Banks are not in the business of repossessing homes - consumer advocate

Property 24 Reports: Despite our best efforts, we all hit bumps in the road at times, and financial ups and downs can’t always be predicted. So what happens when, as a homeowner, you find yourself under unexpected financial strain and your monthly home loan repayments suddenly become more than you can handle?

Stephen Logan, Founder of Fair Credit says the reality is that credit providers are accustomed to people who cannot make payments on time and have specialised teams who deal with such matters. He goes on to say that creditors are very welcoming of late payments as opposed to having a client defaulting on payment.

The banks are so on top of this. They can actually predict in advance when clients are likely to have payment issues.

Stephen Logan, Stephen Logan

The banks have set up teams to deal with people who have payment problems says Logan. Logan goes on to say that whenever you have a problem with a credit provider, your starting point is to contact them first. He adds that ideally, banks will have processes in place to assist you with a reduced payment plan.

There are provisions in the Consumer Protection Act and National Credit Act which grant you some protection.

Stephen Logan, Founder of Fair Credit

Banks are not in the business of repossessing homes they are not equipped to do it. It should be their last resort. Legal action will generally be taken when there is no cooperation. The banks will advise you to get into a payment arrangement with them.

Stephen Logan, Founder of Fair Credit

Fair Credit is a non-profit company that lobbies for fair credit

Listen here:


Recommended

by NEWSROOM AI
Read More
[LISTEN] How not to fall prey to rental scams

[LISTEN] How not to fall prey to rental scams

Estelle Nagel, public relations head at Gumtree shares some sound advice and tips to avoid being scammed via online purchases.

JSE gets its first ever student housing fund

JSE gets its first ever student housing fund

Owen Nkomo of Inkunzi Investments dicusses its intention to list its Inkunzi Student Accommodation Fund on the JSE.

Rental scammers target would-be tenants with legit-looking online ads

Rental scammers target would-be tenants with legit-looking online ads

Rental agent Anke Stoman reveals how con artists operating in Cape Town copy legit property ads and fraudulently rent them out.

Do's and don'ts when selling your home via Facebook

Do's and don'ts when selling your home via Facebook

Sunday show days may not be over says top SA realtor, but more people are using social media to sell their property.

[LISTEN] The new defiance campaign: Inside the Helen Bowden occupation

[LISTEN] The new defiance campaign: Inside the Helen Bowden occupation

Rahima Essop takes you inside the campaign for affordable housing in one of the most segregated cities in the country.

Popular articles
[LISTEN] DA MP Glynnis Breytenbach withdraws her candidacy for NDPP post

[LISTEN] DA MP Glynnis Breytenbach withdraws her candidacy for NDPP post

Breytenbach was one of 12 candidates shortlisted for the position.

SA is falling in love with Telkom Mobile (6.5m users, 50% up on 6 months ago)

SA is falling in love with Telkom Mobile (6.5m users, 50% up on 6 months ago)

The Money Show’s Bruce Whitfield interviews Telkom Group CEO Sipho Maseko.

Self-driving Merc returns to Chapman’s Peak to beat the bends in stirring new ad

Self-driving Merc returns to Chapman’s Peak to beat the bends in stirring new ad

The Money Show’s Bruce Whitfield interviews branding and advertising expert Andy Rice about Merc's stirring new ad.

Former state security boss Mo Shaik on why minister is revetting spies

Former state security boss Mo Shaik on why minister is revetting spies

State Security Minister, Dipuo Letsatsi-Duba, has announced that all agents and staff of SSA will be re-vetted.

'I don’t spend much. I drive an old car. I’ve never been in debt'

'I don’t spend much. I drive an old car. I’ve never been in debt'

Bruce Whitfield interviews analyst Chris Gilmour about his attitude toward money (hopes and fears, successes and failures, etc.).

[LISTEN] Steinhoff explained: 100 times more looted in Steinhoff saga than VBS

[LISTEN] Steinhoff explained: 100 times more looted in Steinhoff saga than VBS

Steinhoff’s Web of Deception: An Explainer with Financial Mail journalist Warren Thompson.