Dear Minister Masina

With reference to the joint presentation by the Department of Trade, Industry and Competition (DTIC), National Credit Regulator (NCR), and National Consumer Tribunal (NCT) to the Portfolio Committee on 30 May 2023, which identified systemic challenges in the debt review system and proposed urgent legislative and regulatory reforms,

What are the reasons for the delay in implementing the proposed solutions, particularly:
a) Amendments to Regulation 10 of the National Credit Act (NCA) to strengthen debt counsellor registration requirements;
b) New regulations to prohibit misleading debt counselling advertisements and the sale of consumer leads;
c) Prescribed fee regulations for debt counsellors, given the NCR’s lack of authority to enforce current guidelines;
d) Amendments to sections 58, 58A, and 71 of the NCA to allow consumers to exit debt review upon improved financial circumstances; and
e) Finalisation of Payment Distribution Agent (PDA) regulations, including the 2018 fee study recommendations?

What is the formal timeline for the DTIC to:
a) Gazette the proposed regulations and amendments; and
b) Conclude consultations with stakeholders, including the NCR and NCT?

What interim measures has the DTIC taken to protect consumers from exploitation amid these delays, given that over 1.2 million South Africans remain under debt review?