You need to register as a credit provider if the following apply:
◆ You want to loan someone money, even if it’s just a one-off event.
◆ The loan is of any size (threshold of R500 000 has been reduced to zero).
◆ The transaction is arm’s length – in other words, it is not a casual loan between friends or family where there is no legal agreement in place stipulating repayment terms and interest. If the loan has been brokered by a third party such as a lawyer, even if it is to a family member or friend, and it is to be repaid in instalments with interest charged, you must be registered.
◆ Registration as a credit provider incurs costs and may take a year or more.