Debt collection is when an attorney, a person who is an agent of an attorney or a registered debt collector collects, on behalf of the credit provider, any outstanding amount, plus lawful interest, admin costs and legal fees.

The above mentioned, as well as the process of debt collection, is regulated by the National Debt Collections Act 114 of 1998.

Usually debt collectors don’t care about your current life circumstances or personal situation and present financial challenges.

So what are your rights regarding debt collection?

• If a debt collector charges for his/her services, they must be registered with the debt Collectors Council.
• Verification of claims, for any claims for or about consumer finance you have a legal right to a statement of account owed by you.
• You have the right to refuse payment of any sort until you are given the proper and legal documents regarding a certain claim.
• You have the right not to sign any admission of guilt or liability, judgement, emolument or garnishee order, until liability is proven.
• If non- of the above mentioned steps are followed you can submit a complaint to the Debt Collectors Council.

  Debt collectors are not allowed to:

1. Charge more than the fees set down by the council.
2. Share any false or misleading information regarding your credit worthiness.
3. Present themselves as law enforcement or court officials.
4. Serve any false legal documents.
5. Use any form of force, or threaten to use force against you or your family.
6. Physically threaten you or your loved ones.

    

   Reference:

• the National Debt Collections Act 114 of 1998.