Is there a way to get any credit approval, e.g. loan in order to settle this amount?

Justin Glanville

One thing that I would like to state / clarify is this. A judgment does not (rephrase) should not necessarily deny you credit. However it should be treated as an indicator of the odds of you defaulting.

The main thing is can you and will you afford that loan of R4,900 if a bank gave it to you? I think that is what you need to prove to your bank manager. Next would be to tell them that your intention to use that loan is to settle the bad debt / judgment. I would say even if you have to get an affidavit do it. Granted, we do not live in a perfect world! Try everything though!!

Get on it pronto since after 1 September 2007, you will have to get an attorney to represent in court after settling the debt. Which could amount to R4,900 plus another R2000 (lawyer fees)!

BR,
wwww.liberatingconcepts.co.za

Come back to let us know how it went!

My property is currently valued at approx. R1,500,000 and there is only approx. R175,000 left owing on the current bond.

Since this is surely a positive and relatively low-risk situation, is there any way I can apply for an extension on my bond in order to settle the judgement etc?

Jinx Glanville

Yes I agree slightly that from an exposure point of view that you are relatively low risk. Though remember that the fact that you have a judgment says, to the credit grantor, you do have a tendency not to repay!

Some credit grantors may decline you just because you have a judgment, since they fear you might default with them too. However, adverse information (sometimes referred to as blacklisted) does not determine your affordability!

The solution to your problem depends on a few factors.
How much did you originally lend from the bank when you bought the house? I.E. how much is it registered for at the deeds office?
With some banks, First National Bank, for one you can get a one account where you can withdraw any money that you’ve paid into the bond so long as it’s below the bonded value. Speak to your bank to see if you have this facility.

The thing with bond extension is that the bond has to be re-registered with the deeds office. Which means that SARS get’s alerted and will put a halt on things if you owe them. This might be the case with you.

If the options above do not work for you, you can always apply for a personal loan, but put your portfolio together to prove that you are not such “high-risk”. Use the money to pay SARS, once that’s sorted, get an extension and repay the personal loan.

Please do return and let us know what didn’t work or worked…
Kind Regards,
www.liberatingconcepts.co.za

I have a judgement against my name, since 2003/04, which i have settled in full. Can i get this withdrawn-cleared, they say i have another year or 2 .

Tell me what about, if you could debt consolidation, is that a good idea, what are the advantages and disadvantages.

Hope you can help.

Best Regards
Natalie

Your case is simple actually… Yes you can get the judgment rescinded / cleared / reversed (whatever you wanna call it) and you should!

How?

Well, it depends on the amount i.e. monetary value. But as a guideline if it’s below R50 000.00 then the credit information amnesty WHICH ENDS TODAY is your answer!
First of all you should really read this article about Credit Amnesty as per National Credit Act
.
Do you have proof that you settled this debt?
Submit it to the credit bureaus, TransUnion and Experian are the main ones that count for now…

Debt Consolidation…
Well this depends and do find more advice! I say if you consolidate into a lower interest loan (e.g. bond extension) then it is an advantage. Secondly, if you go that route make sure that you do not go into more credit agreements untill you have settled this newly consolidated loan or covered it some bit. The thing if you get more credit after consolidation, you are in danger of being over extended / over indebted. Then it is the beginnng of all sorts of problems!

liberatingconcepts.co.za

Thanks

Janice

We have a judgement on a City of Cape Town account going back to 2003. We have made a payment arrangement, and being paying amounts on this account since 2005. In addition the City has “written off” R7000. our monthly statement reflects we are still outstanding in current amounts, it shows only a total and payments coming off the whole.We have asked for a statement of how much is still owing pre the judgement,(with a view to having it marked as paid off) but they are unable to work our how much we are still outstanding (if any) from that period. In addition, they have refused to give us a letter removing the judement (2003) as we currently owe amounts from 2005. Surely this is not legal? we are desperately trying to get a further bond to consolidate our debts including paying off City of CT, but the banks will not help us because of the judgement. The city of CT has offered to remove the judgement if they can get a letter from the bank officially stating that our new bond will pay off their account! Of course the bank has refused to draft such a letter. We are trying to get this finalized for amnesty, but “conveniently” the City official investigating our query is on leave. What can we do?

I gather your situation but what are you asking here? Are you asking if the loan can be scrapped without you paying? How much was the loan? Or are you asking how to sort clear your name?

If a creditor, in this case the City of Ape (I’m sorry –Cape) Town cannot give you a statement detailing how much you owe them (or them you for that matter) then how can they prove you owe them? How do you know if you are not being ripped off?

You should read this article on dispute resolution. I would say dispute this with a credit bureau on the grounds that you have paid and cannot get a detailed statement and if you believe you have paid the amount off then state that too. A dispute will be logged the credit bureau will follow-up with the City of Cape Town who, thanx to the National Credit Act, will have to prove that the judgment is correct and you still owe the money. < -- within 20 days nogal!

If no joy there is the credit information ombuds (CIO) and the National Credit Regulator (NCR) to escalate matters.

I had some speed bumps a few years ago which obviously resulted in me being blacklisted.currently i am under administration with a balance of about R6000 . This i will settle by end December. However i viewed an ITC report and discovered that i have an adverse from Nedbank from a loan made in 2001. After I left the company i worked for at the time, no contact was made between Peoples Bank and myself for approx. 3 years. No letters were sent or any means of correspondence. I then assumed that the loan had some sort of insurance that covers the unemployed. It is now 2007 and the Itc report i have is dated 29 August 2007. The report states that the account was opened in 2001 but the judgement in 2006.
I have rehabilitated since which is proven in my ITC report.
Due to this i cannot open a cheque account or credit card, nor can i apply for home loan. I am a branch manager in a reputable retail company (Joshua Doore) and i am well aware of the new credit act and what it entails. My question however is can Nedbank list this judgement after almost 7years?

Please help,

Thaabied Dante

I was married in community of property and my now, ex husband incurred debt during the marriage, resulting in my name reflecting 7 judgements. I divorced in 2005 and only then requested my credit rreopt. I was HORRIFIED at the information listed. I struggled for a year (2006) to clear my name. Endless telephone calls to trace attorneys(who move office, tracing credit grantors who disbanded and joined one bank (SAAMBOU) resulted in so much frustration and sleeples nights worryong whether the sheriff of the court will come and collect my furniture. Nevertheless i took advantage of the amnesty granted by the New Credit Act and got all the judgements removed. I was so happy but all at once that joy bubble was burst when another judgement appeared on my name. It was listed by Barnards Inc Att for services rendered. I approached them to help me clear my name but they sent me a bill which i disputed and they then listed a judgement against me. THey alaso never sent me bprior warning or final demand letters informinmg me of their intentions. I am absolutly livid!! Help please!! I want to tackle them on the fact that in terms of the new Act they never informed me(access to information). What are my rights as a consumer?
PS To clear your name is not an easy ask.The credit grantors are not willing to assisst you and they make you feel shameful for the adverse info against your name

I signed a Virgin Active contract in April 2003. However, three days later (there was a 5-day cooling off period) I cancelled this via fax.

After having sent the fax, I phoned the Virgin Active branch repeatedly trying to get hold of the sales consultant with whom I had signed up. She never returned my calls. I eventually asked to speak to the manager who then confirmed that she had received my fax and that everything was in order. I left it at that.

On 31 August 2007 I received a phone call from someone in the accounts department at Virgin Active informing me that I owe them a large sum of money. I explained what had transpired and that in light of that I assume no responsibility for any payment. The guy asked me if I had any proof of cancellation???? This happened 4 1/2 years ago! No, I don’t have any proof. We moved to Centurion in 2005 and upon moving back to Cape Town some boxes containing vital paperwork went missing. (IRP 5’s and such that we had to get copies of).

Is this legal - calling me after all this time? Surely they would have written my “debt” - I don’t believe I owe them a cent - off after 4 1/2 years?

Could you please shed some light on this?

Thank you

Chantal

My husband and I are currently under administration since August 2005, we have been paying our monthly dues faithfully. we however would love to get all of this behind us cause we are much more stronger financially that what we were 2 years back. we are trying to get a 2nd bond on our house so that we can pay up all the debt and start fresh. our home it valued at - R 450 000 and we only owe about R130 000 but we cannot get any finance from the banks…is there any other solution? or do we have to be under this punishment for the next 10 years?

I’m pleased to hear that the credit amnesty worked for you.
Regarding your question on “tackling your creditors on the fact that they never informed you prior to listing you with a credit bureau based on the new national credit act”. This act became effective 1 June 2007 for the credit grantors and unfortunately as with any law, it can not apply retrospectively. This means it will be quite tricky to use that one. (By the way it is also unlawful for a credit grantor to “list” you / report any adverse information on your payment behaviour if you are disputing those facts as per NCA - just as an aside)

However, you mentioned that you were disputing the bill at the time. I think what you can use in this case from your “ammunition bag of consumer rights” is lodging a dispute with the credit bureaus.

This will put the onus on the credit grantor to prove that you do owe them and that it is the correct figure, etc, etc, etc. If they can not prove the facts within 20 days, then the record will be permanently removed off your credit history!

Click here for a guide to dispute your credit report
P.S. Yes from a consumer’s point of view it is not that easy to clear your credit record. This also depends on the circumstances, so we can not generalise.

Regards

Yours is a very tricky case indeed!
So sorry to hear what you have been through.
Even more unfortunate is the fact that you might have to pay the debt.

Before that, I would advice you to lodge a dispute in the light that the debt had (or may have) prescribed. Thanks to the Prescription Act 68 of 1969 a debt prescribes after 3 years. I stand to be corrected on this but I would suggest you get a copy or legal advice to verify if this has not changed and if it stands. I think it is a good shot given that you received no communication, unless you changed addresses and did not let the credit grantor know of this and they kept sending to the old address.

You may also hear that the credit grantor has 10 years to claim their money from you, and then the debt prescribes. But they can always call you and if you admit to owing them the money thereafter, the period extends to a further 10 years.

This is to give some guidance and plausible alternatives and can not be taken as legal opinion:-).
Regards

Do you have proof that you settled this debt? If so lodge a dispute with a credit bureau and submit that as proof. They will follow-up with the credit grantor in question to confirm if you should still have this record showing. If not it will be removed.
See this article on how to dispute information on your credit report.

The other way is to get an attorney, who will obtain a letter from the credit grantor admitting that you have paid and consenting to the judgement being removed. Armed with that, he will go to court, present this to a judge, who should rescind the judgment. Which you would then submit to all the credit bureaus!

L8R!

I would say your best bet is to speak to your bank and ask for a personal loan (not the best of interest rates here). Settle the outstanding amounts with that loan and get those judgments off your names. Once all this is done, apply for that bond extension and close off that personal loan.

Regards!

You could try a consolidation loan which you pay over a longer period but gives you lower instalments. This could assist in freeing up some cashflow, BUT DO NOT GO SPEND IT AGAIN!!

Speak to your bank regarding a debt consolidation loan.

L8r!

I would say speak to the Credit Information Ombud first.
Second you can ask if this debt hasn’t prescribed (old and should be forgotten).
The other option is to lodge a dispute with a credit bureau and maybe Virgin won’t be able to prove their case and all this will be history.

Regards.

I think a judgment can only stay for 5 years on your credit report although it stays longer on court records. The credit bureaus should not allow such an old (older than 5 years) judgment to appear or be loaded.

Regards.

Goodluck!

I just want to know the meaning of being blacklisted. Is it that you cannot open accounts in stores or it is if you have judgements?

Thanks
Sinazo

For more information on what it means to be blacklisted click here.

Regards

Hope you can help.

Get that on writing and log a dispute with the credit bureaus and they should remove the record from your report. <-short term

However since this was a court judgement, you should speak to the Ombudsman and / or seek legal advice. <- long term