The possibilities available to you are endless with Capitec bank. With a loan from Capitec bank you can build that extra extension to your home for your ever growing family, place a deposit on that brand new car that you’ve been dreaming about, or simply invest into the market to grow your wealth for your up and coming retirement. At Capitec bank you are able to apply for up to R100 000.00 over terms of up to forty eight months. Within minutes Capitec is able to approve your loan and the full loan amount is could be available in your bank account shortly after. Capitec bank loans are easy, convenient and offered at great interest rates that you won’t see repeated anywhere else in the highly competitive South African marketplace.
Here are the Capitec bank loans and the various options available to you right now;
Capitec Bank easy credit
• Paperless, quick and efficient application process.
• Choose your repayment terms from 1, 3, 6, 12, 18, 24, 36 and 48 months
• Your loan amount is available instantaneously.
• Loans for up to R 100 000.
• If you deposit your monthly salary into your Capitec bank account, you will benefit from lower interest rate charges.
• All loans in the 6 – 8 month bracket qualify for free credit life insurance
• Clients that receive a salary (monthly) may qualify for 1 to 48-month loan facilities
• Clients that are paid wages (weekly) may qualify for 1 to 12-month loan facilities
• All loans are subject to the approval of Capitec Bank’s credit policy.
Choose the Capitec Multi Loan
• A loan paid on a monthly basis can be approved annually (12 months) at the branch nearest to you for all clients that receive a monthly income (salary).
• You are able to draw your funds from any cashier or Capitec Bank ATM.
• Fees and interest are only charged on cash drawn from an ATM.
• This option offers superior flexibility and puts you in control.
Visit you the branch nearest to you and apply for your personal loan with the following documentation:
• Your green, South African, bar-coded Identification (ID) book.
• Evidence of where you reside in the form of your local Council rates and taxes account which is addressed to you, include the street address you reside at, and which is not already 3 months or older.
• You’re most recent salary slip from your employer.
• Your most recent bank statement displaying you transaction history for the past 90 days.
Capitec bank loans offer extremely competitive interest rates that will save you a bundle in the long run. You will require no explanation for you intended use of the loan funds and Capitec values your confidence in their procedures. There is a brief evaluation on your credit history prior to the loan being approved, and thereafter is send to an account of your choice within the same business day. Whatever the state of your personal financial affairs or the credit rating you have, get down to your nearest branch and enquire with the branch manager about Capitec bank loans and how they can help you.
Does the Consumer Protection Act, 2008 (“CPA”), which became effective on 1 April 2011, mean the end of the “voetstoots” or “as is” clause?
What does voetstoots mean
When you buy something, there is an implied warrantee that the thing sold is free from any defects. It is, however, possible that one can contract out of this implied warranty by inserting a term into the contract that says that the sale is voetstoots (that you buy the goods “as is” [warts and all] and cannot rely on the implied right to defect-free goods and complain later if you find certain defects in the goods).
When the seller can’t rely on the voetstoots clause
The common law does, however, allow you to cry foul and sue the seller (even if the contract contained a voetstoots clause) for cancellation of the contract or a reduction in the selling price where the goods were defective at the time of the sale, that the seller knew of the defect but failed to disclose it to the buyer, knowing full well that if the buyer knew about it he would either not have continued the purchase or would have negotiated a more favourable purchase price.
The effect of the CPA on the voetstoots clause
In terms of the CPA the consumer is entitled to receive goods that are reasonably suitable for the purpose for which they are generally intended, are of good quality, in good working order and free of any defects.
The definition of “goods” has been amplified to include a legal interest in land or other immovable property.
The CPA provides for a statutory duty of disclosure in consumer transactions. The Act expands on the common law obligation to disclose latent defects by requiring suppliers to disclose material facts and to correct misapprehensions on the part of the consumer, if failure to do so would amount to a deception.
However, sellers can exclude themselves from this obligation by advising the consumer that the goods are being offered in a certain condition. The consumer must then agree to accept the goods in that particular condition. E.g. a motor dealer should explain that the beat-up Volksie is not new, point out the obvious and not-so-obvious defects and if the consumer accepts this, then the sale would be as-is.
The only way sellers can get past the implied warranty is to describe the condition of the goods in specific detail to make it clear in which condition the goods are being sold. The buyer then has to has to “expressly agree” to accept the goods. Only if the buyer “knowingly acted in a manner consistent with accepting goods in (a less than ideal) condition” would the implied warranty of quality fall away. Every defect must be described in the contract of sale that the buyer signs.
A defect is a material imperfection that renders goods less acceptable or less practicable. This includes obvious problems, or latent defects, and those hidden future problems, or patent defects, which sellers are able to escape under the voetstoots clause provided they were not aware of such defects at the time of sale.
If any defects come to light after sale or goods do not comply with standards set out in the CPA, the buyer is entitled to return them within six months of a sale and the Act holds businesses liable to either repair or replace the goods, or to refund the purchaser. After a defective product is repaired, the repair job itself will have a further three-month warranty. In addition to these rights provided to consumers under the CPA, the CPA also provides further should any damages arise as a result of defective goods, they would be able to claim damages from the seller.
Time and case law will determine if the CPA has sounded the death knell of voetstoots clauses, but whatever its fate, the consumer is infinitely better off under the CPA.
IZWE Loans, a micro-finance company, provides non-mortgage home improvement, and developmental and general purpose loans in South Africa. The company also involves in financing mobile handsets and airtime. Its customers include civil servants and salaried employees in mining, telecommunications, brewing, and transport companies. The company markets loans through the branch offices in Pretoria, Johannesburg, Cape Town, Durban, Groblersdal, Nelspruit, Polokwane, Bloemfontein, and Pietermaritzburg, as well as through mobile lending units and community outreach agents; and provides credit through electronic banking channels to salaried employees. IZWE Loans was founded in 2004 and is based in Johannesburg, South Africa. The company has operations in South Africa and Malawi, as well as Zambia and Mauritius.
About changing owner and or titleholder particulars
Any changes to the particulars of the vehicle owner or titleholder must be communicated to the appropriate registering authority within 21 days after such change on form NCP (Notification of change of address or particulars of person or organisation).
When you sell your vehicle, you must notify your registering authority on form NCO (Notification of change of ownership/Sale of motor vehicle) and the new owner must register the car in their name.
Go to your nearest registering authority.
If you are changing your address, you must bring the following:
A copy of your identity (ID) document if you are a South African citizen. If you are a foreign citizen, you must bring both the original and certified copy of your ID issued by your country of origin and your temporary residence permit.
Proof of the new residential address.
If you are a South African citizen, you must complete and submit form NCP only. If you are a foreign citizen, you must complete both forms NCP and ANR (Notice in respect of Traffic Register Number).
If you are selling the vehicle:
The seller must complete form NCO and submit it to their registering authority.
The seller must hand over the registration certificate to the buyer.
The buyer must complete form RLV (Application for registration and licensing of motor vehicle) for submission.
The buyer must submit the vehicle registration certificate, if the vehicle was registered in South Africa.
A mass measuring certificate if the vehicle’s tare was changed.
The buyer of the vehicle must submit the forms at the registering authority within 21 days of purchasing the vehicle, along with the registration form obtained from the seller and current roadworthy certificate (it is the responsibility of the buyer to ensure that the vehicle is roadworthy).
If the vehicle is registered under a company, you must also submit a certificate of incorporation or name change as issued in terms of the Companies Act and a founding statement or a certificate of name change issued in terms of the Close Corporations Act if the vehicle is to be registered to a close corporation.
The registering authority will perform an assessment on your application and you will pay the fees as prescribed by your province. If required by the registering authority, proof of the right to be registered as titleholder of the motor vehicle concerned, e.g. invoice, a sales agreement, etc. It is advised that you phone your nearest call centre or registering authority to establish whether they accept or require any other document as proof.
How long does it take?
The applications are processed on the same day.
How much does it cost
The service is free. However, a fee is charged for motor vehicle registration and licensing.
Forms to complete
Notice of change of particulars (NCP)
Application for registration and licensing (RLV)
Notice of change of ownership/Sale of motor vehicle (NCO)
Forms are obtainable at the registering authority or you can download them from the eNaTIS website.
Who to contact
|Contact the relevant provincial department of transport for details of your nearest service centre.|
|Gauteng||0860 428 836 (Gauteng Shared Service Centre)||http://www.transportandpublicworks.gpg.gov.za/|
|Western Cape||0860 142 142 (Cape Gateway)||http://www.capegateway.gov.za/|
||Visit website for most current number(s)||http://www.ectransport.gov.za/|
|Free State||Visit website for most current number(s)||http://www.freetrans.gov.za/|
|KwaZulu-Natal||033 395 1800||http://www.kzntransport.gov.za/|
|Limpopo||Visit website for most current number(s)||http://www.ldrt.gov.za/|
|Mpumalanga||Visit website for most current number(s)||http://www.mpumalanga.gov.za/|
|North West||Visit website for most current number(s)||http://www.nwpg.gov.za/transport/default.asp|
|Northern Cape||053 802 5527/28/30 ( firstname.lastname@example.org)||http://www.northern-cape.gov.za/|
For details of participating South African Post Office branches at which you can renew your vehicle licence, visit http://www.sapo.co.za
Credit mbudsman, Manie van Schalkwyk, has warned consumers to be vigilant when taking out loans.
Mvula Mbhele recently lodged a complaint with the credit ombud against a certain credit provider. He was not aware there were hidden or unexplained charges levied against him after taking out a loan.
He also accused the money-lender of granting him a loan knowing it would render him over-indebted. He took out a loan of R5000, but later realised he would not be able to repay the loan as agreed. The credit provider placed a garnishee order on his salary for R800 a month to recover the debt from October 2008 to March 2011.
“The total amount I had paid by April 2011 was R24000, but I was told I still owed R6760 on the loan,” Mbele said.
The Office of the Credit Ombud found the collections agent for the micro- lender had acted in contravention of the National Credit Act and was ordered to close the file and write-off the outstanding balance.
Van Schalkwyk said his office also issued a letter to the consumer’s salary department, requesting the garnishee be stopped with immediate effect. He said credit providers were entitled to include a number of charges in a credit agreement, but these had to be in line with national credit regulations.
“Costs that a credit provider is allowed to include in the credit agreement over and above the principle debt or capital amount includes service fees, initiation fees, credit insurance and interest.”
The credit agreement must explain all the costs to the consumer. He said monthly service fees were not allowed to be more than R50 plus VAT per month or R600 plus VAT per year. Contact the credit ombud office on 086-1662-837 or visit www.creditombud.org.za
When in debt, enormous amount of thoughtful planning is essential to get out of the situation. There must be a vision of the future which must be enacted, so as to ensure that no further debts are accumulated and even the establishment of an emergency fund is an option worth considering.
Budgeting your way out of debt is no simple child’s play. It takes hours of planning and even days or even months of toil before the dream is finally realized.
Budgeting your way out of debt requires numerous measures to be adopted that will ensure you are in safe water. Initially, you must stop all financing, with an immediate end all credit cards that you have, which ensure no further accumulation of debt on your shoulders.
The next step would be to halt all recurring payments that you have, which will ensure that another source of loss of money will be controlled. Then saving up of money must be cultivated, which will help ensure that if any unexpected expenses are there, these will be taken care of.
Budgeting your way out of debt, no money must be spent on unnecessary needs and pleasurable experiences rather they may be spent on essential commodities that are vital for the very sustenance of you. Following just some of the above methods and holding your purse strings tight, you’ll be back into the green zone.
Budging by the steady activity in the country’s coastal areas, notably KwaZulu-Natal, the demand for holiday homes continues unabated. People still take the view that there’s only so much beachfront. But is a house or apartment at the coast a worthwhile investment, or is it a foolish indulgence, a bottomless pit, a black hole?
Over the past two years house price growth has been particularly strong along both our coastlines, west as well as east, so gearing, made attractive through low interest rates and freely available from financial institutions eager to lend became the order of the day.
If you spotted the property take-off early enough you didn’t have to be a rocket scientist to deduce that buying a second home with money borrowed at two per cent below prime, the value of which was doubling every three years, made sound business sense – as long as your cash flow could handle it.
Even the dark cloud of Capital Gains Tax on any future sale was an issue to be shrugged aside. The benefits of owning a holiday home are both real and imagined. The downside is real enough. Maintenance costs can get out of hand. How do you take care of a sea-facing free-standing house and garden in Margate when you live in Johannesburg and take the family there maybe twice a year? The answer is usually to employ someone on a maintenance contract, who’ll keep an eye on the place and perhaps supply a housemaid once a week. You’ll also probably need a gardener or (easier) a garden service; if there’s a swimming pool then you’ll require a pool service. And – absolutely essential – you’d better sign up a security company. Now the costs are building up.
If the property is in a complex, perhaps an apartment block, the external costs will be handled by the body corporate. Of course, you’ll pay a levy – and hope that it doesn’t get out of control. You’ll still need someone to clean and dust regularly – and you’ll still need a security service.
As the costs mount the HHO (holiday home owner), turns his thoughts to improving his cash flow, ie. ‘Let’s rent the place when we’re not there!’. Trouble is, all the other HHOs are doing the same thing. And there’s just one further tiny snag. The seasonal holiday high spots when you get the most money for renting out your beach paradise are when you and the family want to be there; that was the motivation in the first place!
Nevertheless you decide to holiday in the rainy season and employ a local letting agent. The agent finds the tenants, checks the inventory (and let’s you know what is missing, broken, or needs to be replaced) while collecting the rent. Bear in mind, however, that the charge to the bucket-and-spade brigade is your gross rental income. Deduct the agent’s commission, cost of cleaning, replacing, fixing and, don’t forget, your other ongoing costs such as, if your in a gated complex for instance, that portion of the monthly levy!
As you may now have noticed, owning a holiday home can become a fulltime occupation. To handle it properly, you need to know the ropes. In other words, how tax efficient can you make the whole operation?
As a general rule you can claim expenses incurred in production of income as long as you are carrying on a trade. Standard principles apply with regard to capital and revenue – you can claim for repairs, but not for improvements. However, costs which are not deductible can be added to the base cost (for CGT purposes), so you have to keep the paperwork.
Presuming that over a tax year your rental income adds up to woefully less than the costs of your holiday haven you can claim the shortfall against your total income – with certain caveats. You can claim bond interest, levies, insurance, letting costs and maintenance. Additional assets such as furniture and fittings you can depreciate. You have to be careful that the shortfall is not ringfenced. But note, you and any relatives cannot use the accommodation for more than 20 per cent of a year.
The Receiver, however, has ring-fenced the practice in that you can’t claim losses
Ring fencing works quite simply by stating that under certain circumstances, losses for more than three years in any five-year period.
Another issue you have to watch for is if you decide to sell the property you have been renting. If the Receiver decides that you have made a speculative investment, any profit could be deemed revenue and not capital and taxed at your marginal rate (maximum 40 per cent). For example, if you buy that apartment in Margate and then sell it a year later, SARS would probably deem the profit as revenue – unless you can put up a case, ie you’re going broke and need the cash.
If you had to tap unsecured credit to meet an unexpected expense, you would probably turn to your credit cards without much thought. There is, however, another option. Personal loans – also called signature loans – may or may not be a better option than credit cards to finance your expenses.
When is a Personal Loan Better than a Credit Card?
If you’re facing a one-time expense that you cannot afford (let’s say R20,000 to move across country), a personal loan may offer you a better interest rate than the regular rate on your credit card.
Additionally, when you apply for a personal loan, you will choose your monthly payment and loan repayment period up front, so you know you will be making progress towards paying down your loan each month. With credit cards, it’s easy to get stuck in the minimum payment trap, never making headway on your balance and throwing money away on never-ending finance charges.
When is a Credit Card Better?
If your expense is small enough that you will be able to pay it off quickly, a credit card offering a low or 0% intro APR on purchases is obviously better than a personal loan, as you will pay little or no interest.
Using a 0% APR credit card for a one-time large expense comes with two caveats: you must be able to stick to a schedule of monthly payments that will get your balance paid off in a year, and you must avoid putting additional charges on the card. Having a balance at the end of the intro period will subject you to the card’s high regular APR.
Debt Consolidation – Personal Loan or Credit Card?
Credit card balance transfers involve rolling your credit card debts onto a low or no-interest card. So, for example, you can consolidate multiple outstanding amounts on credit cards that are charging you a high interest into a credit card that offers low or no interest for a certain period. This can be for the first 6 months or even over the life of the outstanding balance. The trick is that once the promotional period is over, the interest charged normally reverts to a higher rate.
If you haven’t paid the balance off in the specified time frame, this can eat into any savings you made up to that point. Personal loans generally allow you to borrow a fixed amount of money to be repaid in fixed instalments over a set period of time. With fixed terms somewhere between 3 to 5 years, borrowers are forced to pay within the stipulated period. This can be advantageous to those who lack the discipline needed to repay their debts on time, especially with a credit card where only repaying the minimum each month will see the debt last for decades.
Tenants who refuse to move out of leased premises cannot be evicted by the owner of the property even if proper notice has been given. The property owner must first obtain a court order known as an ‘ejectment order’ and even then the eviction must be carried out by the sheriff.
If tenants believe there are no grounds for evicting them, the application for such an order can be contested. Any clause in a lease that says tenants may be ejected from the premises without a court order is illegal. Should a tenant be ejected in terms of such a clause the courts will order (without even considering the merits of the case) that the tenant be restored to occupation of the premises.
The exception is for property hired from the National Housing Commission and, in many cases, from local authorities.
The steps that need to be taken to evict tenants depend on whether or not the property is covered by rent control. Although this system is being phased out, there are still a few properties subject to rent control.
Premises not covered by rent control
A court will grant an eviction order only if tenants no longer have any right to be occupying the premises, because:
- The lease has expired; or
- The lease has been cancelled by either the tenant or the property owner due to a breach of the conditions of the lease by the other party.
The lease can be cancelled by the property owner only if the tenant commits a serious breach of its terms. Unless the lease states otherwise, the property owner may not cancel the lease simply because the tenant has failed to pay rent – the tenant must be notified that, if the money is not paid within a specified and reasonable time, the lease will be cancelled.
The property owner can also cancel the lease if the tenant causes serious damage to the property, or uses it for a purpose other than that agreed upon. In most cases the lease stipulates the circumstances under which cancellation can take place. In the absence of such clause or clauses, cancellation can still take place in terms of the common law for breach of contract.
Premises covered by rent control
The Rent Control Act, 1976, deals with the circumstances under which tenants can be ejected. As long as tenants continue to pay the rent within seven days of the due date, the court will not order eviction, even if the lease has expired. The only exceptions to this rule will arise if:
- Tenants cause, or have caused, material damage to the leased premises;
- Tenants cause a nuisance to occupiers of adjoining or neighbouring property;
- Tenants are former employees and the property owner requires the premises for occupation by present employees;
- The premises are required by the property owner for personal occupation, or for occupation by the parent or child of the property owner. In this case tenants must be given at least three months’ notice;
- The property owner previously occupied the premises and the tenant agreed to vacate them by a date that has expired;
- The premises are required for a restoration scheme or rebuilding, and six months’ notice has been given.
Property owners securing the eviction of a tenant on one of these grounds through misrepresentation will be guilty of an offence in terms of the Act and liable on conviction to a fine of up to R400. Property owners must give tenants written reasons for giving notice to vacate the premises and a copy of the notice must be given to the local rent board.
Issuing an eviction order
The procedure for obtaining a court ‘order for ejectment’ is the same whether or not the premises concerned fall under rent control. In most cases property owners apply to the magistrate’s court for the eviction of tenants. However, if the right of occupation is in dispute or if the property is valued at more than R100000, the proceedings will have to be brought in the Supreme Court.
Property owners start the procedure by issuing a summons, stipulating that they are seeking eviction orders and calling on the tenants to give notice of their intention to defend the action if they wish. If tenants decide not to defend the action, judgment will be given against them in their absence (a default judgment). If tenants decide to defend the action, property owners may nevertheless attempt to secure a summary judgment against them. This means that, unless the tenants can satisfy the court that they have a bona fide defence, judgment will be given against them.
All the tenants have to do at this stage is to convince the court that they do have a defence – the entire defence does not have to be put before the court. If the court accepts that the tenants have a defence, the case will proceed as usual, with the tenants having to file a plea and thereafter the matter will be set down for trial.
Once the order is made, ‘warrants of eviction’ are issued to the sheriff, in the case of a magistrate’s court action, authorising the removal of the tenants and their possessions from the leased premises. The sheriff will move the tenants’ possessions off the premises, in most cases onto the pavement. Evicted tenants have to pay their property owners’ costs in obtaining the eviction order.
In terms of the National Credit Act (NCA), lease of immovable property is not a credit agreement and therefore the NCA has limited applicability when regulating lease agreements. With regards to the Consumer Protection Act (CPA) and the regulations: the CPA and regulations came into effect on the 01/04/2011 – this includes the consumer’s right to give 20 business days notice to cancel a fixed term agreement. Although the consumer has the right cancel a fixed term agreement, the supplier may charge a reasonable penalty. The question as to whether a tenant has this right to cancel on 20 business days, is one which has been hotly debated – but to date there have been no exemptions granted.
When you take out a mortgage loan, the bank will often stipulate in its contract that you take out a life insurance policy – or cede one you already have – to cover the loan should you die.
But can a bank force you take out life insurance cover? If so, must the policy be bought from a broker of the bank’s choice and, if you are already covered, are you required to cede your policy to the bank?
Dave Crawford of Rigel Planning Systems says Section 23C of the Insurance Act rules that banks are within their rights to request a borrower to have sufficient life cover to cover a mortgage bond should the borrower die.
But, says Crawford, this matter is negotiable by the borrower and the lender.
Banks are required to take into consideration the debtor’s creditworthiness and any security offered by the client before insisting on life cover.
Should the debtor need a life policy, the creditor is allowed to request that it be ceded to the bank.
Crawford explains that this is because the only way a bank can ensure the client reserves the life insurance for the purpose of covering the mortgage bond in the event of death is by asking the client to cede the policy to the bank.
Banks are, however, not allowed to insist that life insurance policies are bought from one of their brokers.
This is often not made clear to the client, says Crawford. “Many borrowers feel the implied threat that if they don’t buy the policy through the lender’s broker they may not get the bond,” he says.
According to the Act, the lender must inform the borrower that, although a policy is required as a condition of the loan, there is absolute freedom as to which life company is chosen, or which broker or agent is used.
Many potential home owners wonder if it is really necessary to buy life insurance cover when they apply for a mortgage bond.
Crawford says it is: any bond taken out in your name carries a certain amount of risk.
If, for example, your estate is illiquid when you die, a forced sale of your property may be required to pay back the bond – to the possible detriment of both your estate and the bank.
Life insurance will cover this, as well as any downturn in property and rental values from