When your account has been handed over, the creditor has passed the debt to a debt collector or an attorney to recover it. You now deal with them, not the original creditor, and collection costs may be added to what you owe.
Your rights when dealing with a debt collector
- Debt collectors must be registered with the Council for Debt Collectors under the Debt Collectors Act
- You can ask for a statement showing the capital, interest, and fees claimed
- Collectors may not threaten, harass, or mislead you
- Collection fees are regulated, and only lawful amounts may be added
- A prescribed debt from a credit agreement may not be collected under the National Credit Act
Ask for the details in writing before you pay or sign anything. If you agree to a payment plan, make sure it is recorded in writing, including the total amount payable.
If the debt is disputed, or the collector cannot show how the amount is made up, say so in writing. If you receive a summons, you have 10 court days to respond, so act quickly.
Need help with this? See Litigation & Dispute Resolution.
This answer is general information about South African law and does not create an attorney and client relationship. Please speak to the firm about your specific matter.