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

Chapter 4 : Consumer Credit Policy

Part D : Over-indebtedness and reckless credit

78. Application and interpretation of this Part


(1) This Part does not apply to a credit agreement in respect of which the consumer is a juristic person.


(2) Sections 81 to 84, and any other provisions of this Part to the extent that they relate to reckless credit, do not apply to—
(b) an emergency loan;
(f) a temporary increase in the credit limit under a credit facility,

provided that any credit extended in terms of paragraph (a) to (c) is reported to the National Credit Register in the prescribed manner and form, and further provided that in respect of any credit extended in terms of paragraph (b), reasonable proof of the existence of the emergency as defined in section 1 is obtained and retained by the credit provider.


(3) In this Part, "financial means, prospects and obligations", with respect to a consumer or prospective consumer, includes—
(a) income, or any right to receive income, regardless of the source, frequency or regularity of that income, other than income that the consumer or prospective consumer receives, has a right to receive, or holds in trust for another person;
(b) the financial means, prospects and obligations of any other adult person within the consumer’s immediate family or household, to the extent that the consumer, or prospective consumer, and that other person customarily—
(i) share their respective financial means; and
(ii) mutually bear their respective financial obligations; and
(c) if the consumer has or had a commercial purpose for applying for or entering into a particular credit agreement, the reasonably estimated future revenue flow from that business purpose.