You are here: Mzansinews The Crook lenders
Running out of cash? Is it that time in the month ?do you need a kick start?
They all come in different sorts and they all market themselves in different ways yet this money lenders are a bunch of crooks to reckon with .They are uncontrolled as they rip off local Amajitas everyday in the eye of our government.
I recently took R100 loan from cash crusaders ,the initial loan was R120 of which i only received R100 (they had already deducted the R20) and i paid back R126 That’s a 26% interest of the R100 given amount).Within a duration of a month Cash Crusaders made R46 out of R100 loan. Do the maths, who controls such acts and why does it go on under the watchful eyes of this corrupt government? This is absolute and broad daylight robbery.
The interest rate as governed by the reserve bank is way below the 11% threshold and all institution are governed by this, yet the institutions that should be governing such acts are either busy snoring or are the lenders themselves.
Down town Soweto loan sharks are charging an interest of 30% on all lent money ripping us apart and enriching themselves in return.
According to Mr Gerald Khumalo a local lawyer, such type of contracts are challengeable and you can argue them in lower courts for the reduction of such interests if not declared null and void . In most instances most Amajitas never have options while taking this loans and they end up signing binding contract and losing their valuables or repaying lump some amounts.
Guys note you can always take the money when you need it and pay back the interest as described by the reserve bank and obviously an illegal contract is not binding at all. So before you pone your 3/5 know your rights and applicable interest rates.
Have you been ripped off?Let us know ..we will make the noise
By Nelson Bongani