Reply to thread

Message

[QUOTE="Nehanda, post: 28361, member: 2262"]
Zimbabwe operates differently from South Africa when it comes to debt collection laws. South Africa has run debt collection under the Debt Collectors Act since 1998, but Zimbabwe has no similar law. Many companies in Zimbabwe have started hiring outside people called debt collectors or debt collection agencies who promise to recover money for a fee or percentage.

The Legal Practitioners Act tells us something important about this practice. Section 9(2) says only certain people can legally collect debts for payment in Zimbabwe. Company directors or officers can collect debts for their business, and partnership members can collect for their partnership. Everyone else must be a registered legal practitioner to perform debt collection services for money.

This creates a clear legal boundary. Those debt collection agencies popping up across Zimbabwe cannot legally charge fees for their services unless they employ registered lawyers. The law specifically reserves debt collection work for the legal profession when payment is involved. Many businesses might not realize they're breaking the law by hiring non-lawyer debt collectors.

Anyone considering debt collection services should verify whether they're working with actual legal practitioners. The law protects consumers from potentially aggressive collection tactics by limiting who can perform these services professionally. Zimbabwean authorities could potentially penalize unauthorized debt collection operations that charge fees for their services.
[/QUOTE]

Name