For My Business

< R10m annual turnover

For My Business

> R10m annual turnover

Close

Please select

For My Business

< R10m annual turnover

For My Business

> R10m annual turnover

Close

Close

Daily Banking

Close

Tools

Register Forgot Username or Password Verify payments

Close

Menu

Bank Family & Life stage solutions Events & Services Bank better

Switch to FNB

Product Shop

Financial Solutions

Bank Invest Borrow Insure Connect

Ways to bank

Digital Banking Branch, ATMs + Telephone Banking + @Till Banking Digital Payment Solutions nav»

Invest abroad

Global Solutions

Financial planning

Overview Personal goals Child's education Emergencies Tax free Estate + legacy planning Employee Benefits

Forex

Foreign exchange solutions

eBucks Rewards

eBucks Rewards SLOW

Switch to FNB

Product Shop

Lifestyles

Family Banking Youth accounts FNB EasyPlan Islamic banking Premier Young Professionals Medical Professionals Premier Select Over 55s Encore - Over 55s Retirement

Switch to FNB

Product Shop

Events

Events

Services

DebiCheck and Debit Order Balance Alert Limit Alert LOTTO and PowerBall Prepaid products Soccer six Traffic fines Switching Services inContact Online vouchers Payments and Debit Orders DStv Payments Account Closure Guide

Switch to FNB

Product Shop

Bank better

Learn about banking FNB App guides

Close

Switch to FNB Business

Product shop

By Turnover

First Business Zero (R0 - R5 million p.a) Gold Business (R0 - R5 million p.a) Platinum Business (R5 million - R60 million p.a) Enterprise Business (R60 million - R150 million+ p.a)

Transact

Business Accounts Credit Cards Cash Solutions Merchant Services eWallet Pro Staffing Solutions ATM Solutions Ways to bank Fleet Services Guarantees

Savings and Investments

Save and Invest 3PIM (3rd Party Investment Manager)

Borrow

FNB Cash Advance Overdraft Loans Debtor Finance Leveraged Finance Private Equity Securities Based Lending Selective Invoice Discounting Asset Based Finance Alternative Energy Solutions Commercial Property Finance Fleet Services

Insure

Insurance

For my employees

Staffing Solutions Employee benefits

Forex + Trade

Foreign Exchange International Trade Structured Trade + Commodity Finance Business Global Account (CFC account)

Value Adds + Rewards

Connect my business the dti initiatives Enterprise and supplier development Business Hub eBucks Rewards for Business DocTrail™ CIPC Integration Channel Instant Accounting Solutions Instant Payroll Instant Cashflow Instant Invoicing SLOW 24/7 Business Desk FNB Business Fundaba nav» Marketplace Prepaid products Accounting integrations

Industry Expertise

Philanthropy Chinese Business Islamic Banking Agriculture Public Sector Education Healthcare Franchise Motor Dealership Tourism

Going Global

Global Commercial Banking

Financial Planning

Overview

Bank Better

KYC / FICA Debit order + recipient switching Electronic Alerts

Close

Corporates + Public Sector

Corporate Public Sector

Close

Home Loans

Affordability Bond Calculator

Day to day banking

Budget Future Value Credit Cards

Shares

Share Investor

Vehicle Finance

Vehicle Repayment Vehicle Purchase Price

Close

Product Rates

Save and Invest Transactional Savings Legal Practitioners and General Trust Account Global Accounts

Pricing Guide

Overview

Rates

Foreign Exchange Rates Lending Rates

Indicators and Share Price

SA Indicators

Close

News + Insights

Press Office Economics commentary Insights Business Hub

Close

Terms + Conditions

Product Terms and Conditions Promotions Terms and Conditions Legal Matters

About Us

World of FNB

News + Insights

Press Office Economics commentary Insights Business Hub

FNB Subsidiaries

Botswana Lesotho Ghana Namibia Swaziland Zambia Channel Islands

Close

Talk to us + important numbers

Contact us

Fraud + Disputes

Security Centre

Locators

ATM Locator Branch Locator/Book a Branch Visit eWallet GEO Locator

Tools

Switching Services Track and Trace Lead Form Tracking Upload Documents - For Me Upload Documents - For My Business Reporting a death Software Downloads FNB Approved Suppliers FNB Prospective Suppliers Verify Guarantee Verify Statements Verify Payments Verify Account Confirmation/Visa Application Letters eWallet balance enquiry

Close

Careers at FNB

Find out more about careers at FNB Apply here

Close

Close

All savings + investment accounts

Cash deposits

Notice deposits Immediate access Access to a portion Fixed deposits

Share investing

Shares

Tax-free investing

Tax-free accounts

Funds/unit trusts

Ashburton specialised products

Invest abroad

Offshore products

I want to save for

Personal goals Child's education Emergencies Tax-free

Compare similar

Compare

Additional options

Show me all Help me chosse Find an advisor

Financial planning

Overview

Close

Close

Get in touch

FNB is here to help you. Do you know that in terms of the National Credit Act No.34 of 2005, you are entitled to one Credit Report once a year, in your month of birth.

Apply here for your Credit Bureau Report

If you need additional reports

You may obtain these at any other time against payment of the Credit Bureau Fee.

Please direct any queries with regard to the Credit Bureau Report to:

Telephone: +27 (0) 11 214 6000/0861 482 482

Email: webmaster@transunionitc.co.za

Operating hours: Monday to Friday 08h00 to 17h00 and Saturdays from 08h00 to 13h00

Close

Consumer rights

Credit bureaus: The Act gives consumers the right to access and challenge their credit record and information held by credit bureaus. In addition, all information that credit bureaus keep about consumers is regulated.

Language: Consumers have the right to receive documents in plain and understandable language and they may also request a document in any one of two official languages.

Close

Marketing practices

The Act aims to put a stop to misleading advertising around credit, credit products and facilities, and the cost of credit.

  • Negative option marketing (whereby an agreement will automatically come into existence unless an offer is specifically declined) is not allowed
  • Phrases like 'no credit checks', 'free credit', and 'guaranteed loans' cannot be used. Marketing of credit at the consumer's home or workplace is prohibited without the consumer's consent.
  • Consumer choices must be obtained and kept as a record.

Close

Pricing

All new credit agreements need to disclose interest rates, fees and additional charges and also subjects interest rates charged to a maximum rate of interest that may be charged.

These cost controls prohibit interest or other costs in excess of those prescribed rates.

Add-on costs for insurance are prohibited. All costs must be advised in advance and the consumer has the right to arrange insurance directly, rather than pay the credit provider to do so, and to choose to arrange his or her own insurance policies.

Close

Applying for credit under the NCA

  • Pre-agreement: The credit provider must provide the consumer with a pre-agreement, containing the main features of the proposed agreement and a quotation of the costs. This pre-agreement is valid for 5 days and gives consumers an opportunity to shop around for the best deal.
  • Credit assessment: The consumer will be required to provide certain information in order for the lender to assess affordability. This may include a detailed statement of income and costs, a household budget and details of other credit commitments.
  • Credit bureaus: The Act requires the credit provider upon entering or amending or terminating a credit agreement to report the transaction to a credit bureau.
  • Records of application: Credit providers will be required to keep records of all applications for credit, credit agreements and credit accounts for a prescribed time.
  • Payment of accounts: A consumer may pre-pay any amount owing at any time, and fully pay out the account at any time without penalty, except in the case of mortgage bonds or agreements in excess of R250 000, which are subject to a termination charge of not more than three months interest.
  • Spouse's written consent: For marriages in community of property, the Matrimonial Property Act, following from a consequential amendment made by the NCA, requires the written consent of the spouse, when one spouse applies for credit.

Close

Over-indebtedness and reckless lending

The Act aims to promote responsible credit granting and use.

To achieve this, when a customer applies for credit, a credit provider would need to check whether the consumer can afford the credit because if no check is done or if it can be shown that the consumer clearly could not afford to repay the credit agreement, it could be alleged that the credit provider has granted the credit recklessly, with severe consequences to that credit provider.

During this affordability assessment, the onus is on the consumer to fully and truthfully answer any request by the credit provider for information. In the case where a consumer gets into too much debt, a debt counselling service is offered.

Close

Complaints

The National Credit Regulator will monitor credit providers and their compliance with the Act and regulations.

A National Consumer Tribunal is established to adjudicate in a wide variety of applications, and to conduct hearings into complaints.

Close

The Act

In a nutshell, the Act:

  • Provides one set of rules for all credit activities,
  • Aims to prevent reckless lending, over-indebtedness and unfavourable lending practices, and
  • Establishes new and improved rights for credit consumers.

Who the Act applies to

The NCA applies to credit agreements with all consumers entered into after 0I June 2007, and to entities whose asset value or annual turnover is below R1 million, such as:

  • Close corporations
  • Companies
  • Partnerships
  • Trusts

The National Credit Act (NCA)

Meeting your needs responsibly

First National Bank, as a registered credit provider, fully supports the National Credit Act.

What this is

Protecting the consumer

In a nutshell, the Act:

  • Provides one set of rules for all credit activities,
  • Aims to prevent reckless lending, over-indebtedness and unfavourable lending practices, and
  • Establishes new and improved rights for credit consumers

How this affects you

Promoting + advancing social and economic welfare

This new legislation will affect you if you are applying for any of the following types of products

Overdrafts

A short-term credit facility to cover unforeseen expenses or to serve as a safety net



Credit cards

A credit card can be a convenient way to pay for almost anything, from a new pair of shoes to a holiday in the sun without having to use cash



Instalment agreements

A sale of movable property where the payment of the full price of the goods is delayed and is to be paid out in regular payments over an extended and agreed period



Mortgages

A legal agreement by which a bank, building society, etc. lends money at interest in exchange for taking title of the debtor's property



Financial leases

A type of lease in which a finance company is typically the legal owner of the asset during the duration of the lease



NCA explained

Consumer rights

Access to credit bureaus + language options

Read More

Marketing practices

Put a stop to misleading advertising around credit

Read More

Pricing

New credit agreements need to disclose interest rates, fees + added charges

Read More

Applying for credit under the NCA

Designed to protect the consumer

Read More

Over-indebtedness + reckless lending

A debt service is offered

Read More

Complaints

Monitoring compliance

Read More

First National Bank - a division of FirstRand Bank Limited. An Authorised Financial Services and Credit Provider 1929/001225/06 (NCRCP20).