Govt seeks repossession options

Johannesburg - Government is to hold talks with the banking sector about finding alternatives to the repossession of homes, Human Settlements Minister Tokyo Sexwale said on Wednesday.

Responding to a question in the National Assembly, he told MPs that banks had repossessed more than 3 900 houses over the past few years, and the economic recession gripping the country was putting more and more home owners at risk.

"According to information that has been obtained from Basa [the Banking Association of SA], more than 3900 houses have been repossessed, at a total monetary value of almost half a billion rand for those houses."

His department was in touch with the banking sector.

"And we'll be sitting down with [them] so that we can discuss innovative as well as other ways of addressing this question.

"We must say though that although banks can make a difference, it should also be very clear that South Africans should be very prudent in so far as how they handle their mortgages."

Sexwale said there were many proposals that could be put to the banks.

"There are many schemes that can be put forward, but we are mindful of the fact that you don't force the banks. You can't do that. You bring them on board.

"In this particular case, I cannot table here the contents of the agenda of the meeting we are going to hold with them.

"We will hold that meeting, we will hold them accountable for certain guidelines and certain measures and targets, but it must be a discussion... of people who are all engaged trying to find a common solution to a problem that's common to all of us here," he said.

Sexwale did not say when the talks would take place.

- Sapa