FACTS ABOUT LOANS
THINGS YOU SHOULD KNOW BEFORE TAKING OUT A LOAN
TERMS AND CONDITIONS
The client can only take out a loan if the client is in a financially stable position, meaning the client will be able to honor payments every month once the salary has been paid into his account.
The client must agree that we or the money lenders may collect confidential credit information to decide whether the client will qualify for a loan, and to monitor his credit profile in cases where payment has not been provided for our services, thus potentially resulting in terminating future services provided by us and the money lenders due to unpaid instances.
The client will be responsible to make payments on the dates agreed by us and the credit provider, and we or the credit provider can share the clients credit information with a collection company due to failure of payment.
RIGHTS AND OBLIGATIONS
The quotation provided is not based on all the personal information of the client, and the approval or declination of the credit application is at the discretion of credit provider.
The client gives permission to the credit provider to contact the Credit Bureau and creditors of the client to determine the clients credit profile.
The client comprehends that if he/she should fail to make payments to the credit provider, can result in the credit provider retaining the full outstanding balance, plus additional costs, due to the enforcement of the agreement.
Administration and initiation fees are updated by the National Credit Regulator.
The client must notify the credit provider if:
1. The client loses his job and become unemployed
2. The client changes his job
3. The client changes his bank account details
4. The client changes his residency, postal and work address
If the client fails to notify the credit provider of these changes, the credit provider will eliminate the contract agreement and claim the full balance, plus any additional costs of the loan.
If the client does not adhere with the credit agreement, the client will be responsible for the payment of all default administration fees. This is R29 excluding Vat per letter plus the delivery expenses of these letters.
CREDIT PROVIDER CAN TERMINATE AGREEMENT
The credit provider will eliminate the agreement, without prior notice, and retrieve the unpaid balance and interest rates as well as other fees of the client if:
1. The client has failed to pay the monthly agreed amount .
2. The client has died.
You may be entitled to more than one loan. If your current loan has been paid on time and consistently you may receive 2 or 3 loans, however each loan needs to meet the criteria of the first initial loan that was granted.
CODE OF PRACTICE
We adhere strictly to the rules and regulations of the National Credit Regulators of South and the National Credit Act of South Africa.
ANNUAL PERCENTAGE RATE AND DISCLOSURE FEES
The National Credit Act of 2005 states that the percentage of short term loan fees is 5% monthly or 60% annually. Clients will be provided the cost of the loan before having to apply for a loan, plus they will be aware of administration fees as well as an initiation fee which corresponds with the NCA ( National Credit Regulators). This information is presented to our clients, so our clients know the exact costs before taking out a loan.
TERMS AND CONDITIONS TO THE AGREEMENT OF LOAN OPTIONS
Loan Options is not a credit provider or a working agent to a credit institution. We simply act as a loan lead provider and do not make any profit percentage on the agreement of a loan between a client and a credit provider. We do charge a one time loan lead provider initiation fee which is completely separate from the loan itself.
The loan lead initiation fee is debited on the clients next pay date, and it is debited by use of NAEDO, by PAYM8. Once your application has been submitted to the credit providers, the initial fee is non-refundable regardless of the outcome of the credit provider.
LATE PAYMENTS AND NON PAYMENT
Failure to make a payment or late payments in breach of contract with our company will result in additional charges. Clients are responsible to notify us if an agreed debit order does not go through as another means of payment can be arranged. Note the banking institution will charge you a service fee if your debit order does not go through.