Friday 11 August 2017

The Voice - Consumer's Voice

Must I pay so much?

Kindly assist me with information and possibly solution.

Someone borrowed P5,000 from a motshelo. I had referred him to the lady. He did not pay as per agreement. It took long but I ended up paying P13,000 for this P5,000. The lady insists that she is owed P27,000 for this P5,000.

What help can I get if any and where can I get the help? Please note this is not a registered micro lender.

I would really appreciate your assistance with this.


I think the lady should stop smoking whatever has driven her insane.

This is nonsense. The “in duplum” rule, a piece of common law applicable in Botswana says that when a debt is settled, the interest charged may not exceed the capital amount outstanding. If the original amount borrowed was P5,000, the interest at the time you settle the debt cannot legally exceed that amount. The lender can charge a modest amount for administration costs but they can’t use that to avoid the in duplum rule.

Also, although motshelo schemes are “informal”, they are nevertheless covered by NBFIRA, the Non-Bank Financial Institutions Regulatory Authority. I suggest you call NBFIRA tomorrow and ask for their advice. Their numbers are 3102595 and 3686100. If you can’t get through to the right person let me know and I’ll find someone there for you.

Is this loan genuine?



I received an email from a company called African Loans offering to lend money. I applied for a loan of 15,000 Euros and they have asked me my banking details and a registration fee of 215 Euros. They say they will lend me the full 15,000 Euros and I must pay them 638 Euros monthly for 48 months at an interest rate of 2% per year. They say that the total monthly payment will be 15,314 Euros.

I’m concerned because I have also lost a lot of money through the 419 scams by Nigerians.

Could you please check this one out for me?


I think you know this is a scam, don’t you? Given that I can see from your email footer that you work as a finance officer, I’m sure you’ve done the maths already. 48 monthly payments of €638 is a total of €30,624, more than twice what they say it is. Also, I’m sure you will have calculated that interest rate they claim they’ll charge is 26% per year, not 2%. Tell me you noticed that they can’t do maths?

You’ll also have wondered how a lender would claim to lend anyone money at a level lower than the inflation rate either in Botswana or anywhere else, and so much lower than your bank can do.

I also hope that you’ve wondered why a genuine finance company would use a Gmail address ("africanloan@gmail.com") rather than a more business-like one? I’m certain that you’ll also have wondered why a company that says it’s based in Europe would consider lending money to someone in Africa.

Again, I’m sure you’ll have wondered why you need to pay them a “registration fee”. You’ll have tried to remember the last time your bank tried to charge such a fee, wouldn’t you?

Given that you fell for a 419 “advance fee” scam in the past I’m sure you’ll have noticed the overwhelming similarity between that scam and this loan offer? You’ll remember how the previous scammers offered you, a total stranger, something amazing so long as you gave them money in advance. You’ll remember how you didn’t get that money back. You’ll have learned that scammers don’t offer refunds if you complain.

Please tell me that you saw all these things? Please?

No comments: