No Quick Fix After Being Blacklisted

Sadly, quite a few businesses are built on the premise of “kick them when they’re down”.
Illegitimate funeral policy merchants and funeral parlors are right up there, as are unscrupulous tow-truck operators.

And then there are those who claim to be able to clear people’s credit records, magically ridding them of those inhibiting “blacklistings”.

“Michelle” wrote in last week about one such company.
“They would like to clear my credit history,” she said. “Of cause, I have to pay R188 for a ‘legal pack’, which to me is weird.
“They just want to go for your bank account. They are preying on people who would like to fix their credit history for good and all they doing is stealing their money.”

That’s exactly it.
The inconvenient truth is that third parties aren’t able to wipe anyone’s adverse credit listings away; there’s a process which has to be followed – by the person who is listed.

But all those advertising flyers and posters on trees create the impression that, armed with your fee and little else, a company can easily take care of all that for you.

Here’s what the credit ombud has to say about such claims: “Those companies are not able to make such promises.
“If the consumer was listed fairly, the listing will remain on their credit profile, as per the National Credit Act, for the lawfully allowed duration period.”

That’s two years in the case of a default listing, which is a listing relating to non-payment.

“In the case of a judgment,” the ombud says, “Upon paying off the entire debt, the consumer will have to apply to the relevant court for a rescission of the judgment and when the rescission has been granted, the consumer can use the rescission document to approach the concerned bureau to remove the judgment.”

In other words, first you have to pay the amount you owe, and then you have to apply to the court to have the judgement overturned, and if you succeed, only then can you approach the credit bureau, with that document, asking for the listing to be removed.

If the consumer feels that an adverse listing is incorrect or unfair – and there are a depressing number of those on the credit bureau – their only hope of getting it removed is by lodging a dispute with the bureau concerned to remove the listing.

If after 20 days, the listing remains, they may approach the credit ombud for assistance. Call 0861 662 837

Many people who have default listings on their credit records feel it’s terribly unfair to continue to be “punished”, despite the fact that they’ve since paid the debt.

Such listings remain on someone’s credit record for two years as a warning to credit providers that the consumer has a history of not managing their debt well.

But to be fair to the consumer, it is removed after that time to allow them a chance to get more credit, and built up a positive credit record.

In a sense the consumer is seen to have “server their time” and paid for their “crime” and thus they have the right to a second chance at proving that they can play by the rules when it comes to paying back what they’ve borrowed.

source – iol