Referenced by:
| b) |
Different percentages may be determined under paragraph (a) for money lending transactions where the total amount of money lent by a moneylender to a borrower within any period of three months, including disbursements made by him within the said period and recoverable as part of the principal debt, is different. |
| a) |
No credit grantor shall in connection with any credit transaction stipulate for, demand or receive finance charges at an annual finance charge rate greater than the percentage determined by the Registrar by notice in the Gazette in accordance with the directions of the Minister. |
| b) |
Different percentages may be determined under paragraph (a) for credit transactions of different money values of the principal debt. |
| a) |
No lessor shall in connection with any leasing transaction stipulate for, demand or receive finance charges at an annual finance charge rate greater than the percentage determined by the Registrar by notice in the Gazette in accordance with the directions of the Minister. |
| b) |
Different percentages may be determined under paragraph (a) for leasing transactions of different money values of the principal debt. |
| 4) |
The Minister shall publish tables in the Gazette from which may be ascertained-- |
| a) |
the amount of finance charges which may be levied in respect of a money lending transaction or a credit transaction or a leasing transaction in connection with which it has been agreed that payment of the principal debt and finance charges must be effected by way of regular payments; |
| 5) |
Where in connection with a money lending transaction or a credit transaction or a leasing transaction, it is agreed that payment of the principal debt and finance charges must be effected in any manner other than by way of regular payments, the annual finance charge rate at which finance charges may be levied, shall be calculated on the balance of the principal debt owing from time to time by the borrower or credit receiver or lessee to the moneylender or credit grantor or lessor. |
| 6) |
No moneylender or credit grantor or lessor shall-- |
| a) |
levy finance charges calculated according to shorter or more periods than those according to which instalments or the outstanding balance of the principal debt must be paid in terms of an agreement in connection with the money lending transaction or the credit transaction or the leasing transaction concerned; |
| b) |
in respect of a life policy ceded to a moneylender as security for the repayment of loan or to a credit grantor or a lessor as security in connection with a credit transaction or a leasing transaction-- |
| i) |
include in the principal debt, or stipulate for, demand or receive finance charges in respect of premiums paid in advance for more than 12 months at a time by such moneylender or credit grantor or lessor; |
| ii) |
pay or undertake to pay premiums, or stipulate for, demand or receive finance charges on premiums paid, on the portion by which the sum payable under such policy exceeds the aggregate amount of the principal debt on the date of the transaction and finance charges thereon for a period of not more than 12 months: |
Provided that the limitation to the aggregate amount of the principal debt shall not apply to a policy which at the date of cession has a surrender value;
| ) |
in connection with an insurance policy over movable or immovable property and of which the premiums qualify for inclusion in the principal debt of a money lending transaction or a credit transaction or a leasing transaction, pay or undertake to pay, or stipulate for, demand or receive finance charges in respect of, premiums on the portion by which the sum insured under such policy exceeds the reasonable value of the property insured as agreed at the time the transaction was concluded. |
| 7) |
The provisions of subsection (6)(a) shall not be construed as prohibiting the recovery of finance charges according to periods of one month or longer in the case of a money lending transaction in respect of which the period between instalment payments or the period between the date upon which the principal debt was incurred and the date upon which it must be paid, is longer than one month. |
| 8) |
No lessor shall in respect of a leasing transaction calculate the present value of the book value of the leased property according to shorter or more periods than those according to which instalments or the outstanding balance of the principal must be paid in terms of an agreement in connection with the leasing transaction concerned. |
| 9) |
Save in respect of a debit balance in a cheque account with a banking institution as defined in section 1(1) of the Banks Act, 1965 (Act No. 23 of 1965), and subject to the provisions of sections 4, 5 and 5A, no person shall in respect of a money lending transaction or a credit transaction or a leasing transaction stipulate for, demand or receive from a borrower or credit receiver or lessee finance charges not disclosed in an instrument of debt. |
| 10) |
An intermediary shall not in respect of a money lending transaction, a credit transaction or a leasing transaction or in respect of an application by any person to borrow an amount of money in terms of a money lending transaction or to obtain credit in terms of a credit transaction or to lease movable property in terms of a leasing transaction, demand, receive or recover, directly or indirectly, on his own account or on behalf of any person other than the moneylender or credit grantor or lessor concerned, any valuable consideration from the borrower or credit receiver or lessee concerned or from any person so applying. |
| 11) |
The provisions of subsection (10) shall not be construed as prohibiting-- |
| ) |
a moneylender or a credit grantor or a lessor from paying an intermediary for services rendered by him in connection with any such transaction; |
| ) |
any person who practices as an attorney on his own account or as a partner in a firm of attorneys or as a member of a professional company or any person who is registered as an accountant and auditor in terms of the Public Accountants' and Auditors' Act, 1951 (Act No. 51 of 1951), and who is engaged in public practice as an accountant or auditor or any person falling within such category of persons as the Minister may designate by notice in the Gazette, on such conditions as he may specify in such notice, for the purposes of this paragraph from stipulating for, demanding or receiving from a borrower or a credit receiver or a lessee payment not exceeding an amount equal to such percentage as may be prescribed by regulation for the purposes of this paragraph for services rendered by him to such borrower, credit receiver or lessee in connection with the money lending transaction or credit transaction or leasing transaction concerned: Provided that different percentages may be so prescribed in respect of money lending transactions or credit transactions or leasing transactions having different money values; |
| ) |
any person who issued a debenture from remunerating an intermediary who acted on behalf of such person in any negotiation with a subscriber to a debenture so issued. |
| 12) |
If any borrower or credit receiver or lessee is required by a moneylender or credit grantor or lessor to pay any portion of the principal debt on the date or the transaction concerned such moneylender or credit grantor or lessor shall reduce the principal debt in question by the amount of such portion. |
| 13) |
A notice referred to in subsections (1), (2) and (3) may be withdrawn or amended at any time. |
Stamp Duties Act, 1968 (Act 77 of 1968)
