I am in need of advice with regards to the Credit Act for the following situation that I find myself in.
In February 2015, I took out a loan against my car with AC for an amount of R 6000-00. The interest on this loan is 30% per month. Due to being unemployed since November, I took on a job on a fixed term contract in February 2015, and thus took a loan to pay for my rent petrol etc until my first salary at the end of that month.
Due to unemployment from November 2014 to February 2015, I was paying my arrear accounts, rent, petrol and R 1800-00 per month to AC, which was the 30% interest of the lump sum loan amount of R 6000-00.
In June 2015, my contract was not renewed and I managed to pay AC until July 2015. From February 2015 until July 2015, I have paid a total of R 10 800-00. That works out to be R 4 800-00 more than the loan amount.
I am unable to make another interest payment or pay the lump sum loan amount back due to my unemployment, but cannot afford to lose my motor vehicle as it is all I have to get me to interviews and to work, once I have secured that. Without my vehicle I am unable to secure employment.
Due to the fact that the loan amount was R 6000-00 and although I have not paid any money on the loan amount, but the 30% interest of R 1800-00 per month over a 6 month period resulted in me paying back more than the loan amount an interest on that, is there any way I can manage not to have my car repossessed.
What are my rights? Please advise URGENTLY as I need to make contact with AC regarding this matter, and want to be adequately informed of my rights before doing so.
Thank you and Best Regards
This matter was sourced from sister website ujuh.co.za. Some of the details are hidden and can be accessed from the publisher.