Retailer Mr Price was referred yesterday to the National Consumer Tribunal by the National Credit Regulator (NCR) for being in breach of the National Credit Act, says a Fin24 report. This followed an investigation by the NCR, which revealed that Mr Price charged consumers a club fee on credit agreements, the regulator said.

The charging of a club fee on credit agreements is not permitted by the National Credit Act, it explained. Mr Price should refund the affected consumers the club fees charged and conduct an independent audit into its loan book to determine the number of consumers to be refunded, the NCR wants the tribunal to order. In addition, it wants the tribunal to interdict Mr Price from charging consumers a club fee on credit agreements and impose an appropriate administrative fine on Mr Price.

Full Fin24 report