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Johannesburg - Significant strides have been made in resolving
complaints from consumers and businesses negatively affected by credit
bureau information and disputes with credit providers, the credit
ombudsman said on Wednesday.
Credit Ombudsman Manie van Schalkwyk said 3 550 out of 3 870 disputes were settled in 2010.
"The credit ombud ruled in favour of consumers in 69% of cases and 86% of all cases were resolved within 60 days, compared to 79.48% the previous year," Van Schalkwyk said.
"We managed to put R700 000 back in the pockets of consumers."
Van Schalkwyk said consumers need protection and assistance more than ever to ensure that accurate information is held on their credit profiles in the depressed global economy.
"Our report shows that we continue to be a helping hand for thousands of consumers each year."
The majority of cases closed during the year involved insufficient or incomplete credit information listed on the credit receiver's credit profile.
About 22% of cases were the result of negative credit information remaining displayed on a credit bureau for a longer period than dictated by the National Credit Act.
"In the area of non-bank credit disputes, a major concern is where payments are misallocated or statements are not forthcoming from credit providers," Van Schalkwyk said.
"When it comes to credit information, monthly payment profile records are not being updated by credit providers and rescinded judgements remain active on the credit bureaux."
The increase in fraudulent rescission documents being produced by consumers had led to credit bureaus taking longer than the required 20 working days to investigate these documents.
From January 1 2010, the credit ombud's mandate was extended to include non-bank credit complaints.
Although the take-up was initially slow, the office now employs four full-time, legally qualified staff to deal with this area.
As its existence becomes better known, its case load is increasing.
During 2010, the department investigated 558 disputes and closed 428 of them, saving consumers R700 000.
The office of the credit ombud was also approached by the credit industry, debt counsellors, payment distribution agents and the National Credit Regulator (NCR) to incorporate and provide an ombud service for debt counselling matters.
This came about after a task team set up the by the NCR recommended that an ombud should be set up to assist consumers under debt review.
"We will now ensure compliance with the various codes of conduct adopted by credit providers, debt counsellors and payment distribution agents," Van Schalkwyk said.
"In the year ahead, we're looking forward to helping consumers under debt review who previously had limited means of recourse in disputes with their debt counsellors and/or their credit providers."
Credit Ombudsman Manie van Schalkwyk said 3 550 out of 3 870 disputes were settled in 2010.
"The credit ombud ruled in favour of consumers in 69% of cases and 86% of all cases were resolved within 60 days, compared to 79.48% the previous year," Van Schalkwyk said.
"We managed to put R700 000 back in the pockets of consumers."
Van Schalkwyk said consumers need protection and assistance more than ever to ensure that accurate information is held on their credit profiles in the depressed global economy.
"Our report shows that we continue to be a helping hand for thousands of consumers each year."
The majority of cases closed during the year involved insufficient or incomplete credit information listed on the credit receiver's credit profile.
About 22% of cases were the result of negative credit information remaining displayed on a credit bureau for a longer period than dictated by the National Credit Act.
"In the area of non-bank credit disputes, a major concern is where payments are misallocated or statements are not forthcoming from credit providers," Van Schalkwyk said.
"When it comes to credit information, monthly payment profile records are not being updated by credit providers and rescinded judgements remain active on the credit bureaux."
The increase in fraudulent rescission documents being produced by consumers had led to credit bureaus taking longer than the required 20 working days to investigate these documents.
From January 1 2010, the credit ombud's mandate was extended to include non-bank credit complaints.
Although the take-up was initially slow, the office now employs four full-time, legally qualified staff to deal with this area.
As its existence becomes better known, its case load is increasing.
During 2010, the department investigated 558 disputes and closed 428 of them, saving consumers R700 000.
The office of the credit ombud was also approached by the credit industry, debt counsellors, payment distribution agents and the National Credit Regulator (NCR) to incorporate and provide an ombud service for debt counselling matters.
This came about after a task team set up the by the NCR recommended that an ombud should be set up to assist consumers under debt review.
"We will now ensure compliance with the various codes of conduct adopted by credit providers, debt counsellors and payment distribution agents," Van Schalkwyk said.
"In the year ahead, we're looking forward to helping consumers under debt review who previously had limited means of recourse in disputes with their debt counsellors and/or their credit providers."
