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National Credit Act, 2005 (Act No. 34 of 2005)

Chapter 6 : Collection, Repayment, Surrender and Debt Enforcement

Part C : Debt enforcement by repossession or judgment

132. Compensation for credit provider


(1) A credit provider who has unsuccessfully attempted to resolve a dispute over the costs of attachment of property in terms of section 129 to 131 directly with the consumer, and through alternative dispute resolution under Part A of Chapter 7, may apply to the court for compensation from the consumer in respect of any costs of repossession of property in excess of those permitted under section 131.


(2) The court may grant an order contemplated in subsection (1) if it is satisfied that—
(a) the consumer knowingly
(i) provided false or misleading information to the credit provider in terms of section 97; or
(ii) engaged in a pattern of behaviour that was reasonably likely to frustrate or impede the exercise of the credit provider’s right to repossess property under section 129 to 131; and
(b) as a result, the credit provider experienced unreasonable delay or incurred exceptional costs in the exercise of those rights.