Credit Information Ombud announces the Lungisa Credit Information Awards

The Credit Information Ombud (CIO), Manie van Schalkwyk, has announced the Lungisa Credit Information Awards. Managed by his office, the Lungisa Awards are designed to encourage businesses credit grantors and credit bureaus to actively and seriously engage in dispute resolution in terms of credit information with credit receivers. The word Lungisa means fix it or correct it in isiXhosa, isiZulu and isiSwati.

Against the backdrop of the National Credit Act and the proposed Data Privacy Legislation it is becoming more relevant for business to implement effective dispute resolution processes and procedures, said van Schalkwyk. Ultimately, the onus is on credit grantors to provide credit bureaus with accurate credit information, and on credit bureaus to ensure their systems retain that information and be ready to participate in the dispute resolution process. This will not only ensure that businesses comply with legislative requirements, but will reinforce their relationships with their customers.

Van Schalkwyk comments that many credit grantors cannot quantify how much business, time spent, and good will is lost and the associated costs with each dispute not handled properly.

The New Credit Act is phased in from 1 September and the credit bureaus are well prepared to conform to the first set of requirements. My office, which has been in existence for the last two and a half years has handled over 40 000 disputes. We do not charge for our services and there is little that we cannot help with in the credit information field. The more the consumer or credit receiver knows about his/her avenues for dispute resolution the faster issues are resolved and the sooner they can get back to resuming their lives. Bad or incorrect credit information can ruin peoples lives. We have spent considerable effort in teaching consumers about responsible credit use. Its time now to recognize those industry players who recognize the value of fair and balanced dispute resolution and those who have worked tirelessly to provide their customers with information, processes and equitable procedures. The Lungisa Awards will recognize these outstanding organisations.

The Lungisa Awards will comprise of three categories:

1)Best Credit Information User credit grantors who use the credit information on file at the credit bureaus to assess credit worthiness
2)Best Credit Bureau
3)Best Consumer journalist supporting the CIO