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

Chapter 3 : Consumer Credit Industry Regulation

Part A : Registration requirements, criteria and procedures

44A. Registration of payment distribution agents


(1) A person may apply to the National Credit Regulator to be registered as a payment distribution agent.



(a) A person must not offer or engage in the services of a payment distribution agent, or hold themselves out to the public as being authorised to offer any such service, unless that person is registered as a payment distribution agent in terms of this Chapter.
(b) A consumer is not obliged to make use of the services of a payment distribution agent.


(3) In addition to the requirements of section 46, an applicant for registration as a payment distribution agent must satisfy any prescribed education, experience or competency requirements.


(4) Payment distribution agents must—
(a) maintain fidelity insurance and trust accounts; and
(b) submit such financial accounts as may reasonably be required by the National Credit Regulator for purposes of a financial audit.


(5) No credit provider shall have any direct or indirect interest which is inconsistent with the objects of this Act, in the management or control of the business operations of a payment distribution agent or debt counselling business.


(6) Any natural or juristic person who operated as a payment distribution agent prior to the commencement of the National Credit Amendment Act, 2014, must comply with subsection (1) within a period of 12 months from the date of commencement.


[Section 44A inserted by section 12 of Act No. 19 of 2014]