Some registered lenders offer credit to people who receive a SASSA grant, but this group is also a favourite target for illegal lenders. Knowing your rights helps you borrow safely, or decide not to borrow at all.
Can you borrow if you receive a grant?
Some NCR-registered lenders do consider grant income when they assess affordability. Approval is never guaranteed, and the amount is usually small. Because grants are often needed for food, transport and rent, ask yourself whether a loan instalment will leave enough to live on.
Your rights as a borrower
- A lender may not keep your SASSA card or ask for your PIN.
- You must receive a written quote and agreement showing every fee and the total repayment.
- Only NCR-registered credit providers may lend to you as a business.
- You can ask for an explanation of any charge you do not understand.
Scams and illegal practices to avoid
- Holding your card or PIN: Anyone who asks to keep your card as security is breaking the rules. Do not hand it over.
- Advance fees: If someone asks you to pay first so a loan can be released, walk away.
- Social media offers: Be wary of loan offers sent by message or posted in community groups.
- No registration number: Always check the lender on the NCR website.
- Pressure to sign quickly: A genuine lender gives you time to read.
Safer steps
- Check the lender’s NCR registration before sharing your ID or bank details.
- Borrow only what you can repay without missing essential spending.
- Keep copies of everything you sign.
- If you feel pressured or cheated, report it to the NCR or SASSA.
FAQ
Is it legal for a lender to take my SASSA card? No. Do not give your card or PIN to a lender.
Where can I get help with a lender complaint? Contact the National Credit Regulator, which handles complaints about credit providers.