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May 20, 2021
Retail banks are under increasing pressure to innovate and personalize their products and services for the benefit of their customers, yet at the same time they are subject to rapidly developing laws and regulations concerning the protection and processing of their customers’ personal data.
By Chantel van Zyl, senior sssociate, and Janet MacKenzie, partner and head of the technology, media and telecommunications practice at Baker McKenzie, Johannesburg
The Deloitte Future of Retail Banking Report (2020) noted that progress in other industries – for example in retail (tailored products), transport (ride hailing), and hospitality (home-sharing platforms) – alongside advances in fintech, are contributing to the redefinition of customers’ expectations of banking services and products.
More desperate South Africans are ‘tweaking the truth’ on loan applications
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South Africa recorded many instances of consumers being granted loans that they could not afford to repay, prior to legislation tackling ‘reckless lending’.
Sebastien Alexanderson, chief executive officer of debt counselling agency, National Debt Advisors said that practice of reckless lending was put under the spotlight following the introduction of the National Credit Act 34 of 2005 (NCA) and subsequent amendments and affordability guidelines provided in the Act, in 2013.
Bringing attention to the responsibility of the lender and more so but commonly overlooked, the borrower.
According to Alexanderson, a consumer has the chance of having their obligations towards a credit agreement completely set-aside or suspended if:
END OF THE ROAD FOR “ON THE ROAD” FEES? NOT YET
Last week was supposed to bring some closure to the issue
of the notorious “on the road” fees which dealerships routinely add to the deals as
an extra - also known as a “delivery fee” or “dealership fee”.
It is seldom discussed or broken down for car buyers - it
just gets added to agreements along with other extras such as metallic paint
and licensing and registration costs.
Those who do question are told the figure covers pre-sale
checks, washing, and “preparing” the car.
The National Credit Act prohibits the charging of any
Consumerwatch: From beauty treatments to those pesky car fees Updated
Wendy Knowler
Main Image Courtesy of iStock
If you pay a “bargain” price up front for services to
be supplied in the future, you’re putting all the power in the supplier’s hands
if something goes wrong. And when it comes to beauty treatments, the “package” is
a big seller.
You don’t just pay as you go with laser or other
aesthetic treatments at the beauty spa - you’re sold a package of six
treatments or more.
That’s all well and good if you get the results you’re