Your buying rights are protected
CREDIT AGREEMENT for an instalment sale in terms of Section 93(2) of the National Credit Act 34 of 2005
Entered into between HomeChoice (Pty) Ltd, NCR no: NCRCP 454
78 Main Road, Wynberg, 7800, Tel: 0861 466324
These terms read together with the order form, the Pre-agreement & Quotation/Tax invoice, the delivery note, monthly statements and the offer (this constitutes all relevant provisions of the HomeChoice catalogue and other marketing material containing an offer to purchase based on terms and pricing including all telephonic contact) ("the offer"), constitute the agreement ("the agreement") under which HomeChoice (Pty) Limited ("HomeChoice"), supplies the goods ("the goods") as described in the HomeChoice catalogue to the Customer ("the Customer") whose full name and address appears on the returned order form when he/she orders the goods ("the order form") or, if the order has been placed telephonically, on the Pre-agreement & Quotation/Tax invoice. The Customer signs and accepts these terms in the space provided on the order form or telephonically if the order is placed telephonically or on the delivery note which the Customer signs on receipt of the goods (the "delivery note"). In the event of the Customer not personally signing these terms, then the person so signing is deemed to have been authorised to sign on the Customer’s behalf, unless the Customer returns the goods within 14 (fourteen) days of delivery. Failure to sign does not automatically signify non-acceptance of the goods by the Customer and/or non-acceptance of the terms upon which HomeChoice may grant credit to the Customer. The Customer must signify such non-acceptance by returning the goods in accordance with clause 1.3 below.
1. Approval period
1.1 Prior to HomeChoice assessing the Customer’s credit available, nothing shall oblige HomeChoice to supply the Customer with the goods. If HomeChoice grants the Customer credit and supplies the goods it shall deliver them to the Customer who may accept or reject the goods as set out in clause 1.2 and 1.3 below.
1.2 All goods supplied by HomeChoice to the Customer are subject to the Customer’s approval. The Customer has a period of 14 (fourteen) days with effect from the date of receipt of the goods to examine the goods and, if they do not meet with the Customer’s approval for any reason, to return the goods in terms of clause 1.3 below upon which this credit agreement will be terminated. If the goods are not returned by the Customer to HomeChoice within 14 (fourteen) days of the Customer receiving them, the Customer is irrefutably deemed to have elected to purchase the goods.
1.3 The goods must be returned together with the packing list to HomeChoice by the Customer in the original packaging, if possible, and by insured post. All returns must be addressed to HOMECHOICE, PRIVATE BAG X28, CAPEMAIL, 8003. ALL ITEMS RECEIVED MUST BE RETURNED (INCLUDING ANY GIFTS).
2. Payment options
The Customer shall pay for the goods either in cash or on the usual credit terms granted by HomeChoice, the last alternative being one of the options indicated in the offer. The granting by HomeChoice of any such credit shall be at HomeChoice’s discretion.
3. Payment on terms
3.1 Where credit is granted by HomeChoice to the Customer, the monthly repayments will be made in such amounts and in the number of instalments as per the Pre-Agreement & Quotation/Tax invoice. Those amounts already paid by the Customer, together with finance charges thereon and any other amounts still owing by the Customer, will be reflected in the monthly statements.
3.2 All amounts paid will be appropriated firstly to interest, then to legal or collection costs or charges and disbursements incurred in enforcing these provisions in respect of any goods sold to the purchaser, thereafter to the balance of the principal debt still outstanding.
3.3 A certificate issued and signed by one of the directors of HomeChoice stating the amount owing by the Customer is prima facie proof of the facts stated therein and may be used in support of any court application or action.
4. Payment schedule and payments
4.1 For the payments schedule, setting out the credit extended, frequency of payments, number of payments and the dates for the first payment and last payment, see the Pre-agreement and Quotation/Tax invoice.
4.2 The first instalment payable by the Customer shall be paid on or before the date shown on the Pre-agreement and Quotation/Tax invoice as the ‘First payment date’.
4.3 Subject to the provisions of the Act, failure by the Customer to make payment of any instalment/s on the due date will entitle HomeChoice to claim the full balance of the purchase price then owing without further notice to the Customer.
5. Default administration charges
5.1 Should the Customer be in arrears with his/her monthly instalments and should HomeChoice take steps to enforce the agreement in terms of the Act, the Customer shall be liable for all default administration charges and collection costs incurred by HomeChoice, including tracing fees, collection commissions, costs of an attorney and such other reasonable expenses incurred by HomeChoice in enforcing this agreement (such as telephone calls and letters to you), subject to the provisions of the Act.
5.2 HomeChoice will not collect or attempt to collect any amounts for costs exceeding costs allowed for in terms of the Magistrates’ Court Act No. 32 of 1944, the Supreme Court Act No. 59 of 1959 or the Debt Collectors Act No. 114 or 1998.
6. Delivery, ownership and risk
Subject to 1.2 above, ownership of the goods will pass to the Customer immediately upon receipt by HomeChoice of a portion of the purchase price, and the Customer does not provide HomeChoice with any form of real or personal security in support of the amount owing by the Customer to HomeChoice from time to time in terms of this agreement. Risk in the goods passes to the Customer upon delivery of the goods. Unless the contrary is proved, a delivery note shall constitute proof of delivery.
7.1 The product guarantee (details of which appear in the HomeChoice catalogue) given by HomeChoice is given in addition to other warranties or guarantees implied by the law. The Customer will have no further claims.
7.2 The Customer must inform HomeChoice of any breakages of or shortages in the goods by way of a written notice to be received by HomeChoice within 14 (fourteen) days of receipt of the goods by the Customer. Failure to do so is an acknowledgement that the goods received by the Customer are complete and in good order.
7.3 Notwithstanding clause 7.2, HomeChoice (details of which appear in the HomeChoice catalogue) covers all risk of theft of the goods from the Customer’s home, damage to the goods by fire, or destruction of the goods by natural disaster, provided that the Customer’s repayments are up to date and the Customer has not claimed on more than two occasions per purchase. If the goods are lost or are stolen, damaged or destroyed and are not replaced in terms of this arrangement for any reason, the Customer must continue to pay the balance of the purchase price outstanding together with any other amounts outstanding in terms of this agreement.
8. Interest and charges
8.1 The Customer will be furnished on the Pre-agreement and Quotation/Tax invoice with the information regarding finance charges, Initiation fees and delivery fees stipulated in the Act. The interest rate will be fixed for the duration of the agreement and is calculated on a daily basis and capitalised monthly. The interest rate charged will be at the maximum rate permissible in terms of the Act. The interest rate currently stands at 32.1%.
8.2 HomeChoice is entitled to recover interest on any amount not paid to it on or before the due date of payment at the same rate as the interest rate charged in respect of this agreement, such interest to be calculated from due date to the date of payment ("arrears interest").
8.3 Arrears interest (if applicable), finance charges, Initiation fees and delivery fees are levied on all goods sold on credit and calculated in accordance with the Act.
8.4 A monthly credit account service fee of R15 also applies. The monthly service fee could increase annually by no more than 10%. Written notice of this change will be given 5 business days in advance of the increase.
8.5 HomeChoice shall levy a monthly service fee as set out in the quotation. At its sole discretion, HomeChoice may waive its rights to collect a portion of its service fee. Such waiver by HomeChoice can be revoked by HomeChoice at any time and will not create an expectation by the Customer that such waiver is irrevocable or that the quantum of the waiver cannot be varied. If the Customer has entered into more than one credit agreement with HomeChoice, this monthly service fee shall only be levied on the most recent active credit agreement.
9. Obligation to disclose location of goods
The Customer undertakes to, within 10 business days, notify HomeChoice in writing of any change to the Customer’s residential address, the address of the premises where the goods, subject to this agreement, are ordinarily kept and the name and the address of any other person to whom possession of the goods has been transferred. This notification can be hand delivered, sent by registered mail or electronic mail. Failure by the Customer to notify HomeChoice of the address change could constitute an offence.
10. Address for receiving documents
The addresses stated in the order form and in the pre-agreement and quotation for the Customer and for HomeChoice shall be the addresses for service and to which all notices, processes, statements and correspondence will be sent. The Customer and HomeChoice undertake to immediately notify each other in writing of any change of address and this change will only come into effect 14 (fourteen) days after notification. This notification can be hand delivered, sent by registered mail or electronic mail.
11. Credit information and limits
The Customer hereby agrees that HomeChoice may register information about the conduct of the Customer’s account with the credit information bureau, without notice to the Customer. Such information may be used both by HomeChoice and other members of the credit information bureau to make credit decisions in respect of the Customer and/or members of his/her household, to prevent fraud and to assist in the tracing of debtors.
12. Breach/HomeChoice's right to terminate the agreement
12.1 Should the Customer:
12.1.1 default in punctual repayments or any other amount falling due in terms of this agreement or breach any other term of this agreement; or
12.1.2 be sequestrated;
then HomeChoice may draw the default to the notice of the Customer in writing and propose that the Customer refer the credit agreement to a debt counsellor, alternative dispute resolution agent, consumer court or ombud with jurisdiction, with the intent that the parties resolve any dispute under the agreement or develop and agree on a plan to bring payments under the agreement up to date.
12.2 If the Customer has been in default for at least 20 (twenty) business days and at least 10 (ten) business days have elapsed since HomeChoice sent the Customer notice and the Customer has not responded to the notice, or has responded by rejecting HomeChoice's proposals, HomeChoice may approach a court for an order to enforce the agreement;
12.3 The Customer may, at any time before HomeChoice has cancelled the agreement, re-instate the agreement that is in default by paying to HomeChoice all amounts that are overdue, together with HomeChoice's permitted default charges and reasonable costs of enforcing the agreement up to the time of re-instatement.
12.4 Should the Customer:
12.4.1 have made any incorrect material statement or representation in connection with this agreement or his/her financial affairs or be an unrehabilitated insolvent; or
12.4.2 do or suffer anything to be done which might prejudice HomeChoice’s rights under this agreement;
then HomeChoice is entitled in its election without further notice to the Customer and without prejudice to any other rights but subject to the provisions of the Act, to cancel this agreement, take back possession of the goods and claim as liquidated damages, payment of the balance of the amounts still owing notwithstanding that such balance may not be due and payable at the time of such cancellation.
13. Early settlement
13.1 The Customer is entitled to settle the full balance owing under the credit agreement at any time, with or without advance notice to HomeChoice.
13.2 If the Customer wishes to pay the full balance owing before the due date for payment, he/she should request HomeChoice to provide him/her with an early settlement figure, the amount of which is calculated at the reasonable discretion of HomeChoice taking into account any of the charges referred to in clause 8 but subject to the provisions of the Act. If the Customer decides to pay the said early settlement figure, he must ensure that such payment is received by HomeChoice before the next invoice statement date.
14. Monthly statements
HomeChoice will send the Customer monthly statements through the post or via e-mail setting out the total balance due by the Customer as at the date of the statement.
15. Surrender of goods
A Customer may give written notice to HomeChoice to terminate the agreement and return the goods that are subject to the agreement to HomeChoice’s place of business within 5 (five) business days after the date of the written notice or within such other period as may be agreed with HomeChoice. The cost of returning the goods to HomeChoice will be at the Customer’s expense.Within 10 (ten) business days of the later of receiving the written notice or receiving the goods, HomeChoice will give the Customer written notice of the estimated value of the goods. Unless the Customer is in default, he or she may then withdraw the notice to terminate the agreement and resume possession of the goods. The cost of sending the goods back to the Customer will be at the Customer’s expense.
If the Customer is in default or does not respond to the notice, HomeChoice must sell the goods as soon as practicable for the best price reasonably obtainable.
After selling the goods and crediting the Customer’s account with the proceeds less selling expenses and other permitted charges, HomeChoice will inform the Customer in writing of the remaining settlement value (if any) and demand payment for this. Interest is payable by the Customer at the rate applicable to the credit agreement on any outstanding amount demanded by HomeChoice from the date of demand until the date of payment. The agreement is terminated upon payment of the outstanding amount and interest.
16. Marketing options
HomeChoice will afford/will have already afforded Customers the opportunity to select any of the following options:
– to be excluded from any telemarketing campaigns that may be conducted by or on behalf of HomeChoice;
– to be excluded from marketing or customer lists that may be sold or distributed by HomeChoice;
– to be excluded from any mass distribution of e-mail or sms messages.
The Customer is entitled at any time to contact HomeChoice and request that the options selected by the Customer be amended.
17. HomeChoice Plus benefits
To the extent that the Customer's account is recoverable in terms of HomeChoice's accounting policies, HomeChoice promises to write off R2 500 of the balance in the event of the Customer's permanent disability or death.
HomeChoice Plus account benefits are dependent on the Customer’s account status and can change without notice.
Disputes should be raised through our contact Centre at 0861 466 324 or the DTI customer contact centre at 0861 843 384 and lastly the National Consumer Tribunal at 012 – 663 5615 should resolution not be reached.
No modification to, variation to, amendment or addition to, or deletion from these terms and conditions is effective or enforceable unless expressed in writing and signed by both parties. No indulgence granted by HomeChoice is deemed to be a waiver by HomeChoice of any of its rights in this agreement. The Customer may not cede any of his/her rights under this agreement without HomeChoice’s prior written consent.
The Customer hereby consents to the jurisdiction of the magistrate’s court having jurisdiction over the person in respect of all legal proceedings connected with this agreement notwithstanding that the value of the matter in dispute might exceed the jurisdiction of the magistrate’s court.
HomeChoice is a licensed service provider in terms of FAIS legislation. This agreement shall be governed in all respects by South African law.