How do I apply for credit amnesty?
City Press replies:
The credit amnesty was a one-off event in 2014. According to the National Credit Regulator (NCR), the effect of the credit amnesty was to remove all adverse information from a consumer’s credit record held at the credit bureaus as at 1st April 2014 by 1st June 2014.
All judgments that had been paid up from a consumer’s credit record with the credit bureaus had to be removed. At no point did the credit amnesty remove the obligation to repay the debt.
Although the credit amnesty period closed in 2014, there are provisions which remain in place, including amendments to the National Credit Act (NCA), which require that all adverse information and judgments which had been paid up now must be removed from the records of the credit bureau within seven days of receipt of confirmation of such paid-up status from a credit provider.
The NCR says that prior to the credit amnesty, when a consumer had an adverse listing or a judgment which they settled, the listing would remain on the consumer’s credit record at the credit bureaus until the retention period set out in Regulation 17 of the NCA had expired or, in the case of a judgment, the consumer was obliged to go to court and rescind the judgment at their own cost.
One of the other amendments made to the NCA, was to Regulation 17 – the maximum display periods of consumer credit information – in terms of which the period of display of adverse information was amended from two years to one year. The important point is that adverse information cannot remain on your record if the debt is fully repaid.