The NCR(national Credit Regulator) Has release the latest report on credit granted in recent years.
The total value of new credit granted increased from R123.64 billion to R135.71 billion for the quarter ended December 2017, an increase of 9.76% when compared to the previous quarter and an increase of 9.97% year on year. The number of applications for credit increased by 610 ,000 from 9.87 million in September 2017 to 10.48 million in December 2017, representing an increase of 6.18% for the quarter. The rejection rate for applications was 49.74%." there is a increase for credit for the consumers of South Africa as the number increased in the festive season.
The total outstanding gross debtors book of consumer credit for the quarter ended December 2017 was R1.76 trillion, representing a quarter-on-quarter growth of 1.53%. The number of accounts decreased by 0.50% for the quarter ended December 2017. Mortgages accounted for R904.12 billion (51.50%); “Secured credit agreements” for R406. 52 billion (23.16%); Credit facilities for R227.15 billion (12.94%); Unsecured credit for R169.80 billion (9.67%); Developmental credit for R45.23 billion (2.58%) and Short-term credit for R2.68 billion (0.15%) of the total gross debtors book.
Secured credit granted increased from R42.25 billion for September 2017 to R46.37 billion for December 2017 (a quarter-on-quarter increase of 9.74%); • Unsecured credit agreements increased from R22.29 billion to R25.07 billion for December 2017 (a quarter-on-quarter increase of 12.44%); • Credit facilities which consist mainly of credit cards, store cards and bank overdrafts increased from R16.13 billion to R17.51 billion for December 2017 (a quarter-on-quarter increase of 8.54%); • Short-term credit showed a quarter-on-quarter increase of 21.44% from R3.07 billion to R3.73 billion; • Developmental credit showed a quarter-on-quarter decrease of 27.33% from R2.36 billion to R1.71 billion.