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  1. INTRODUCTION

    • These general terms and conditions will apply to all credit agreements entered into between you, the consumer (hereafter referred to as “you”) and the credit provider (hereafter referred to as “the credit provider”).
    • These terms and conditions, together with the quotation and the pre-agreement statement (“the quotation”), as well as all the annexures to this agreement, will be the whole agreement between you and the credit

  1. QUOTATION AND PRE-AGREEMENT DISCLOSURES

    • Prior to you concluding a credit agreement with the credit provider, the credit provider will provide you with the quotation.
    • The quotation will reflect the financial and repayment details in respect of the proposed credit agreement, together with any specific terms and conditions relating to that proposed credit agreement You have 5 (five) working days to decide if you want to enter into a credit agreement with the credit provider on the terms set out in the quotation, which includes these terms and
    • Where your financial or personal circumstances or the information provided by you changes after the quotation is given to you, the credit provider may refuse to enter into the credit agreement and shall be entitled to cancel the quotation without
    • You warrant that all the information provided by you to the credit provider is true and correct, as reflected in Annexure D attached to this

  1. APPLICATION AND APPROVAL

    • If you decide that you would like to enter into this agreement on the terms and conditions set out in the quotation, which includes these terms and conditions, your signature on the quotation will constitute an offer by you to the credit provider to enter into this agreement, which may be accepted or declined by the credit provider at its
    • If the credit provider accepts your offer, the credit provider will give you a copy of the signed quotation and this agreement to
    • Should you, before or after the termination of this agreement, claim that the debt has prescribed, you consent that it is a condition of this agreement, that prescription will only start to run once the credit provider gave you a written demand in terms of Clause 29.

  1. DISTRIBUTION OF THE PRINCIPAL DEBT

    • The amount of the principal debt will be paid as directed by you and on your behalf directly to the dealer from which the credit provider purchases the vehicle.
    • The distribution of the principal debt is subject to the conditions set out in Annexure D.

  1. DEPOSIT

    • You must, on or before the signature of this agreement, make payment to the credit provider of any deposit amount as referred to in the

  1. PAYMENT

    • The first instalment is due by you on the first instalment date (Part E) of the quotation.
    • Subsequent instalments are due by you on, or before, the payment date (Part E).
    • The final instalment is due by you on, or before, the last instalment date (Part E).
    • All monthly instalments will include payments of any amounts referred to in Part C of the quotation, free of exchange and without any deduction or demand at the credit providers address, referred to above, or such other addresses as the credit provider may direct in
    • To the extent that the amounts referred to in Part Care owing to a third party, you authorise the credit provider to pay such amounts on your behalf and recover the cost thereof from you. The provisions of this Clause 5 shall survive termination of the agreement by the credit provider in accordance with Clause 29.
    • You may not defer or withhold any amount payable pursuant to this agreement by reason of set-off or
  • If the credit provider cancels the agreement and you dispute such cancellation, you shall continue to pay the instalments whilst you remain in possession of the vehicle. The acceptance of such payments by the credit provider shall not in any way prejudice the credit providers' claim for cancellation or any other claims the credit provider may have against you.
  • You understand and agree that payment of the total amounts payable as referred to in Part B, C and D will still be required and must still take place in accordance with this agreement, in the event of this agreement being terminated, as a result of a breach by you, or the vehicle being damaged, destroyed, lost, or no longer of any use.
  • You may at any time prepay any amount under this agreement, without penalty. Your repayments will be used to reduce your obligations in the following order:

6.9.1         firstly, against due or unpaid interest;

6.9.2         secondly, against due or unpaid fees or charges; and

6.9.3         thirdly, against the amount of the principal debt.

  • If you prepay an amount in terms of this agreement, you agree that the credit provider will use such amounts to proportionately reduce your repayments over the remaining period of the original term of this agreement, unless you request otherwise in writing.
  • You may not deduct any amount from your instalment payment.
  • If you pay the instalments later than the date that they are due, you will pay interest on all arrear amounts. If you are not a juristic person, then the credit provider may charge you interest on such arrear amounts at the highest rate applicable to any part of the principal debt.
  • If any fees and/or charges and/or interest rate changes occur, you agree that the credit provider is authorised to effect the relevant changes to your repayments in terms of your debit order authority.
  • If this agreement is terminated by the credit provider and you dispute such termination whilst remaining in possession of the vehicle, you must continue to pay all the amounts due. Notwithstanding the credit provider's acceptance of such payments, the credit provider will not lose any of its' rights herein.
  • In the event you elect to change the due date of your instalment, the further instalment amounts may vary.

  1. OWNERSHIP

    • The credit provider shall remain the owner of the vehicle until all amounts outstanding in terms of this agreement have been settled by you.
    • Despite the credit provider remaining the owner of the vehicle, all risk in the vehicle shall pass to you upon signing of this

  1. USE

    • It is a material term of the agreement that you must at all times be the holder of a valid operating license as defined in the National Land Transport Act 2009, and comply with all other relevant laws, regulations, codes and by-laws in the use of the vehicle. Any loss or damage arising as a result of the failure to comply with such laws will be borne by you and not by the credit provider.
    • The failure to hold a valid operating license will constitute a material breach of the terms of this agreement and the credit provider will be entitled to exercise its' rights in terms of Clause 29 below.
    • You undertake at all times to:
      • keep the vehicle in your possession and control;
      • keep the vehicle in proper working order and, at your own cost, maintain the vehicle;
      • keep the vehicle in a roadworthy condition and protect it from loss or damage; and
      • keep the vehicle free from attachment, pledge or other legal charges or
  • You undertake not to sell or encumber or in any way deal with the vehicle.
  • The vehicle shall only be operated by a competent, licensed and qualified person and at your own cost.
  • The vehicle shall only be used for the purpose for which it was intended.
  • You must comply with the specifications, instructions and recommendations of the manufacturer of the vehicle or any person or company nominated by that manufacturer.
  • You must not make any material alterations or modifications to the vehicle without the prior consent of the credit Any part or accessory added to the vehicle shall become the credit provider's property without compensation to you.
  • The use of the vehicle by any person who is not duly licensed to use the vehicle, will constitute a material breach of the terms of this agreement and the credit provider shall be entitled to exercise its rights in terms of Clause 29 of this
  • The credit provider, its employees and/or agents may at all reasonable times examine and inspect the vehicle on any premises where the vehicle is being
  • You must, on termination of this agreement for whatever reason, return the vehicle to the credit provider at 31 Stevens Road, Park Rynie, 4182, unless you have elected to purchase the vehicle from the credit provider by payment of all the amounts due in terms of this agreement by you to the credit provider.

 

  1. DAMAGE TO THE VEHICLE

    • If the vehicle is damaged, destroyed or lost, you must immediately notify the credit provider in writing and do everything necessary to ensure payment to the credit provider of compensation (up to the amount outstanding under this agreement) under any insurance
    • Should the credit provider so require, you shall repair and reinstate the vehicle at your own cost, and with a service provider approved by the credit provider and shall continue to make payments as those payments fall due, as is explained in Clause 6
    • Should the credit provider in its sole discretion, determine that the vehicle is incapable of repair, the credit provider shall be entitled to cancel this agreement and to claim in terms of this agreement as if a default had

  1. NOTIFICATION TO THE LANDLORD

    • You must inform the credit provider in writing and within 10 (ten) business days, of any change, concerning:
      • your residential or business address;
      • the address of the premises where the vehicle that is subject to this agreement is ordinarily kept; and
      • the name and address of any other person to whom possession of the vehicle has been transferred.
    • You must notify the credit provider in writing if the vehicle is kept or stored, at any time, on premises not owned by you.
    • You must also notify the landlord of such premises that the vehicle is owned by the credit provider and not by
    • The credit provider or its agent may inspect the vehicle at any reasonable time, at the place where it is normally kept.
    • You may not take the vehicle out of the Republic of South Africa without the credit provider's prior written consent, which consent may have conditions attached thereto.
    • The credit provider, the sheriff of the court or his deputy, may request you to provide details as to the whereabouts of the vehicle at any time, as well as details of any third-party possessor of the vehicle, or of the landlord or bondholder of any premises where the vehicle is kept. Providing false or misleading information or acting in a manner that is likely to frustrate the credit provider from exercising its' rights, is an offence in terms of the NCA.

  1. INTEREST

    • Interest charges are levied on the principal debt, expressed as a percentage and specified in Part D of the Schedule, and which shall be one of the following:

A fixed nominal rate compounded monthly (“NACM”); or

A variable NACM equivalent to the Prime Rate (as defined hereunder) plus / minus so many percentage points as specified and calculated monthly.

“Prime Rate” means the interest rate (percent, compounded monthly) from time to time published by FirstRand Bank Limited, an authorised Financial Services Provider, as being its minimum overdraft rate, as certified by any manager of the Bank whose appointment and designation need not be proved.

  • If you have elected a variable interest rate, the interest rate reflected in Part D of the Schedule will rise and fall in accordance with any changes in the prime rate. Any such changes will take place immediately, and the instalment payable shall be adjusted accordingly, and the credit provider will notify you of any such changes as soon as it is reasonably practical to do so.
  • Additional interest, being arrear interest, will be charged on all overdue amounts at the lending rate in terms of this agreement. The    provisions of this Clause 11.3 (read with Clause 12) shall survive termination of this agreement by the credit provider in accordance with Clause 29.
  • Any credit advanced by the credit provider to you in terms of this agreement will be repayable by you to the credit provider together with the fees, charges and interest reflected in the quotation.

  1. CHANGES TO INTEREST RATE OR CREDIT FEES AND CHARGES

    • Should the prime rate change at any time during the term of this agreement, the interest rate, with effect from the date of such change, will increase or decrease by a factor equal to the percentage increase or decrease in the prime rate according to the variable interest formula, and the instalment payable shall be adjusted accordingly.
    • You acknowledge that the interest rate or credit fees and charges that are payable in terms of this agreement may be changed by the credit provider in so far as it is permitted in terms of the section 104 of the NCA.
    • The credit provider shall give written notice of at least 5 (five) business days to you setting out particulars of a change concerning the rate of interest, the amount of a credit fee or charge, or a change in the frequency or time for payment of a credit fee or
    • The credit provider shall give further written notice to you, no later than 30 (thirty) business days after the day on which a change in the interest rate takes effect, setting out the new

  1. DEFAULT ADMINISTRATION CHARGES, COLLECTION AND OTHER COSTS

    • In the event that you fail to make any payment which is due and payable, the credit provider will be able to recover from you default administration charges and all the charges set out in this Clause 13 to the maximum extent permitted by the
    • All tracing fees and attorney's or registered debt collector's costs will be recovered from you on the attorney and client scale if the matter is defended, or, if the matter is not defended, on the official tariff applicable to registered debt collectors.
    • You will also be liable for collection costs in respect of enforcement of your monetary obligations under the credit agreement to the maximum extent permitted by the:
      • NCA;
      • Supreme Court Act 1959;
      • Magistrates' Court Act 1944;
      • Attorneys Act 1979; or Legal Practice Act 28 of 2014;
      • Debt Collectors Act 1998

whichever is applicable to the enforcement of this agreement.

  • Other costs which the credit provider may recover in terms of the sale of the vehicle as permitted by section 127 and section 101 of the NCA which deals with the surrendering of goods by a consumer and may include;
    • telephone attendances;
    • letters sent;
    • physical visits;
    • travelling costs;
    • legal costs;
    • costs of locating the vehicle, including dismantling, electrical, transport, and all removal charges;
    • valuation costs;
    • storage costs;
    • insurance premiums payable, in respect of the vehicle;
    • costs of selling or leasing the vehicle, including costs of restoring the vehicle;
    • selling commission; and
    • all other charges of a like nature in relation to the sale of the vehicle.
  • You further confirm that you have elected that any documentation delivered to you in terms of section 129 of the NCA, may be delivered to your address, as specified in the quotation attached to this agreement, by way of registered post.
  • The provisions of this Clause 13 shall survive termination of this agreement by the credit provider in accordance with Clause 29.

  1. RENUNCIATION OF BENEFITS

    • You undertake not to rely on the legal defenses that the debt has been pardoned by the credit provider or that the credit provider has agreed not to

  2. CERTIFICATE

    • A certificate of balance signed by any manager of the credit provider, whose capacity or authority it will not be necessary to prove, may be used as prima facie (at face value) proof of the contents of such certificate, including the prevailing rates of interest and the fact that such amount is due and payable by you in terms of this agreement.

 

  1. PREPAYMENTS AND EARLY SETTLEMENT

    • You may prepay any amount owed to the credit provider under this agreement at any time and without notice or penalty.
    • The credit provider will credit each payment (whether a prepayment or a payment due) made under this agreement to you as at the date of receipt of payment, as follows:
      • first, to satisfy any due or unpaid interest charges;
      • second, to satisfy any due or unpaid fees or charges; and
      • third, to reduce the amount of the principal debt (Part B).
  • You may settle and terminate this agreement early by paying the settlement amount.
  • If you want to settle the outstanding amount owed to the credit provider in terms of this agreement, you must request a settlement quotation from the credit provider which will be given to you at no cost within 5 (five) business days of your request.
  • The settlement quotation may be given to you in person, via email, telephone or another form of electronic communication
  • The settlement amount quoted must be paid within 5 (five) business days from the date that it was presented to you. If you do not pay the settlement amount during this period, the settlement quotation will no longer be valid.  The agreement will continue as normal and you will need to request a new settlement quotation if you wish to settle your instalment agreement early.
  • The settlement amount is the total of the following amounts:
    • the unpaid balance of the principal debt at the time of termination; and
    • the unpaid interest charges and other fees and charges payable by you to the credit provider up to the settlement date.
  • In the case of agreements where the principal debt exceeds R250,000 (two hundred and fifty thousand rand) charges payable by you may include an early termination charge equal to the interest that would have been payable under this agreement for a period equal to the difference between 3 (three) months and the period of notice of settlement, if any, given to you.

  • SURRENDER OF VEHICLE

    • You have the right to surrender the vehicle to the credit provider for sale. In order to exercise this right, you must give written notice to the credit provider to terminate this agreement and, within 5 (five) business days of such notice, return the vehicle to the address contained in Clause 11 during ordinary business hours.
    • Within 10 (ten) business days of your returning the vehicle, the credit provider shall provide you with a written notice that sets out the estimated value of the vehicle.
    • Within 10 (ten) business days of receiving the valuation notice, you may withdraw the written notice you gave to the credit provider to terminate this agreement and resume possession of the vehicle.
    • If you do not respond to the valuation notice, the credit provider will sell the vehicle as soon as it is practicable and for the best price reasonably attainable. After selling the vehicle, the credit provider will debit or credit your account with a payment or charge, equivalent to the proceeds of the sale, less any expenses as provided for in paragraph 29.2 (including, without limitation, any repair costs necessary to render the vehicle fit for resale) reasonably incurred by the credit provider in connection with the sale of the vehicle, and the credit provider shall provide you with written notice thereof.
    • If an amount is credited to your account and it is less than the settlement value immediately before the sale, or an amount is debited to your account, the credit provider may demand payment from you.
    • Any amount realised by the credit provider as a result of the sale will be credited to your account and you are obliged to pay an outstanding balance within 10 (ten) business days after receipt of the written demand from the credit provider.

  • CONSUMER'S RIGHT TO RESCIND (Cooling-Off Period)

    • Provided that this agreement was not made and accepted at our registered business premises, you will be entitled to terminate this agreement within 5 (five) business days after the date on which it was signed by you, by:
  • delivering a notice of termination to the credit provider; and
  • tendering the return of the vehicle or paying in full for any services received by you in respect of this agreement.
  • If this agreement is terminated in terms of Clause 1, the credit provider;
  • shall refund any money you have paid under this agreement within 7 (seven) business days after the delivery of the termination notice; and
  • may require payment from you for the reasonable cost of having the vehicle returned to the credit provider and restored to a saleable condition; and
  • may charge reasonable rent for the use of the vehicle for the time that the vehicle was in your possession unless the vehicle is in its original condition and it is apparent it has remained unused; and
  • may claim the depreciation cost of the vehicle.
  • Any dispute arising in respect of the depreciation of the vehicle that cannot be resolved through alternative dispute resolution under Part A of Chapter 7 of the NCA may be referred by us to a court for an order requiring you to pay to us a further amount not greater than the difference between:
  • the depreciation in actual fair market value, as determined by the court; and
  • the amount that the credit provider is entitled to charge you in terms of Clause 18.2.4 above.

  • CONSUMER'S RIGHT TO TERMINATE THE AGREEMENT

You may terminate this agreement at any time by paying settlement amount to the credit provider in accordance with Clause 16  above.

  • You may also terminate this agreement by surrendering the vehicle to the credit provider in accordance with Clause 17 above and paying to the credit provider any remaining amount demanded in terms of that

  • STATEMENTS

    • You agree that the credit provider will deliver statements of account to you every 3 (three) months either by way of email, post or some other electronic communication.

 

  • PROTECTION OF PERSONAL INFORMATION

    • Below is a summary of how the credit provider deals with your personal information. For a more detailed explanation, please read the credit provider's official Privacy Policy available on the website halfwaygroup.co.za. Alternatively, the credit provider will provide you with a printed copy on request.
    • Except as provided for in this clause and Part F of the quotation, which constitutes a voluntary, specific and informed consent by me for the processing of my personal information, the credit provider will not disclose any of your information without your express consent, unless required by law to do
    • You confirm that the credit provider may transmit to any credit bureau data about your application for credit in terms of this
    • The credit provider may transmit to any credit bureau any adverse information due to your non-compliance with the terms and conditions of this agreement after giving you 20 (twenty) business days' notice of its intention in this regard, after you have been in default for at least 3 (three)consecutive billing cycles and provided that the debt has not prescribed.
    • The names and contact details of the credit bureau to which the credit provider transmits information are provided below:
      • TransUnion; Tel: 010 597 6171/0861 482 482, Email: queries@transunion.co.za
      • Compuscan; Tel: 021 888 6000, Email: consumercare@compuscan.co.za.
      • XDS; Tel: 011 645 9100/0860 937 000, Email: info@xds.co.za.
      • Experian; Tel: 011 513 1249/0861 105 665, Email: EZA.consume@experian.com .
      • Consumer Profile Bureau (CPB), Tel: 010 590 9505, Email: marina@cpbonline.co.za.
      • VeriCredi, Tel: 087 150 3601, Email: info@vccb.co.za.
    • The credit bureau to which the credit provider transmits information may provide a credit profile and possibly a credit score on the creditworthiness of you to third parties as provided for in the
    • You have the right in terms of the NCA to contact the credit bureau and have your credit record disclosed in order to correct inaccurate
    • The credit provider may further disclose any fraudulent information and/or activity by you to the South African Fraud Prevention Services (“SAFPS”) and/or any similar organisation.
    • You hereby consent to your bank disclosing any financial information to the credit provider that the credit provider may require relating to your bank accounts.
    • You further consent to the credit provider obtaining any of your personal information or any other information it deems relevant, including information relating to your financial status, banking details, credit record, payment history, residential and work address from any third party.
    • In addition to the aforementioned, you consent to the credit provider sharing your personal information with the following third parties: loan management system administrators, insurers, the motor licensing bureau, tracking agencies, collection agencies, auditors, compliance officers, associated government departments such as the Sheriff's office, the Masters' office, legal services providers, regulators and other law enforcement agencies.
    • You also consent to the credit provider sharing your personal information with the following companies within the Halfway Group for the purposes of arranging vehicle finance and insurance on your behalf:
      • Your respective Halfway dealership
      • Zanro Brokers
      • Scottfin Insurance Brokers
    • If you elect to receive marketing material from the credit provider, you consent to the credit provider marketing to you in the manner and form selected by you even after this agreement has been terminated.
    • You do however have the right to be excluded from any marketing phone calls by or on behalf of the credit provider, marketing or customer lists sold or distributed by the credit provider (except as the NCA requires) or mass distribution of email or SMS messages sent by or on behalf of the credit provider. Please contact the credit provider if you want to change your marketing preferences. Remember that even if you choose not to receive marketing from the credit provider, you will be sent communications about your current finance agreement, insurance, tracking company and vehicle.
    • You may exercise the right in Clause 21.14 when accepting the quotation or at any other time by contacting the credit provider.
    • Notwithstanding anything contained in the Clause 21, you consent to the credit provider and/or its authorised representatives and/or its cessionaries, selling or distributing your details to third parties for the purposes or ceding and/or protecting the credit provider's rights under this credit agreement, or as part of any other similar contractual arrangement entered into by the credit provider with third parties.
    • The credit provider takes every reasonable precaution to protect your personal information (including information about your activities) from theft, unauthorized access and disruption of services.
    • The credit provider will not keep your personal information for longer than is necessary to achieve the purpose for which it is collected. However, the credit provider is required by law to retain your personal information for duration set out below:
      • Declined applications: A period of 3 years from the date the application was declined.
      • Approved applications: A period of 3 years from the date of approval.
      • Active deals: A period of 3 years from the date the deal terminated.

21.19 You have a right to request access to any of the personal information the credit provider holds as well as to object to the processing or sharing of your personal information. You also have a right to have your personal information corrected, amended or deleted. You may exercise these rights by contacting the credit provider's Deputy Information Officer whose details appear below.

  • Should you wish to submit a complaint to the credit provider in a matter concerning the use of your personal information, you may address your complaint to the Deputy information Officer either verbally or in writing. Contact details for the relevant deputy information officer are as follows:

Name: Natasha Stanton

Telephone number: 039 978 7562

Email: tash@halfway.co.za

  • Where the credit provider has been unable to resolve your complaint to your satisfaction you have the right to submit a complaint to the Information Regulator regarding an alleged infringement of any of the rights protected under Protection of Personal Information Act (POPIA). Contact details for the Information Regulator are as follows:

Physical address: SALU Building, 316 Thabo Sehume Street, Pretoria, 4180

Email address: inforreg@justice.gov.za

Website www.justice.gov.za/inforeg/index.html

21.22 For additional details on the credit provider's POPIA complaints processes and procedures please consult their Privacy Policy which is available on the Halfway Group website on wwww.halfwaygroup.co.za or which is available on request.

22     NON-VARIATION

  • Subject to Clause 12 above, no change, variation, novation, addition or deletion to any of the terms and conditions of this agreement, including this clause, nor any waiver of any rights nor any cancellation, will be of any force or effect; unless recorded in writing and signed by or on behalf of both the credit provider and you.
  • This is the entire agreement between you and the credit provider relating to the vehicle. No implied or tacit terms or conditions are intended nor should they be read into this agreement.
  • The description of the vehicle (contained in Annexure A hereto) was fully completed prior to the signing of this agreement and the particulars contained therein are
  • Should this agreement , or any part thereof, be cancelled, rendered ineffective or negated in any way pursuant to the signature hereof by the credit provider and you, the terms and conditions of this agreement shall, notwithstanding such cancellation or negation, determine and govern the contractual relationship between the credit provider and you.

  • CESSION

    • The credit provider may, without further notice to you, cede (transfer) all or any part of its rights, title, and interest in terms of this agreement to a third
    • Unless instructed otherwise, you must continue to pay the credit provider, which will on cession (transfer) collect the payment as agent for the third party to whom the rights have been transferred or
    • Unless the context indicates otherwise, any reference to the credit provider in this agreement shall be deemed to include the cessionary (transferee).
    • For so long as you owe any amount to the credit provider in terms of this agreement, you hereby cede all your rights to receive any payment or other amount from the dealer, or from any third party, in respect of the return of the vehicle to the dealer for any reason whatsoever, including, without limitation, your rights outside of the ambit of the
    • You must authorise the dealer to pay all such amounts directly into the credit provider's bank account, without further consents or notification being required from you, in satisfaction of all and any amounts owing by you to the credit provider for any reason
    • You are required to notify the credit provider immediately upon returning the vehicle to the
    • Unless otherwise agreed, and apart from the rights contained in this clause, you may not transfer any of your rights and /or obligations.

  • ADDRESSES (DOMICILIA CITANDI ET EXECUTANDI) – ALL NOTICES

    • You choose the address on the face of the quotation, attached to this agreement as your domicilia citandi et executandi (“domicillium” also referred to your service address) for all purposes.
    • You may change your domicillium either verbally or by written notice to the credit

  • COMPULSORY COMPREHENSIVE SHORT-TERM VEHICLE INSURANCE

    • The credit provider requires that you maintain insurance cover against any damage, loss, destruction or mechanical breakdown to the vehicle, not less than the total of your outstanding obligations to us. This requirement is a material term of this agreement.
    • In the event that the fitting of a vehicle tracking device is a condition of your short-term vehicle insurance agreement, the credit provider will regard such additional payment as part of your insurance premium.
    • The credit provider may offer you optional insurance cover in relation to your obligations under this agreement or relating to the possession, use, ownership or benefit of the vehicle.
    • You must be able to provide the credit provider with proof that the vehicle is insured on or before the signature date of this agreement. If you are unable to provide the credit provider with proof, the credit provider may (but shall not be obliged to):
      • insure the vehicle for the value of your outstanding obligations to the credit provider; or
      • if you are a juristic person, comprehensively insure the vehicle to its full market value and, in either case, to recover the premium from you.

25.4.3   give you a copy of the insurance policy, explain the terms and conditions thereof to you and require that you confirm that you have understood same.

  • You may obtain your own insurance, if:
    • you name the credit provider as first loss payee under the policy up to the settlement value of this agreement at any time and authorising the insurer, if an insured event occurs, to settle your total obligations under this agreement as a first charge against the proceeds of that policy during the term of this agreement; and/or
    • at the credit provider's request, you authorise the credit provider to pay any premiums, which may include the vehicle tracking device subscription fee, due under that policy during the term of the agreement on your behalf as they fall due and to debit you monthly with the amount of such premiums.
  • The credit provider shall not be liable in the event of an insurer rejecting your claim for any reason.
  • Further, the credit provider may require that you maintain credit life insurance and/or any other appropriate insurance for a value not exceeding the total of your outstanding obligations to the credit provider in terms of this agreement.
  • You shall keep the vehicle comprehensively insured against the risks referred to in Clause 25.1 above for so long as there is an amount contemplated in this agreement that remains outstanding with a registered insurer and on terms acceptable to the credit provider. This Clause 25.8 shall survive termination of this agreement by the credit provider in accordance with Clause 29.
  • You shall, for so long as there is an amount contemplated in this agreement that remains outstanding, comply with all the terms, conditions and warranties of every insurance policy effected in terms of this agreement. This Clause 25.9 shall survive termination of this agreement by the credit provider in accordance with Clause 29.
  • You shall not without the credit provider's prior written consent during the period of insurance stipulated in terms of any insurance policy effected in terms of this agreement, cancel or agree to the cancellation or variation of any of the terms thereof, nor release the insurer in terms of such policy from any of its obligations in terms thereof or arising therefrom.
  • The credit provider shall be entitled, at the end of the insurance period stipulated in any insurance policy effected in terms of this agreement, to procure the renewal thereof for so long as there is an amount contemplated in this agreement that remains outstanding.

  • CREDIT LIFE INSURANCE COVER

    • This agreement is conditional upon you taking out credit life insurance in order to reduce your credit risk further.
    • Should you not wish to take out the credit life insurance policy proposed by the credit provider, you may take out any credit life insurance with an insurer of your choice.
    • Should you choose to take credit life insurance (whether with the credit providers proposed insurer or not) you hereby cede (transfer) your entire right, title and interest in and to every credit life insurance policy entered into in terms of this agreement to the credit provider, including the right to receive any payment from the insurer in terms of such policy, and you undertake, upon demand, to deliver such credit life insurance policy to the credit provider. The credit provider shall be obliged, after all outstanding amounts contemplated in this agreement are repaid in full, to return each such policy of insurance to you, and to cede the right, title and interest therein, back to you. Such obligation shall, however, be suspended until all claims made or to be made under each such policy of insurance in respect of causes that arose whilst there is still an amount outstanding contemplated under this agreement have been paid by the insurer. This Clause 26.3 shall survive termination of this agreement by the credit provider in accordance with Clause 29.
    • You hereby authorise the credit provider to pay any premiums due under the vehicle insurance policy during the term of this agreement on your behalf. The premiums will be paid in advance of any monies paid by you to the credit provider and included in the monthly instalment payable in terms of this agreement.
    • When an insured event occurs in terms of the credit life insurance policy, the credit provider shall have the sole and exclusive right to accept payment of compromise, or agree to a settlement with the underwriter, of the amounts payable under such policy, which payment will be made to and received by the credit provider, upon receipt of which the credit provider shall be obliged to credit the amount of such payment against any amount outstanding by you to the credit provider in terms of this agreement.
    • Where you agree to accept the proposed credit insurance policy, the credit provider shall not add any fee, or additional premium above the actual cost of this insurance and all costs will be disclosed in the quotation as required by the Act.
    • Should any fee, commission, remuneration or benefit be received by the credit provider or any person, the amount thereof will be stated in the policy document, which will form part of this agreement.

  • DECLARATION

Insurance

  • Section 44 of the Long-Term Insurance Act 52 of 1998 or the corresponding clause in the Insurance Act 18 of 2017
  • Section 43 of the Short-Term Insurance Act 53 of 1998 or the corresponding clause in the Insurance Act 18 of 2017
  • Code of Conduct of Intermediaries

You understand that in the event that you are required to provide a short or long-term insurance policy as security for the amount owed to the credit provider, you may use an existing policy or take out a new policy or do both. If you decide to take out a new policy, you have the freedom to choose:

  1. the insurance company and/or broker;
  2. to take cover only for death and disability if it is a long- term policy;
  • take cover to the value of the amount owed to the credit provider;
  1. You understand that if you use a policy that you already have, you may choose the broker (if any).
  2. With a long-term policy, you only have to change the policy to show that the benefits are to be paid if you die or become disabled. The value of the benefits must not be less than that owed to the credit provider.
  3. You understand that the benefits listed above cannot be used where you have a short-term insurance policy as security for money you owe to the credit provider where the credit provider has lent you money upon the security of a mortgage of immovable property.
  • You declare that you were advised of the above before using an existing policy or before taking out a new policy, and that you exercised a free choice.

Acknowledgement

You declare that you have read and understood the terms and conditions of this agreement with the schedule that applies and agree to obey the terms and conditions that apply.

  • EVENT OF DEFAULT

    • You acknowledge that:
      • The credit provider is providing finance under this agreement based on the law applicable and your financial position and circumstances, and of your surety at the time of entering into the agreement, as well as the industry and environment within which the credit provider operates at that time; and
      • a change in the law, your (or your surety's) financial position, circumstances and/or industry within which the credit provider operates may have the effect of altering the basis upon which the agreement was or is given and secured.
    • If an event or circumstance or a series of events or circumstances occurs (including without limitation a change in law or your financial position) which has or may have a material adverse effect, which means a substantial change in your shareholding and/or interest and/or in your circumstances which, in the credit provider's reasonable opinion has or will have a material adverse effect on: your financial condition, business or operations; and/or your ability and/or the ability of your surety to perform the financial or other material obligations under this agreement, the credit provider may, at the credit provider's election, by giving you written notice, change the terms of this agreement with you and/or regard such material adverse effect as being an event of default of this agreement.
    • Should the credit provider elect to change the terms of the agreement and if you do not accept the new terms proposed, within the period advised by the credit provider in its' written notice in Clause 28.2, then the provisions of Clause 29 below will apply.

  • BREACH

    • If:
      • you do not comply with any of the terms and conditions of this agreement (all of which you agree are material); or
      • you fail to pay any amounts due under this agreement; or
      • you have made any misleading statements to the credit provider before signing this agreement; or
      • you allow any judgment that has been taken against you to remain unpaid for more than seven (7) business days; or
      • you are sequestrated or liquidated or perform an act of insolvency in terms of the Insolvency Act 24 of 1936; or
      • you enter into a compromise with any of your creditors; or
      • you die, or (being a partnership) it is dissolved, or (being a juristic person) there is a material change in the control or the shareholding; or
      • any person who is not duly licensed or authorised to use the vehicle, uses or takes control of the vehicle; or
      • your employment as at the date of this agreement is terminated for any reason whatsoever; or
      • you do anything to prejudice the credit provider's rights and security in terms of this agreement or cause the credit provider to suffer any loss or damage; or
      • the vehicle is destroyed totally or partially, or the integrity of the vehicle is compromised in any way or by any means whatsoever.
      • any collateral that you have provided as security in terms of this agreement has in the credit provider's opinion, materially deteriorated; then the credit provider may (without affecting any of its' other rights) proceed with the enforcement or termination of the agreement as set out in the NCA.
  • Upon the occurrence of any of the abovementioned events, the credit provider shall be entitled to and may in its sole discretion, without prejudice to any other remedies it may have in terms of this agreement or otherwise in law, or without affecting any of its' other rights, proceed with the enforcement or termination of this agreement as set out in the Act, by
  • claiming immediate payment of all outstanding balances on this agreement, together with any interest and all amounts owing and claimable by the credit provider arising from this agreement, irrespective of whether or not such amounts are due at that stage; or
  • claiming and taking possession of the vehicle, whether handed over by you voluntarily or in terms of an attachment order, retain all payments already made in terms of or in relation to this agreement, and claim as liquidated and pre-estimated damages, payment of the difference between any balance outstanding at the time and the market value of the vehicle as determined in accordance with Clause 17 of this agreement, which amount shall be immediately due and payable.
  • If the credit provider elects to enforce the agreement, a notice will be sent to you, which will set out:
    • the details of your default;
    • the period within which the credit provider requires you to rectify the default; and
    • your rights to refer this agreement to a debt counsellor, alternative dispute resolution agent, Consumer Court or an ombudsman with jurisdiction, with the intention of resolving any disputes or developing and agreeing on a plan to bring your payments under this agreement up to date.
  • Any legal proceeding will not be commenced against you unless:
    • you have been in default for at least 20 (twenty) business days;
    • at least 10 (ten) business days have elapsed since the default letter or the notice referred to above has been delivered (which 10 (ten) business day period may run concurrently with the 20 (twenty) business day default period);
    • you have failed to respond to the default letter, or you have responded by rejecting the credit provider's proposal;
    • you have not surrendered the vehicle to the credit provider in terms of Section 127 of the Act.
  • Should the credit provider elect to terminate this agreement in terms of Section 123 of the NCA, the same procedure as set out in 29.3 above, will be followed prior thereto.
  • Before termination of the agreement, you are entitled to reinstate the agreement in respect of which you are in default, by paying all overdue amounts, as well as the credit provider's permitted default charges and reasonable costs up to the time of reinstatement.
  • When you are in default, you will be liable for default administration charges and collection costs in terms of the Supreme Court Act 59 of 1959 or the Magistrate's Court Act 32 of 1944 and/or the Debt Collectors Act 114 of 1998 and/or the Attorneys Act 53 of 1979, whichever may be applicable.
  • If the credit provider sells the vehicle pursuant to an attachment order or you surrender the vehicle to the credit provider, and the net proceeds are insufficient to settle all your obligations under this agreement, the credit provider may approach the court for an order enforcing any of your remaining obligations under this agreement.
  • If an event of default occurs the credit provider:
    • may make an adverse or negative Credit Information listing against your credit profile at any registered credit bureau, which will affect your ability to obtain further credit. The credit provider may not submit an adverse credit information listing (such as ‘written-off as bad debt' or ‘handed-over for collection') at any registered credit bureau, unless:
    • it notifies you of your default and of its intention to make such a listing, at least 20 business days' before doing it, by providing you with a letter; and
    • you were in arrears for at least 3 (three) consecutive billing cycles; and
    • you have failed to settle the arrear amounts during the notice period or you have not disputed your liability by disputing the accuracy of the Credit Information at a registered credit bureau.
  • No relaxation or indulgence which the credit provider may show to you shall in any way prejudice or be deemed to be a waiver of its rights and, in particular, no acceptance by the credit provider of payment after due date (whether on one or more occasions) nor any other act or omission by the credit provider shall preclude or estop (stop) it from exercising any of its rights by reason of any subsequent payment not being made strictly on due date or by reason of any subsequent breach by you.

  • JURISDICTION AND COSTS

30.1   At the option of the credit provider, any claim against you arising in connection with this agreement and all proceedings in connection therewith may be brought in the Magistrate's Court having jurisdiction over you, notwithstanding that the amount claimed or the value of the matter in dispute exceed such jurisdiction, provided that the credit provider shall not be obliged to institute action in the Magistrate's Court. The credit provider shall be entitled to institute all or any proceedings against you in connection with this agreement in the High Court in the event of same having jurisdiction.

30.2   You agree to pay any costs which may be awarded against you on an attorney and client scale, irrespective of any award on a lower scale in so far as it is permitted by the NCA.  This agreement shall be governed by and interpreted in accordance with the laws of the Republic of South Africa.

  • DISPUTE RESOLUTION

    • Should you have any dispute with the credit provider, you may:
      • contact the credit provider's Complaint's Officer on telephone number 039 9787562 or by email at sfsadmin@halfway.co.za.
      • resolve a complaint by way of alternative dispute resolution in terms of the NCA;

31.1.3               apply to a debt counsellor for assessment and debt review in terms of Section 86 of the NCA, after which a debt counsellor may make an appropriate proposal to you and the credit provider regarding (among other things):

  • a re-arrangement or re-calculation of your obligations to the credit provider;
  • a postponement of your obligations to repay the amount outstanding under the credit agreement; and
  • an extension of the terms of the credit agreement; and
  • if you are found to be over-indebted, apply with the debt counsellor's assistance to the relevant Magistrate's Court for (among other things) an order declaring the credit agreement reckless for the purposes of the NCA;
  • file a complaint with the “National Credit Regulator” or the National Consumer Tribunal, as the case may be, established in terms of the NCA;
  • you may contact and ask any credit bureau to see your credit report, containing your credit records free of charge once every 12 (twelve) months or at any other time by paying the credit bureau's fee.
  • should you disagree with any information on your credit report, you may contact and request the credit bureau to correct it, whereafter the credit bureau must investigate and resolve the dispute within 20(twenty) business days, free of charge.
  • during office hours and upon reasonable, written request to the credit provider, access any of your personal information which is held by the credit provider.

31.2                The contact details of the National Credit Regulator and National Consumer Tribunal are as follows:

31.2.1                The National Credit Regulator - telephone: 086 062 7627/011 554 2700; fax: 011 805 4905; email: info@ncr.org.za, post: PO Box 209, Halfway House, 1685

31.2.2                The National Consumer Tribunal - telephone: 012 683 8140/ 012 742 9900, email: registry@thenct.orgza; post: Private Bag X110, Centurion, 0046.

  • MATRIMONIAL PROPERTY ACT

    • By signing the marital status declaration which the credit provider has included with the quotation under the heading “Marital Status Declaration” and which is referred to in Part J and contained in Annexure C to this agreement, if you are married in community of property or in accordance with the laws of a foreign country, you confirm that you have received the written consent of your spouse to enter into this agreement as required by Section 15 of the Matrimonial Property Act, 1984.

  • DEBIT ORDER MANDATE

    • By signing the debit order mandate which the credit provider has included with the quotation under the heading “debit order authorisation” and which is referred to in Part I and contained in Annexure B to this agreement, you have, among other things, authorised the credit provider to satisfy your obligations by making a charge against an account held by you.

 

  • DELIVERY

    • The credit provider will buy the vehicle which has been chosen by you from a supplier. The credit provider does not know the purpose for which the vehicle will be
    • You understand that you will be holding the vehicle for the credit provider and that the credit provider is the owner of the vehicle until the credit provider has been paid in
    • You must inspect the vehicle before accepting it to ensure that the vehicle is not faulty and that it can be used for the reason you bought
    • You are not allowed to act as the credit provider's agent except to inspect the vehicle and accept delivery of the vehicle on the credit provider's behalf so that the credit provider becomes the owner of the vehicle.

  • GENERAL

    • If more than one person signs this agreement as the consumer, those signatories shall be jointly and severally liable for any claims arising from this
    • If this agreement is not signed by all persons named as the consumer in the quotation, then this agreement will bind only those persons who have signed as c

  • SEVERANCE PROVISION

    • Should any term, condition or provision in this agreement be deemed to be unenforceable and/or unlawful, such provision shall be capable of being severed from the rest of this agreement which shall remain in full force and effect and enforceable.

  • CONFIRMATIONS

    • By applying for credit, you again confirm that:
  • you can read and fully understand English. If you cannot read or fully understand English, you will request the credit provider to provide you with the documentation in another language that the credit provider may support;
  • you are an adult person, above the age of 18 years;
  • a court has not declared you mentally unfit;
  • you are not currently over-indebted;
  • you have not applied for or are currently under administration, provisional or final sequestration or debt review;
  • if you are married in community of property, or by customary or tribal law your spouse has given written consent for you to enter into this agreement;
  • you are not going through financial difficulty;
  • all the information you have given is true and up-to-date, and the credit provider can rely on it; and
  • you will ensure that you have read and understood the terms and conditions before accepting the terms of the agreement and the quotation.
  • By accepting the agreement, you confirm that:

37.2.1               you have reviewed the quotation and terms and conditions and that you understand and appreciate the costs of credit, risks, rights and obligations that apply to the agreement;

  • you can afford the monthly instalment in terms of the quotation;
  • you have not borrowed any more money or accepted further credit after you first applied for this credit agreement with the credit provider;
  • you have not applied for this credit agreement in order to pay a debt counsellor to go under debt review;
  • you acknowledge that you have free choice as to the credit insurance policy, the insurer, the broker or intermediary, and that you have exercised this choice without being forced or persuaded.
  • The credit provider or its' representative may contact you on any day of the week in line with applicable laws about any amount you have not paid under the agreement;

37.2.7               if there are insufficient funds in your bank account to meet the debit order obligations, the credit provider may re-submit the instruction for payment without notification to you as soon as sufficient funds are available in your bank account;

  • you indemnify the credit provider against any claim arising from the use and/or possession of the vehicle;
  • if your debit order is cancelled because 3 (three) debit orders in a row have failed, the credit provider may put your debit order in place again if it so chooses to do so; and
  • the credit provider may cancel the agreement at any time before the principal debt amount has been paid out by notifying you in writing if anything comes to the credit provider's attention that may hinder your ability to make payment in terms of this agreement. The agreement will then have no effect and neither party will have any claim against the other.

Scottfin Financial Services (Pty) Ltd A Registered Developmental
Credit Provider NCRCP8617

INTERMEDIATE AND LARGE CREDIT AGREEMENT