What is a consumer?

The generally accepted definition of a consumer is “a member of the general public who purchases goods services and property for private use.”

How does SANCU serve consumers?

  • SANCU distributes relevant information to consumers via its member bodies.
  • SANCU assists complainants by recommending an appropriate dispute resolution body to deal with the matter (see also under “Complaints”)
  • SANCU provides an authoritative consumer viewpoint to authorities and regulators.
  • SANCU raises issues of concern relating to consumers with appropriate bodies.

How can SANCU help my business?

SANCU interacts with businesses and official bodies on behalf of consumers. We provide an authoritative consumer viewpoint on relevant matters.

I have an account with a business that is up to date, but they claim I still owe them money and are threatening to report me to the credit bureaus.

This is a credit-related issue, so it should be referred to the Credit Ombud (see under “Complaints” for more details) but only once you can provide evidence that you have escalated the matter within the business without success.

My business has a problem with one of its suppliers. Where do I go?

SANCU does not deal with business-to-business complaints. However, the Consumer Protection Act treats very small businesses as consumers, provided that have an annual turnover of less than R2 million. In such cases the relevant bodies listed under “Complaints” may be able to assist.

I nearly swallowed a piece of plastic in a pizza I ordered. I’m angry and want to report it to the authorities, and also to spread the news on social media.

You suffered no physical harm (though you might have) so it would be best, in the interest of other consumers too, to raise the matter with the management of the pizza supplier and, if it is a national chain, with its head office. Keep the evidence but allow them to examine it if requested. If you are dissatisfied with their response, and feel they are not going to take corrective action to prevent a recurrence, you can report the matter to the health department of your local municipality. Be careful of what you put out on social media as you might receive a demand from company lawyers to withdraw the statement and apologise or face legal action. The supplier is not obliged to offer any compensation beyond possibly replacing the pizza, as you suffered no physical harm.

I missed a few payments on my house bond. Now I am informed that the house is under auction.

Banks are very strict when it comes to bond and loan repayments. If you are unable to meet your payment obligations it is best to visit them immediately and try to reschedule the debt. Failure to do so may invoke an automated process leading to an auction to recover the debt. You should have received various notifications along the way. If you didn’t it is possible that your bank skipped some steps, so it may be worthwhile contacting the Ombudsman for Banking Services for assistance.

I have a problem with a funeral benefit that forms part of my account with a national retailer and am being sent from pillar to post as my branch clearly doesn’t know how to deal with it.

We recommend you escalate the matter in writing to the head office of the retailer requesting assistance. Keep copies of all correspondence and reference numbers. If this doesn’t work, then you can approach the Ombudsman for Long-term Insurance for assistance.

I was a victim of fraud and transferred a large sum from my bank into an account at a different bank. I became suspicious and called my bank’s fraud department at 8pm requesting them to stop the transfer. They indicated that they would do so, as transfers only go through at midnight. Despite this, the transfer went through, and the bank was later only able to recover a small portion of the payment for me.

This is primarily a matter for the police, and we trust you have reported it to them. In such cases, banks will usually only refund monies they can collect from the recipient’s account, which is often very little as the funds tend to be withdrawn as soon as they are cleared. In this case, however, there appears to have been negligence by the complainant’s bank in not stopping payment as promised, or alternatively in misinforming the customer that it could still be stopped. We recommend that the matter be taken up with the Ombudsman for Banking Services on this basis.

I misread the names on my banking app and paid a lot of money in error into a company account instead of into my home loan account. The company claims the matter is under investigation by their fraud department and refuses to refund the money until the investigation is complete, which is taking a long time.

This is one of the problems with online banking: you were responsible for entering the whole transaction and the bank simply executed what you instructed them to do. The bank did nothing wrong and therefore cannot assist you. You are at the mercy of the recipient which, being a large company, is aware of fraud that is sometimes attempted along very similar lines. You may need to wait some time for your funds to be cleared irreversibly into their account before they process a refund.

I discovered that I have been paying a bi-annual fee for “accounts benefit insurance” on my credit account for a few years. I never signed up for this insurance and don’t need it. I want my money back.

It is possible that this insurance was included in the fine print of the credit agreement when signed. Many credit providers require such insurance which pays the company when the customer defaults. We recommend you check the original agreement for such wording. If none, request the retailer to indicate where you agreed to such insurance. In the absence of any proof, you should take up the matter with the Credit Ombud, as the company cannot enforce anything that is not foreseen in the original credit agreement.

Is it legal for a hospital or doctor to expect me to pay an amount sent by SMS without any other documentation?

You should always be informed of the details for which any payment is requested. You are entitled to receive a copy of the relevant invoice or statement before settling the amount. Such documentation is needed anyway to claim medical benefits in your tax return. Send a reply SMS requesting the invoice and provide an (electronic) address to which is should be sent before payment will be made.

I purchased a house which I subsequently found to have many defects that were not pointed out to me before the sale. The seller refuses to fix them. What can I do?

We suggest you contact the Estate Agent who handled the sale for advice, as there might be something in the sale agreement covering such a situation. You could pay to have the work done and then process a legal claim to the seller to refund the amount. If the total cost of repairs is under R20 000, or if you limit your claim to that amount, you can process the matter through the Small Claims Court (see under “Complaints”). Unfortunately, the Consumer Protection Act doesn’t apply to transactions between individuals.