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The purpose of this Act is to provide for the limitation and disclosure of finance charges collected in respect of money lending, credit and leasing.
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No money lender shall in connection with any money lending transaction stipulate for, demand or receive finance charges at an annual finance charge rate greater than 10 (ten) %.
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No credit grantor shall in connection with any credit transaction stipulate for, demand or receive finance charges at an annual finance charge rate greater than 10 (ten) %.
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No money lender or credit grantor or lessor shall calculate extra charges according to shorter or more periods than those according to which instalments or the outstanding balance of the principal debt must be paid in terms of an agreement in connection with the money lending transaction or the credit transaction concerned;
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An intermediary shall not demand, receive or recover, directly or indirectly, on his own account or on behalf of any person other than the moneylender or credit grantor concerned, any valuable consideration from the borrower or credit receiver concerned or from any person so applying.
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The provisions of Article 5 shall not prohibit a moneylender or a credit grantor from paying an intermediary for services rendered by him in connection with any such transaction;
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Violations of this act shall constitute a second-class felony.
