Before you share your ID, payslip or bank details with any lender, check that it is registered with the National Credit Regulator (NCR) using the register on ncr.org.za. Registered credit providers have an NCR registration number, usually starting with NCRCP, and should show it on their documents. Unregistered lenders have been reported targeting social grant beneficiaries, using their grants as security for loans with excessive monthly interest. Never hand over your bank card, PIN or SASSA card, never pay a fee to “release” a loan, and always get a written quote showing the total cost before you sign. If something feels wrong, report it to the NCR.
| Warning sign | What a registered lender should do |
|---|---|
| No registration number, or a number you can’t find on the NCR register | Shows its NCR registration number on its documents and website |
| Asks you to pay a fee before the money is paid out | Gives a written quote with all fees and the total cost before you sign |
| Keeps your bank card, PIN or SASSA card as security | Doesn’t need your card or PIN |
| Pressures you to sign immediately | Gives you time to read and compare the agreement |
| Extremely high monthly charges | Discloses interest and fees clearly in the agreement |
Sources
- National Credit Regulator (NCR): register of credit providers
- IOL: Personal loans news (reports on unregistered lenders targeting grant beneficiaries)
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