Can you be charged for early settlement of loan? KZN asks Wendy Knowler
The scathing truth is that although we are advised to pay off our debt earlier than our agreement with our lender, some of us will incur penalties for settling our debt early, which forces us to maintain a substantial debt. But is this legal?
ECR Consumerwatch's Wendy Knowler was clear on the issue of early settlement penalties, better known as 'early redemption penalty'. Depending on the amount of your debt, you may face a bigger penalty.
Wendy answered more consumer-related questions, including: can a landlord disconnect your electricity or water supply if you are behind in your rent payments? Does the amnesty on penalties for expired driver’s licences apply if your licence expired before lockdown? The builder you’ve called in to quote on your home improvement project is assuring you that he is registered with the NHBRC (National Home Builders Registration Council). Should that give you peace of mind?
READ: Can the company you work for use your provident fund for its expenses?
These are among the issues listeners raised with Wendy Knowler in this week’s Consumerwatch. Take a listen.
READ: You might be paying decade-old cellphone insurance! Wendy Knowler can help
IMAGE CREDIT: Pexels
For more from Wendy Knowler, check out past episodes in the full Consumerwatch channel below:
Contact Wendy
Get in touch with Wendy via her website or her Facebook page. Please note that Wendy is not able to personally respond to every email she receives. If she is able to take up your case, she will contact you directly. Here are other avenues for you to consider.