In March 2006, President Thabo Mbeki signed the National Credit Act, thus giving birth to a brand-new era of legalisation, and control to one of the oldest forms of business in the world -- granting credit.

In South Africa, some credit grantors abused their power to the detriment of consumers. Credit grantors allowed misinformed consumers to overspend, so long as there were sufficient security and assets that could be attached ultimately to pay for the debt. Consumers buying on credit had no recourse. If they did not pay, they were blacklisted, causing other credit grantors to take action for the recovery of their debt.

The National Credit Act corrects all these wrongs. The rights and obligations of both the consumer and the credit grantor are clearly stipulated in the National Credit Act.