Terms and Conditions

These Terms and Conditions form part of and are to be read together with the Pre-Agreement Statement and Quotation and Loan Agreement.

Overview

TLCLoans is a registered credit provider with the National Credit Regulator (“NCR”) (NCRCP14032).

The agreement is concluded once you accept the Pre-Agreement Statement and Quotation and TLCLoans has paid out your loan. The loan will be granted at the discretion of TLCLoans.

Any and all amendments made to the agreement will only be legally binding once you have been notified in writing by TLCLoans.

Pre-agreement statement and quotation

Pre-agreement statement & Quotation for Small Credit Agreements in terms of Section 92 of the National Credit Act 34 of 2005.

This sets out the information that is specific to your loan.

Ownership and Security of payment

The Borrower is the legal, registered owner of the property.

The Lender will agree to lend and advance the Loan Amount to the Borrower on condition that the property pledged as security for payment and settlement is paid off and registered in their name.

The Borrower will remain the legal, registered owner of the property pledged as security however the Lender will retain the security until the provisions of this agreement have been duly fulfilled.

Guarantees

The Borrower guarantees and confirms that:

They are the rightful owner of the property and that the property is free of any pawn, pledge, lien, attachment or any debt liability.
They are truly and legally able to pledge the property as security for payment of the Total Instalment due to the Lender.
They have been informed of and understands their rights and obligations in terms of this agreement.
The Borrower acknowledges that the Lender is willing to advance the Loan Amount to the Borrower in terms of the guarantees and representations made in the agreement.

Borrower’s right to settle the agreement early

The Borrower is entitled to settle the Credit Agreement at any time with or without advance notice to the Lender and the settlement amount is the total of the following:Un-paid balance of the principal debt at that time; and

Un-paid interest charged and all other fees and charges payable by the Borrower to the Lender up until the settlement date.
The Borrower may terminate the Credit Agreement at any time by paying the settlement amount to the Lender.

Interest, fees and costs

The interest is calculated daily on the capital (loan) amount at a fixed rate of 5% per month on the first Agreement within this calendar year and 3% per month on subsequent Agreement (s) within the same calendar year as per Table A of Regulation 42 of the Act as amended, subject to any changes to the interest rate in respect of Small Credit Agreements as set out in the Act.

Should any change of interest rate occur that affects this quotation, the Borrower will be given 5 (FIVE) business days’ written notice of such change before the change is implemented.

The following fees will be charged by the Lender in terms of regulation 42(2) and regulation 44 of the National Credit Act, as amended:

An initiation fee of R165.00 (Ex VAT) will be charged per Credit Agreement if the Credit Amount does not exceed the amount of R1 100.00. The Initiation fee will never exceed the amount of R1 050.00 (Ex VAT), or 15% of the Principal Credit.
If the Credit Amount exceeds the amount of R1 000.00, the initiation fee will be R165.00 plus 10 % of the amount of the Credit Agreement in excess of R1 000.00, (Ex VAT).
The Borrower has been given the option of paying the initiation fee separately.
The maximum monthly service fee is the amount of R60.00 (Ex VAT).
A monthly service fee will be charged for a calendar month in which it is due and payable and on a pro rata basis where the Credit Agreement was concluded during the course of the first calendar month.

Third party disbursement costs

The Borrower authorises the Lender to Store the Property at the Borrower’s Expense and the Lender’s risk.
A valuation of the asset will be conducted at the Borrower’s expense and to conduct at the Borrower’s expense the Natis, valuation report and ownership verifications.
The borrower may either pay the storage fee and any ancillary costs upfront or finance it as part of the principle debt applied for.
The above will only apply if and when the agreement is accepted.

Domicilium citandi et executandi and notifications

The Borrower shall nominate their address provided as his/her domicilium citandi et executandi for purposes of delivering any notices, pleadings or correspondence if necessary.

Any notification in terms of this agreement shall be either by hand or email or Whatsapp.

Risk

Upon receipt of the pawned property, the Lender will retain at the lenders risk, until the Agreement End date, the property at its own risk.

The Borrower must maintain any existing insurance on the property, whilst the property remains in the possession of the Lender and for the duration of this agreement.

Should the pawned property be lost, stolen, damaged (excluding mechanical/electrical and/or engine problems) or destroyed for whatever reason during this agreement, the Lender will reimburse the Borrower the reasonable assessed market value of the pawned property less the Total Instalment due by the Borrower.

The property will remain registered in the Borrower’s name during the agreement.

Default

The Total Instalment will become due and payable on the Agreement End Date. If the loan cannot be settled within the 30 days, then the Interest and Costs need to be paid on the due date and the loan can then be extended for a further 30 days.

If the Borrower then fails to make payment of the Total Instalment to the lender, the Lender has the right to sell the property (But this is a last resort option).

All proceeds of the sale of the asset will be refunded to the client excluding the amount borrowed as well as the fees and costs.

Complaints

In the event of a dispute or a complaint, the Borrower will FIRST refer the dispute or complaint to the Lender.

The Borrower confirms that all disputes and or complaints must be sent to the Lender’s chosen address above. The Borrower understands that the Lender will try to resolve the complaint and / or dispute within 10 (TEN) business days after receipt of the dispute and / or complaint.

If the Lender is not able to resolve the dispute and / or complaint to the Borrower’s satisfaction, the Borrower may refer the matter to the applicable Ombud and / or Regulator with jurisdiction as set out below.