The National Credit Act is aimed at relieving consumers from over-indebtedness.

The National Credit Act is aimed at relieving consumers from over-indebtedness.

It also allows them to voluntarily surrender goods if they are unable to pay their monthly instalments.

Nowhere does the act allow the service provider to use or abuse goods they have attached to the extent that the consumer remains liable to some law enforcement agencies.

But Absa bank is accused of doing so.

In August Absa attached Kholeka Liwani's vehicle because she was in arrears. The bank was aware Liwani had resigned from her previous employment and would get her pension payout after a period of three months.

But before the expiry of the third month Absa repossessed her Dodge Caliber.

Liwani did not expect this, she said, but seven days after the bank repossessed her vehicle she received her pension payout and paid her arrears, plus the August instalment.

"I am sure the bank thought I would not get on my feet or reclaim the car again because they drove it empty, collected a traffic fine and left it dirty and full of cigarette stubs. It smelt like an ash tray," said Liwani.

She took her car, filled up its tank and drove it home. But sadly her car overturned on the same day and it was subsequently written off.

She lodged a claim and Absa Insurance declined to pay.

It was after Consumer Line's intervention that Absa's insurance agreed to settle her claim.

But the bank said nothing about the traffic fine its agent collected three days after repossessing the car from Liwani.

"I hope the bank will pay the traffic fine and storage fees the car had accumulated while it reviewed its decision," said Liwani.

The reason they advanced to her for repudiating her claim was that she had permanently moved from East London to live in Johannesburg without telling them.

But she rejects this reason.

"I went to Joburg to visit a friend with the aim of looking for a job and also to check if I could open a salon.

"I had not even registered the business. I was still thinking of a suitable place, but got a permanent job and only started at the beginning of this month.

"After my first interview, which was successful, I fetched the vehicle from Absa in Boksburg. She received a traffic fine three days after the car was attached and the traffic department sent it to her," she said.

She said they declined to pay her though there was no clause in the policy that said she had to report to the bank whenever she moved around the country.

"Though Absa Insurance conceded they did not have such a provision, they nevertheless advanced that as a reason when they declined my claim," she said

Absa apologised for the poor and, or lack of communication between themselves and Liwani.

Their complaints resolution committee reviewed the decision made on this claim and agreed to pay out.