How to Check If a Lender Is Registered With the NCR
In South Africa, anyone lending money above the legal threshold must be registered with the National Credit Regulator (NCR), and a credit agreement from an unregistered lender is considered unlawful. Fraudsters are also cloning the names and websites of registered lenders, so a professional-looking site is not proof that a lender is genuine. Before you sign anything, ask for the lender’s NCR registration number and verify it with the NCR. The table below lists the warning signs and what to do about each one.
| Warning Sign | Why It Matters | What to Do |
|---|---|---|
| No NCR registration number | Legal lenders must be registered, and the certificate should be visible | Ask to see it, then check it with the NCR on 0860 627 627 |
| No credit check or affordability assessment | Registered lenders must assess whether you can afford the loan | Walk away from lenders who skip this step |
| Wants your ID, bank card or SASSA card | Holding these is illegal | Do not hand them over. Report it to the NCR and SAPS. |
| Extremely high interest | Interest and fees are capped by the National Credit Act | Ask for the total cost of credit in writing and compare it with the legal limits |
| Cloned website or lender name | Fraudsters copy the details of registered lenders | Contact the lender using details from the NCR register, not from the advert |
| Pressure or threats | Legitimate lenders follow the debt collection rules | Report it to the NCR and open a case with SAPS |
NCR helpline: 0860 627 627. Email: complaints@ncr.org.za. This article is for information only and is not financial or legal advice. Compare registered lenders on easyonlineloans.co.za.
Sources
- Could your lender be committing fraud? (DebtBusters)
- Credit warning to South African consumers (BusinessTech)
- Ask these five questions before taking a loan (Sowetan)
- What is NCR credit registration? (Mondaq)
- Protect your money (Vuk’uzenzele)