Reinstatement of a credit agreement

The Constitutional Court recently delivered a judgement on the reinstatement of a mortgage loan agreement in terms of section 129(3) of the National Credit Act 34 of 2005. In Nkata v FirstRand Bank Ltd and Others (The Socio-Economic Rights Institute of South Africa as Amicus Curiae) (CC) (unreported case no CCT73/2015, 21-4-2016) (Moseneke DCJ) the court amongst others held that a consumer may reinstate a credit agreement after judgment, even up to such a late stage as after a sale in execution of the bonded property has taken place, provided the proceeds of the sale have not yet been realized. For a more detailed discussion of the court’s judgment see:

 

·         http://www.derebus.org.za/banks-beware-reinstatement-mortgage-loan-agreements/

 

·         http://www.derebus.org.za/protection-offered-s-129-national-credit-act/

 

·         http://www.derebus.org.za/nkata-courts-interpretation-s-129-nca-meaning-reinstatement/