On Friday last week; I received an email which read:

 “If I have bought a defective, or a previously accident damaged, vehicle; what are my consumer rights and how do I enforce them?”

 This is simply a question but the answer to it; not so simple.

Firstly, you have certain common law rights eg not to be sold a defective “merx” (Item).

However, you also have legislation which protects you In the form of the Consumer Protection Act No 68 of 2008 (CPA)

Your remedies in terms of that Act are set out in Chapter 3.

Sellers contemplating an instalment sale agreement containing interest charges should take careful note of the steps to be taken before concluding the sale agreement

The National Credit Act No 34 of 2005 has some wide-ranging applicability on immovable property instalment sale agreements.

Here is a case study to illustrate and understand the implications of The National Credit Act  based on an inquiry our office received this last week :

“I own a property in Muizenberg, Cape Town. A buyer is interested in buying my flat. Her bank is not prepared to give her a loan because she is paying off a few personal loans, but she is prepared to enter into an instalment sale agreement to pay the purchase price in instalments over a period of time, much like a rental. I like the idea of at least getting a monthly income, but I am worried whether I can do this and charge interest on the instalments, particularly as it will take a few years for her to pay the price in full?”