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Customer payment arrangement amendments

THE CITY will from early 2019 be requesting additional information from customers who wish to enter into a payment arrangement. This is because Sections 57 and 58 of the Magistrate Court Act 32 of 1944 have been amended with effect from 1 August 2018.

This in effect makes it mandatory for the Municipality to undertake an affordability assessment of customers wishing to enter into a payment arrangement, consent to a judgment, credit authority or acknowledgement of debt. The Municipality will therefore require proof of income and expenditure to consider the affordability of the customer to pay their instalments.

Head of the Revenue Management Unit Peet du Plessis said two forms have been designed which are the Financial Affordability and Financial Affordability Affidavit forms. “The first form will be filled by a customer who has proof of income while the affidavit will be completed if the customer does not have proof of income,” he said.

The forms will be available at all Municipal offices and can also be downloaded. The Municipality is aware that a customer may not singularly meet the required monthly instalments and therefore, in these instances, will accept joint household income and/or a surety. Du Plessis said the City expects this to be implemented in 2019. “It is vital that these forms are filled accurately and attached to the agreement or it will be difficult for the Municipality to assess affordability.

Customers are also cautioned that any deliberate false information will constitute fraud,” Du Plessis said. The following documents must accompany each application:

  • The customers’ three months bank statement,
  • Certified copies of identify document,
  • Payslip/payslips if joint household income and,
  • Audited Financial Statements in the event of a company.
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