What the pre-agreement quote must show
Before you are bound to a credit agreement, a South African credit provider must give you a pre-agreement statement and quotation setting out every cost in a prescribed form. It is your single most powerful consumer protection, and a lender that will not give you one is telling you everything you need to know.
What you need to know
The quote must show the principal, the interest rate, the initiation fee, the monthly service fee, any compulsory credit life premium, the instalment, and the total cost of credit as one figure.
It must be held open for a defined period so you can take it away, read it, and compare it against another. Pressure to sign on the spot defeats the entire purpose of the document and is a reason to walk out.
Read the total cost of credit line specifically. It is the number designed to be comparable, and the number advertising is least likely to show you.
If a lender refuses to provide a quote before you commit, report it to the National Credit Regulator. This is not a technicality — it is one of the Act’s core obligations.
Check these three things before you sign — here or anywhere
- The lender’s NCRCP number is published on its own site, and it checks out in the National Credit Regulator’s register.
- The pre-agreement quote breaks out the total cost of credit: interest, initiation fee, service fee and VAT — as one figure you can compare.
- Nobody asks you for an upfront “release fee”. A registered credit provider never charges you before it pays out.
Related
Sources and last checked
- National Credit Act 34 of 2005 and its regulations — Government, as at 10 August 2026.
Page last checked 10 August 2026. Statutory caps and lender terms change — confirm anything you intend to rely on with the provider or the National Credit Regulator. Found something wrong? Tell us and we will correct it.