Personal loan terms and conditions

Document: Version Number: Date last amended: Date effective on system: NCR number: NCRCP5

Standard Terms and Conditions (Loan) 15 (Markup) 4 June 2008 TBA Version Number: 2007.3

Information Letter CREDIT TRANSACTION (LOAN) In terms of section 93 of the National Credit Act 34 of 2005 Dear Valued Customer African Bank Limited (“African Bank”) is very pleased to advise you that your application for credit has been successful.

STANDARD TERMS AND CONDITIONS

When you take out a loan with African Bank you need to fully understand how, when and what you have to do to make sure that your loan is paid on time so that you remain a top class client, with a good credit record. This letter These are and/ credit conditions that will apply your loan with African Bank. It is very important for you explains allthe theStandard details ofterms the loan facility process and to your responsibilities. to read this document and to understand what your rights and obligations are. If you do not understand any of these terms andWhen conditions youMoney read this document please speak to your branch consultant or contact our Consumer How and Will Iwhen Get My Service Call Centre onhave : 086borrowed 111 1011 The amount that you will be paid to you in cash, directly into your bank account, or into your Credit Card account, in accordance with what you have requested.

Right to reasons What Can I Affordfor credit being refused On request, African has Bankbeen mustmade provide me inincome writingand withexpenditure the dominant refusing enter into a credit � my A full assessment of your by reason Africanfor Bank usingtothe information that agreement, offering a lowerBank, creditand limit the at one I applied for,onrefusing a request increase the you have given me to African bythan looking your accounts the Credit Bureau,from and me on atoregister called creditthe limit under an existing credit facility, or refusing to renew an expiring credit facility.

National Loans Register. � Based on the information that you have given African Bank, African Bank has calculated the amount of the loan Right/ to receive documents in officialthat language credit facility and the instalment you can afford. African Bank did all of this because it is important that you I am entitled any particular document the manner selected methat in an official language that are abletotorequest afford delivery the loanof/ credit facility that AfricaninBank has given you,by and you are able to pay theI read installments and understand, to causing the extent section 63 of the NCA. Where I elect to receive a document in without youpermitted to fall into by financial difficulty. person a location other that thanyou the business premises of African Bank, African Banktoshall be entitled recover the � Onatthe information have supplied to African Bank, you are able afford to repaytothe monthly delivery costs from installment asme. set out in your agreement. If this is not correct, you must inform African Bank that you cannot afford to pay the installment before taking up this loan / credit facility, because if you don’t, and you fall into Cost financial of creditdifficulty it could mean that you may not be fully protected by the Credit laws.

African Bank will charge interest on the balance of the amount outstanding, from time to time, either at a fixed or variable of interest, and indicated in the “PRE-AGREEMENT STATEMENT AND QUOTATION FOR How andrate When Do I Have tothis Payrate My is Installments SMALL AND INTERMEDIATE CREDIT AGREEMENTS A CREDIT TRANSACTION be � Your loan / credit facility installment payment datesFOR are set out on the front page of (LOAN)”. your loanInterest / credit will facility calculated daily on the ifoutstanding balance will be deduction added to the yourinstallments loan once aare month agreement.

Even you have debit orderand or payroll yououtstanding must make balance sure thatofyour paid (capitalised monthly, in arrears.) in full and on time. � All deductions are made in terms of the debit order/stop order/payroll deduction authority form which you have Default Administration and Acceleration signed.

If on have my obligations this agreement I will to pay administration to African � I default You will to pay the under first installment on your loanhave 7 days afterdefault the date upon which charges the money that youBank. have In addition African willBank be entitled to you terminate this behalf. agreement giving me notice. amount that is in borrowed fromBank African is paid to or on your Yourafter second installment and Any all further installments default arrears bearfirst interest rateand referred in the “PRE-AGREEMENT STATEMENT QUOTATION willorbe due will on the day at ofthe each everytomonth thereafter. African Bank will use AND its best efforts to FOR accommodate SMALL AND your INTERMEDIATE CREDIT AGREEMENTS FOR Afrom CREDIT TRANSACTION (LOAN)”.

Such request that the installment should be deducted your bank account on the day on which arrears will be calculated daily and capitalised monthly. If I die, or commit any act of insolvency, or default youinterest get paid. with obligations of this agreement, theimmediately full amountcontact outstanding termscall of centre, this agreement � Ifmy you are unableintoterms pay your installment please African in Bank’s the detailswill of immediately become owing and payable. which are set outdue, at the end of this letter. If I am in default of any of my obligations in terms of this Agreement, African Bank may institute legal action against me, which could result in a court judgement against me, attaching and selling my property and attaching to recover the loan. This would mean that I would have a bad credit What Happens if I Don’t, or Can’t my Paysalary My Installments record. � If there is not enough money in your bank account to cover the debit order, or if you are unable to make a cash payment that is due, you must ensure that payment is made to African Bank by some other method such as Earlycash settlement & at right terminate loandeposit into our bank account. African Bank’s Account details are set payment theto branch, or bymy direct I understand thatconvenience I can settle at my out for your theloan endatof any this time letter.without giving notice to African Bank by paying the total of the unpaid capital of the amount that account I borrowed, together with order, any unpaid interest other debit fees � If there is balance not enough money in your to meet the debit your bank maycharges charge and you all a return and charges, calculated up to the date of payment. fee. � If you are unable to pay your installment in full and on time please contact African Bank’s Call Centre as soon as Instalment Due possible soDate that alternative arrangements can be made. If you do this some of the negative consequences set My first willavoided. become due, owing and payable 7 days after the date upon which the money that I have out instalment below can be borrowed African Bank is paidontotime: me or paid on my behalf, and all further instalments will become due owing � If youform do not pay your account st and payable the 1fullday of each and at every � onThe amount owing the month time ofthereafter. your failure to pay could become immediately payable and you could be charged a default administration fee, and you will continue to be charged interest on the outstanding balance of your loan / credit facility; Addresses receiving ofcould documents � for Your default be reported to the Credit Bureau and you could have a bad credit record; Any document that either send the other the address set inagainst the “PRE� African Bankparty couldwishes cancel to your loanto/ credit facilitymust and be maysent alsotoinstitute legal action you.

AGREEMENT STATEMENT AND FORbeing SMALL AND against INTERMEDIATE CREDIT AGREEMENTS court judgement granted you, and your property being sold toFOR pay This could result in aQUOTATION A CREDIT TRANSACTION (LOAN)”. your debts, or your instalment payments being deducted directly from your pay. If this happens you If such document is :-find it difficult to obtain further credit from other credit providers such as cell phone providers, may • sent clothing by ordinary mail in ashops. correctly addressed envelope to the other party’s chosen address, it will be and furniture th considered asbe received on the (seventh) after posting (unless the contrary is proved); or � You will responsible for7 the lawyers day costs; • delivered by hand a responsible person during ordinary other chosen � If African Banktohas issued you with a credit card facilitybusiness and you hours defaultatonthe your cardparty’s payments the address, will be considered received Bankit may suspend your as credit card. on the day of delivery; or VAT registration number 4720108960 African Bank Logo Registration number 1975/002526/06 African Bank Limited, an Authorised Financial Services Provider Version number: XXXXXXX 59 16th Road, Halfway House, Midrand, 1686 NCR number: NCRCP5 �������������������� ���������������������������������� Page 1 of 2 ���������������������������������� ��������������������������������������������������������������� ������������������������������������������ ���������������������

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Version Control Document: Version Number: NCR number: NCRCP5 Date last amended: Date effective on system:

Standard Terms and Conditions (Loan) 15 (Markup) Version Number: 2007.3 4 June 2008 TBA

Information Letter

transmitted by telefax to the chosen telefax number set out above or sent by electronic mail to the chosen email address, it will be considered as received on the date of transmission (unless the contrary is proved).

Any actually received by a party will be an adequate written notice or communication to that party, even Deardocument Valued Customer though it was not sent to or delivered at the chosen address. Either party may change their address by delivering to the other Bank party aLimited written (“African notice of the new address by hand, to registered mail,that or electronic mail.

African Bank”) is very pleased advise you your application for credit has been successful.

Repayment IfWhen I haveyou more loanwith withAfrican AfricanBank Bank,you I agree African Bank may usewhen any credit balance due totome takethan outone a loan need that to fully understand how, and what you have do to to pay offsure any amount another loan.so Any payment that Iamake will be usedwith to firstly settle interest, secondly to make that yourI owe loan on is paid on time that you remain top class client, a good credit record.

This letter satisfy fees, costs or charges, and /thirdly reduce the amount of the principal debt. explains all the details of the loan credit to facility process and your responsibilities.

•

Confidentiality How and When Will I Get My Money Unless African Bank obliged to do will so by disclose any of confidential information my The amount that you ishave borrowed be law, paid ittowill younot in cash, directly intomy your bank account, or into without your Credit express consent or instruction. consent to African Bank disclosing, reporting or releasing any information that Card account, in accordance withI what you have requested.

African Bank suspects may be fraudulent, or information relating to any unlawful activity relating to me to the South African Fraud Prevention Services (SAFPS) and/or any similar organisation or bureau, as well as reporting or What Can I Afford releasing any credit information relating meyour to any creditand bureau. � A full assessment has been madetoof income expenditure by African Bank using the information that you have given to African Bank, and by looking at your accounts on the Credit Bureau, and on a register called Certificate the National Loans Register.

A� certificate, by a manager African Bank (whose appointed need not be proved), reflecting the Based signed on the information thatemployed you have by given African Bank, African Bank has calculated the amount of the loan outstanding that the is due owing and me toAfrican AfricanBank Bankdid will proofit of my indebtedness / creditamount facility and instalment thatpayable you canby afford. allbe of sufficient this because is important that you to African Banktoforafford the purposes provisional summary judgement anyand other unless I am are able the loan of / credit facilitysentence, that African Bank has given or you, thatproceedings, you are able to pay the able toinstallments prove otherwise. without causing you to fall into financial difficulty. � On the information that you have supplied to African Bank, you are able to afford to repay the monthly Assignment installment as set out in your agreement. If this is not correct, you must inform African Bank that you cannot African Banktowill bethe entitled to cede, sell, assign, all /orcredit any of its rights under ifthis afford pay installment before taking or uptransfer this loan facility, because youagreement, don’t, andwithout you fallyour into consent or prior notice ittocould you. mean You may delegate, assign,byorthe transfer of your rights or obligations financial difficulty that not you cede, may not be fullysell, protected Creditany laws. in terms of this agreement.

How and When Do I Have to Pay My Installments Legal costsloan / credit facility installment payment dates are set out on the front page of your loan / credit facility � Your If I default on my Even loan, ifI agree thatdebit I will order be liable for, and pay all African Bank’s on an attorney agreement. you have or payroll deduction you must makelegal surefees that and yourcosts installments are paid and client well as any necessary disbursements and other charges (including collection costs such as in full scale, and onas time. tracing and collection commission) that Bank may incur in collectingdeduction the debt from me. form I further agree I � Allcost deductions are made in terms of thethe debit order/stop order/payroll authority which youthat have will besigned. liable to pay interest at the contractual rate on the said disbursements and charges that the Bank may levy in the of have collecting thethe debt me. � process You will to pay firstfrom installment on your loan 7 days after the date upon which the money that you have borrowed from African Bank is paid to you or on your behalf. Your second installment and all further installments Jurisdiction will be due on the first day of each and every month thereafter. African Bank will use its best efforts to I agree that any legal proceedings that Bank should intendsbebringing against me, as a result of aoncredit agreement, accommodate your request that theAfrican installment deducted from your bank account the day on which may be brought in the Magistrate’s Court and I consent to the jurisdiction of the Magistrate’s Court. you get paid. � If you are unable to pay your installment please immediately contact African Bank’s call centre, the details of Miscellaneous which are set out at the end of this letter.

I understand that in order for African Bank to maintain and improve the quality of the services it provides to its customers any telephone that are by or to its customers are recorded. I give my consent to African Bank What Happens if I Don’t,calls or Can’t Paymade My Installments to any istelephone callmoney between us. I bank agreeaccount that I will promptly writing, of to any change in � record If there not enough in your to cover the notify debit African order, orBank, if youinare unable make a cash my address, number, employment or banking I also agree Bank that I by willsome immediately notify such African paymenttelephone that is due, you must ensure that paymentdetails. is made to African other method as Bank cash if I should become insolvent, under administration or have any other formBank’s of legal disability. payment at the branch,be or placed by direct deposit into our bank account.

African Account details are set out for your convenience at the end of this letter.

Administration/Sequestration � If there is not enough money in your account to meet the debit order, your bank may charge you a return debit My estate fee. is not subject to debt review and is not under administration, nor am I an un-rehabilitated insolvent. I further I amtonot and nor doinI contemplate anyplease application to place my estateCall under debtas review � If confirm you are that unable payaware your installment full and on time contact African Bank’s Centre soon or as administration repayment of this Agreement. possible during so thatthe alternative arrangements can be made. If you do this some of the negative consequences set out below can be avoided. � If you do not pay your account on time: � The full amount owing at the time of your failure to pay could become immediately payable and you could be charged a default administration fee, and you will continue to be charged interest on the outstanding balance of your loan / credit facility; � Your default could be reported to the Credit Bureau and you could have a bad credit record; � African Bank could cancel your loan / credit facility and may also institute legal action against you.

This could result in a court judgement being granted against you, and your property being sold to pay your debts, or your instalment payments being deducted directly from your pay. If this happens you may find it difficult to obtain further credit from other credit providers such as cell phone providers, clothing and furniture shops. � You will be responsible for the lawyers costs; � If African Bank has issued you with a credit card facility and you default on your card payments the Bank may suspend your credit card.

African Bank Logo �������������������� African Bank Limited, an Authorised Financial Services Provider ���������������������������������� ���������������������������������� 59 16th Road, Halfway House, Midrand, 1686 ��������������������������������������������������������������� ������������������������������������������ Page 2 ���������������������

VAT registration number 4720108960 Registration number 1975/002526/06 Version number: XXXXXXX NCR number: NCRCP5

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