WHO ARE WE

The Consumer Council of Fiji (CCoF) is an independent statutory body established under the Consumer Council of Fiji Act -1976 (Cap 235). The Council, as a watchdog protects the rights and interests of consumers by promoting a fair and just delivery of goods and services.

The Consumer Council is primarily an advocacy organization, conducting rigorous research and policy analysis on key consumer issues. CCoF’s insight into consumer need is a powerful tool for influencing decision-makers to bring about change. The Council protects the vulnerable groups such as rural poor, physically and mentally challenged, children and women by identifying and articulating the policy issues that are of importance to the consumers.

OUR VISION

Empowering Consumers.

OUR MISSION

The trusted go-to consumer movement, which enhances consumer welfare and stakeholder engagement to influence policy decision making.

WHAT DO WE DO?

The Council is committed to achieving positive change for consumers.

As a small organization with limited resources, the Council plays an active role as a catalyst and facilitator for positive change in the marketplace in a professional, impartial and ethical manner. The Council independently represents the voice of all consumers in Fiji
through advocacy, independent submissions, mounting campaigns and engaging with multisectoral partners. Key areas include:

Advocacy and education.
Market surveillance and trader visit;
Research and policy analysis; and
lobbying for policy changes.

OUR VALUES

C – We have the utmost CARE for consumers’ views, expressions and their right to protection.

A – We are ACCOUNTABLE to all stakeholders and our vision and mission.

R – We are committed to strengthening our RELATIONSHIP with our stakeholders.

E – We strive for EXCELLENCE in all aspects of our work.

OUR PRINCIPLES

Campaign fearlessly to change the policies and practices that adversely affect consumer interests; Maintain a highly disciplined result-oriented focus that maximizes impact for consumers; Maintain objectivity in resolving consumer complaints without fear or favor; and Build a strong financial management and sound operating procedures.

ABOUT THE CONSUMER COUNCIL

The Consumer Council of Fiji (CCF) is a statutory body established under the Consumer Council Act (Cap 235). The Council, as a watchdog protects the rights and interests of consumers by promoting a fair and just delivery of goods and services. First and foremost, the Consumer Council is an advocacy organization, conducting rigorous research and policy analysis on key consumer issues. CCF’s insight into consumer need is a powerful tool for influencing decision-makers to bring about change. The Council protects the vulnerable groups such as rural poor, physically and mentally challenged, children and women by identifying and articulating the policy issues that are of importance to the consumers.3.2 Board members are appointed by the Minister for Industry and Trade for a term or terms as the Minister may determine.

The Chairperson of the Council reports to the Minister. The Board of Directors appoints the Chief Executive Officer to lead and manage the Council affairs within the legal framework and by maintaining high ethical standards.

From corporate governance perspective, a Board Charter is in place that sets the rules and procedures within which the Board functions.

FUNCTIONS OF THE COUNCIL

Section 6 of the Consumer Council Act stipulates the functions of the Council. The Council is required to do such acts and things it considers necessary or expedient to ensure that the interests of the consumers of goods and services are promoted and protected. These functions include: Advising the Minister on such matters affecting the interests of the consumers; Making representations to the Government or to any other person/organizations on any issues affecting the interests of consumers; Collecting, collating and disseminating information in respect of matters affecting the interests of consumers; Supporting or maintaining legal proceedings initiated by a consumer, where such support is deemed necessary; Conducting research and investigations into matters affecting consumers; Advising and assisting consumers on matters affecting their interests; Co-operating with any person, association or organization outside Fiji having similar functions and becoming a member of or affiliate to any international organization concerned with consumer matters; and Soliciting and accepting for the purposes of the Council any money, land, or other property from the Government, any local authority, public body, organization, or person by way of grant, subsidy, donation, gift, or otherwise.

The Consumer Council Act1976 was amended in 1992 by Decree No 23. The amendment deleted a few key functions of the Council to promulgate the “Trade Standards and Quality Control Decree 1991”. Whether the amendment decree reduced the specifically listed functions to prevent the CCF from actually carrying out these functions is a matter of legal interpretation. As long as the amendment does not prohibit the carrying out of the three functions, the general power of the Council can be invoked to continue to carry out research, and/or examination or testing of goods and services, and receiving and acting on consumer complaints. The overriding function is to ‘do all such acts and things that it may consider necessary or expedient to ensure that the interests of consumers of goods and services are promoted and protected’ [s6 (1)]. The 1992 amendment to the Consumer Council Act seems to be redundant as consequential amendments were not made to the Act.

SERVICES OF THE COUNCIL

1. Campaigns, Information & Media Division

To empower consumers with knowledge and information to bring about reforms in policy and practice that adversely affect consumer interests.

2. Alternative Dispute Resolution & Consumer Advisory Division

To assist consumers in resolving complaints through alternative dispute resolution,advisory services and legal representation.

3. Research & Policy Analysis Division

To identify and undertake broad-based and complaints driven research on key consumer protection legislations that promote and protect consumer interests through necessary policy changes.

HOW CAN WE HELP?

The Council is divided into three departments, each with its own distinguished function. These are:

CAMPAIGNS, INFORMATION & MEDIA – To empower consumers with knowledge and information to bring about reforms in policy and practice that adversely affect consumer interests.

ALTERNATIVE DISPUTE RESOLUTION & CONSUMER ADVISORY – To assist consumers in resolving complaints through alternative dispute resolution, advisory services and legal representation.

RESEARCH & POLICY ANALYSIS – To identify and undertake broad-based and complaints driven research on key consumer protection legislations that promote and protect consumer interests through necessary policy changes.

OUR EXPERIENCE

Since its establishment following the introduction of the Consumer Council of Fiji Act 1976, the Council has now become a household brand name in Fiji, giving rays of hope to Fijian consumers whose rights have been violated in the marketplace. As per the Consumer Council of Fiji Act 1976, the Council has powers to do such acts and things it considers necessary or expedient to ensure that the interests of the consumers are promoted and protected. These include:

Advising the Minister on such matters affecting the interests of the consumers;
Making representations to the Government or to any other person/organizations on any issues affecting the interests of consumers;
Collecting, collating and disseminating information in respect of matters affecting the interests of consumers;
Supporting or maintaining legal proceedings initiated by a consumer, where such support is deemed necessary;
Conducting research and investigations into matters affecting consumers;
Advising and assisting consumers on matters affecting their interests;
Co-operating with any person, association or organization outside Fiji having similar functions and becoming a member of or affiliate to any international organization concerned with consumer matters; and,
Soliciting and accepting for the purposes of the Council any money, land, or other property from the Government, any local authority, public body, organization, or person by way of grant, subsidy, donation, gift, or otherwise.

Mr Mohammed Gani (Chairman)

Mr Gani has more than 20 years of extensive commercial experience. He is currently the Country Manager-Fiji & the Pacific Islands at Brother International (NZ) Ltd. He spent nine years at the Telecom Fiji Ltd Group, his last position being the National Manager Retail & Customer Service. He holds multiple qualifications in the fields of Business, Engineering, Finance, Management and IT. He has a Masters In Business Administration (USP), Masters In Commerce (USP), Masters In Governance, Post Graduate Diploma in Management & Public Administration, Post Graduate Certificate in Financial Administration, Post Graduate Diploma in Governance and Bachelor of Electronics Engineering (Pakistan). He is also a member of the Australian Institute of Company Directors. Mr. Gani has sheer interest in community development work and places a special focus in youth’s personal development where he dedicates a substantial amount of his spare time. Mr Gani has been a Council Board Member for the past six years.

Ms. Elizabeth Jane Algar (Deputy Chairperson)

Ms Elizabeth Algar has proven value as a strategic advisor with multidisciplinary groups, a visionary and servant leader with over 15 years combined senior executive experience in corporate services, strategic management, MSME coaching & mentoring, education, aviation and human resources development. Elizabeth’s current corporate services portfolio includes managing strategic, finance, HR development & recruitment, asset, general administration, and property management. As a consultant, Elizabeth has completed projects for Palladium, Cardno, IUCN, iTaukei Affairs Board, RFMF and the Ministry of Education to name a few. She holds a Masters in Business Administration from USP and is also an Australian qualified trainer and chef. Elizabeth previously worked at International Red Cross, Australia-Pacific Technical College (APTC), and Fiji Airways. Her board memberships has included Chairperson for Nasinu & Nausori Town Councils. Elizabeth inspires to be a role model to aspiring women leaders who like her will step out in faith and be an amazing leader in her spheres of influence.

Mr. David Edward Solvalu (Board Director)

Mr Solvalu is a lawyer by profession and has over six (6) years’ experience specializing in Legislative Drafting, Policy Reform and Revision, and Legal Research. He has played an integral role in the development of major pieces of Fijian legislation, including the Trademarks Act 2021 and Climate Change Act 2021 and has extensive experience in the reviewing and amending of laws – including the Fijian Competition and Consumer Commission Act 2010, Companies Act 2015 and the Land Transport Act 1998.

Mr Solvalu holds Bachelor of Law Degree, Professional Diploma in Legal Practice and Professional Diploma in Legislative Drafting – all from the University of the South Pacific. Currently he is the Chief Legal Counsel at the Fijian Competition and Consumer Commission. Prior to joining FCCC, Mr Solvalu practised at Howards Lawyers, the Office of the Attorney-General and the Parliament of the Republic of Fiji – Government Chambers. He also serves on the Film Control Board and the Board of Assets Fiji Pte Ltd.

Mr. Shelvin Karan (Board Director)

Mr Karan is the Manager Domestic Conditions at the Reserve Bank of Fiji and has over 14 years of experience as a Macro Economist with experience in Fiji and the region. Apart from the RBF he has also worked at the International Monetary Fund’s Pacific Office as a Local Economist. Mr Karan has a Master of Commerce and Bachelor of Arts from the University of the South Pacific.

Ms Anabel Ali (Board Director)

Ms Ali is currently the Group Financial Controller and Company Secretary at Fiji Fish Marketing Group Company Ltd and and its 11 related entities in the hospitality, investment and fishing industries – a position she has held for the past 5 years. Prior to this, Ms Ali served as the Manager Audit and Assurance and Business Advisory Services for 10 years. She is also a member of CPA Australia, Australian Institute of Company Directors and Leadership Fiji.

Ms Ali has a Bachelor of Arts in Accounting & Financial Management and Public Administration and Business Management from the University of the South Pacific and Post graduate in Accounting from CPA Australia

Meet the team

Seema Shandil

Chief Executive Officer

Ziyad Parvez

Manager Campaigns, Information and Media

Jessica Lal

Manager Alternative Dispute Resolution & Consumer Advisory

Asheefa Aiyub

Manager Research and Policy Analyst, Research, Policy and Analysis Division

Kavitesh Pal

Manager Finance and Administration

Shivyashni Prasad

Senior Media Officer

Communications, Information and Media Division

Lusia Rabaka

Senior Research Officer

Research and Policy Analysis Division

Shovneel Ram

Research Officer

Research and Policy Analysis Division

Rabia Ali

Assistant Research Officer

Research and Policy Analysis Division

Rufina Veisa

Complaint Management and Data Entry Officer

Alternative Dispute Resolution and Consumer Advisory & Administration

Laisa Lomani

Consumer Officer

Alternative Dispute Resolution and Consumer Advisory Division

Prashant Chand

Assistant Consumer Officer

Alternative Dispute Resolution and Consumer Advisory Division

Samuela Cama

Consumer Helpline Officer

Alternative Dispute Resolution and Consumer Advisory

Ranjaline Reddy

Human Resource and Training Officer

Ashneel Kumar

Assistant Admin Officer

Caroline Koto

Receptionist, Clerical and Administrative Officer

Nikhil Singh

Executive Officer

Venkateshwar Narayan

Regional Coordinator Labasa

Kavneel Kant

Assistant Consumer Officer

Serupepeli Finau

Consumer Officer Labasa

Alternative Dispute Resolution and Consumer Advisory

Atish Nand

Regional Coordinator Lautoka

Senivesi Lutu

Consumer Officer

James Vakacabeqoli

Consumer Officer

Jasleen Singh

Assistant Consumer Officer

CONSUMER RIGHTS AND RESPONSIBILITIES

On 15 March, 1962, US President John F. Kennedy delivered a historic address to the US Congress in which he outlined his vision of consumer rights. This was the first time any politician had formerly set out such principles.

“Consumers by definition include us all, ” Kennedy said in his Congressional statement. They are the largest economic group , affecting and affected by almost every public and private economic decision. Yet they are the only important group…whose views are often not heard”

Over time, the consumer movement has developed this vision into a set of eight basic consumer rights which now define and inspire much of the work CI and its members do:

CONSUMER RIGHTS

The right to satisfaction of basic needs – To have access to basic, essential goods and services: adequate food, clothing, shelter, health care, education, public utilities, water and sanitation.

The right to safety – To be protected against products, production processes and services which are hazardous to health or life.

The right to be informed – To be given the facts needed to make an informed choice, and to be protected against dishonest or misleading advertising and labeling.

The right to choose – To be able to select from a range of products and services, offered at competitive prices with an assurance of satisfactory quality.

The right to be heard – To have consumer interests represented in the making and execution of government policy, and in the development of products and services.

The right to redress – To receive a fair settlement of just claims, including compensation for misrepresentation, shoddy goods or unsatisfactory services.

The right to consumer education – To acquire knowledge and skills needed to make informed, confident choices about goods and services, while being aware of basic consumer rights and responsibilities and how to act on them.

The right to a healthy environment -To live and work in an environment which is non-threatening to the well-being of present and future generations.

This set of eight consumer rights now guide the campaign and policy work of CI and consumer organizations in the world over.

CONSUMER RESPONSIBILITIES

Critical Awareness – the responsibility to be more alert and questioning about the price and quality of goods and services we use.

Action – the responsibility to assert ourselves and act to ensure that we get a fair deal. As long as we remain passive consumers we will be exploited.

Social concern – the responsibility to be aware of the impact of our consumption on other citizens, especially the disadvantaged or powerless groups whether in the local, national or international community.

Environmental Awareness – the responsibility to understand the environmental and other consequences of our consumption. We should recognize our individual and social responsibility to conserve natural resources and protect the earth for future generations.

Solidarity – the responsibility to organize together as consumers to develop the strength and influence to promote and protect our interest.

STRATEGIC PLAN 2018-2022

FOREWORD

The Consumer Council of Fiji is pleased to present the Council’s Strategic Plan 2012 to 2022. The Strategic Plan is an evolving document that is reviewed annually to take into account changing situations, government policies, and emerging issues affecting consumers. The plan is expected to play a positive role in achieving a marketplace where consumers are well informed, confident, and protected from unlawful, deceptive, misleading, or otherwise objectionable practices. It is critical that consumers understand their rights and responsibilities and have the skills and confidence necessary to ensure they receive the best quality services and value for money.

For more information

Strategic-Plan-2018-2022_10-01-2018 Download

Manager-Finance-Admin Download

JD_SMO Download

JD_Media-Officer-iTaukei Download

ADVOCACY PROFILE

A well-functioning market economy needs educated consumers with the power to influence the market through their rational decisions when confronted with choice. Informed consumers are able to assert themselves in the marketplace, which in turn influences the behaviour of traders, pushing them to be voluntarily compliant with consumer legislation. Only through being informed can consumers gain the benefits of a well-functioning market economy. And in order to be informed, consumers must receive timely and accurate information. This information must be brought to consumers through as many mediums as possible to ensure maximum reach and effectiveness

MOBILE UNITS

Mobile units are cost effective means by which the Council can reach out to consumers who would otherwise not be able to access its services due to distance or transportation costs. The mobile units ensure that Council services are accessed directly thus increasing its reach and footprint. The Council also conducts market surveillance and trader visits in the respective areas where the information booths are set up.

SCHOOL VISITS

Consumer education should begin in early childhood to cultivate positive consumer attitudes and help youths develop independent thinking. This is especially important because more and more traders are targeting youths in advertising campaigns. Furthermore, many emerging consumer issues, such as data safety online, impacts young consumers who spend large amounts of time on social media and the internet. Educating school students on their rights and emerging consumer issues is important to ensure that unscrupulous traders do not swindle them. To do this, the Council actively seeks opportunities to visit schools and educate students on their rights and responsibilities.

COMMUNITY VISITS

Products and services in the modern world are constantly evolving to take into account the ever-growing needs of consumers. Unfortunately, the speed of this innovation can have a negative impact on consumer rights. This is because many products and services are in the hands of consumers before their consumer impacts are fully known. This lack of information on consumer rights with regards to new products is a cause for concern, even for the most informed urban consumers. Rural consumers are susceptible to greater risks simply because they may not have access to the most up-to-date information on consumer trends. Therefore, the Consumer Council of Fiji focuses on reaching as many villages and communities as possible in both rural and maritime areas. Community visits allow accessibility of Council Services and information in the most remote communities and ensures that they are not disadvantaged by distance.

WORKSHOPS

The Council conducts rigorous research on consumer policy issues to stay ahead of emerging trends in the marketplace. This research must then be communicated to stakeholders and consumers. Workshops give the Council an avenue to impart this information. Over the years Council has partnered with several organizations such as the Department of Youth and Sports, Ministry of Education, Fiji National University, Catholic Women’s League, the Fiji Disabled People’s Association etc to conduct workshops on various consumer topics and issues. The topics covered in these workshops have moved from the role of the Consumer Council, consumer rights and responsibilities, towards emerging problems that consumers face in their day to day living.

TALKBACK SHOWS

Talkback shows have also proven to be effective for the Council’s campaign on consumer rights, responsibilities and critical consumer issues. The Council has made arrangements with radio and television stations to ensure that it has got slots available to speak on topics which are in the interest of consumers. Talkback shows also all the Council to reach to hundreds and thousands of Fijians who can use this platform to directly communicate or raise any consumer related concerns.

SOCIAL MEDIA

Social media is continuously evolving and as such, the Council is evolving with it. Using platforms such as Facebook, Twitter and now Instagram, the Council has been able to reach consumers around the Country and overseas. This platform is used for disseminating consumer advisories and alerts. Since these platforms are interactive, it allows the Council to receive consumer complaints and provide timely responses to queries.

The Council also has an in-house production team which looks after audio/video production as well as basic graphics. The team also creates relevant content to be placed in various communications materials in English, Hindi and iTaukei in order to suit the language needs of consumers.

Contact the Council if you would like us to visit your community, village or school to create awareness, to set up a mobile unit or to conduct workshops. You may reach out to our Campaigns team at 9716263.

Project & Events

November 13, 2024

Voices from the Margins: Perceptions and Recommendations on Digital Financial Services in Fiji

May 31, 2022

Control Consumption (Ctrl C) Project

May 31, 2022

Pacific Insurance and Climate Adaptation Programme (PICAP) Project

WCRD

March 17, 2023

World Consumer Rights Day 2023

May 31, 2022

WORLD CONSUMER RIGHTS DAY

May 31, 2022

WCRD 2022

COMMUNITY CONSUMER ADVISORY GROUP

In a joint effort to empower and protect consumers, especially the disadvantaged and marginalised ones, the Consumer Council of Fiji, with the support of the European Union, launched the Community Consumer Advisory Group (CCAG) on the 25th of June 2014 in Suva.

The group, which has a voluntary membership representing rural, remote areas of the country, will act as the Council’s eyes, ears and voice on the ground.

The Council has identified seven representatives from Savusavu, Taveuni, Nasinu, Lautoka, Rakiraki, Labasa and Levuka to be part of the CCAG.

Expression of interest

If you would like to be a part of our tireless group of volunteers as the Council’s eyes and ears within your community, you can express your interest to the email eo@consumersfiji.org

Community Consumer Advisory Group

Ms. Vani Vula

CCAG Representative - Lautoka

Ms. Hamida Khan

CCAG Representative - Nasinu

Mr. Shri Krishna

CCAG Representative - Rakiraki

Mr. John Leopold Apanna

CCAG Representative - Taveuni

Mr. Ashok Kumar

CCAG Representative - Savusavu

Mr. Mahendra Prasad

CCAG Representative – Labasa

Mr Mateo Vianny

CCAG Representative - Levuka

Today’s fast paced and diverse economic environment makes it imperative for consumers to be assertive in the market place in order to ensure that they get their money’s worth. In instances consumers are not assertive, the unscrupulous players in market place may exploit this ‘passive’ nature of consumers in order to profiteer at their expense. Hence, the Consumer Council of Fiji habitually reminds consumers of their responsibility to take Action – the responsibility to assert ourselves as consumers and act to ensure that we get a fair deal. This is based on the premise that as long as we remain passive consumers, we will be exploited.

How can consumers exercise their responsibility of action?

Consumers can exercise their responsibility of Action by letting businesses know when they are dissatisfied with their products and services. This is done by lodging complaints either directly with the business or the Consumer Council of Fiji…read more

Apart from using the dedicated Mobile APP, Consumers can now raise complaints directly from this website by clicking on the Button given below.

Testimonials

Gallery

Multisectoral Financial Literacy Panel Discussion

11 Photos

World Consumer Rights Day 2023

37 Photos

Green Action Week

9 Photos

Consumers International

The Consumer Council of Fiji is a full member of Consumers International (CI), the international federation of consumer organizations based in London. The Council has been a member of CI since 1989 and is the only consumer group in the South Pacific that is actively involved in CI’s international activities on consumer rights and interests.

COPOLCO

The Council is a member of COPOLCO – the Committee on Consumer Policy of the International Organization for Standardization (ISO)

National affiliations & consultative work

The Council’s status as the statutory representative of consumers in Fiji has made it an important partner or stakeholder in various Fiji consultative and policy-making bodies. The Council is often consulted by policymakers and industry groups on matters affecting consumers in Fiji.

Expression of Interest

The Consumer Council of Fiji provides for a dynamic, progressive and career building work environment and has a track record of molding young minds through exposure to a vast array of industries, sectors, organizations and other stakeholders.

The Council, on a need basis, frequently allows for university students and new graduates to work as a volunteer or attaché. Interested individuals can submit an expression of interest to join any of the teams below:

1. Campaigns Information and Media Division

Get exposure to writing press releases, liaising with media agencies, writing newspaper articles, conducting campaign work, community awareness sessions, workshops with business houses and project management.

Individuals with qualifications or progress towards qualifications in journalism, law, literature, language, public relations and other relevant fields are encouraged to apply.

Submit your interests to eo@consumersfiji.org

2. Alternative Dispute Resolution and Consumer Advisory Division

With the Alternative Dispute Resolution Division, individuals will gain experience handling consumer complaints, conducting investigations, market surveillance, facilitating mediation and consumer advisory.

Individuals with qualifications in law, economics, business administration and other relevant fields are encouraged to apply.

Submit your interests to eo@consumersfiji.org

3. Research and Policy Analysis Division

Get valuable experience handling service-related consumer complaints, conducting market surveillance, minor and major researches on consumer issues, policy submissions and project proposals.

Individuals with qualifications in law, economics, business administration, public health, environmental health and other relevant fields are encouraged to apply.

Submit your interests to eo@consumersfiji.org

4. Finance and Administration Division

Get acquainted preparing financial statements, dealing with human resource matters and other administration duties.

Submit your interests to eo@consumersfiji.org

Consumer Protection Laws

August 16, 2022

FCCC Act 2010

August 16, 2022

Consumer Council of Fiji Act 1976

August 16, 2022

Distress of Rent Act 1961

August 16, 2022

Second Hand Dealers Act

TENDER INVITATION

Supply and install New Desktop and Laptops

Expression of Interest Download

Borrowing Beyond Your Means

April 16, 2018

Trying to forge ahead in life and ensuring financial stability can prove to be a daunting task for families, particularly young families. The trouble of having to ensure basic needs are met often involves a lot of planning and sacrifices. Some families barely get by but continue to work hard for a better life. Others have a steady flow of income that keeps their families comfortable. Whatever the circumstances of a family may be, there is always a yearning to establish a better foundation for themselves and for their future generation.

Today, financiers have made access to loans easier ensuring customers who need money for an unforeseen circumstance or a new development to get their support. Some see taking a loan as the most effective way of meeting their needs and making regular payments that will ensure they repay the principal amount plus interest. Regular payments are an indication to the bank that you can manage your money.

When taking loans it is always important to plan payments. Those who are not careful with payments face the risk of falling further behind financially. This, then creates a cycle of debt that can impact a person for years to come.

Many individuals take a loan in haste to solve their financial matters. An inability to plan and meet payments for the loan then amounts to irresponsible borrowing. Being an irresponsible borrower impacts negatively on a person. Inconsistencies in payments convey to the bank that a person has a bad credit record, making it difficult to take further loans.

The Council recently received a request for assistance from a couple who had difficulty meeting their loan repayments. They had taken out a home loan with a bank and thought they would extend the house by building two extra flats to yield additional income. To fund this, they sought an additional loan from the bank. Their request was approved and their total loan tallied at $181,700. They were expected to make a payment of $550 per fortnight.

The bank had granted the additional loan on the condition that the couple do not engage into any external debts until their current loan had been substantially reduced. The couple however, did not honour this agreement and took two extra loans from another financial institution worth $15, 000 with a payment period of 6 years. Unfortunately, this loan repayment was deducted directly by the employer on behalf of this financial institution which left only a net income of $491.26 towards home loan creating a shortfall of $58.74 every fortnight.

The additional loan was seen by the bank as a breach of their mortgage conditions and posed a threat to their finances. The couple did not have enough funds to survive as most of their money was directed towards paying the additional loan. With this breach, the risk of the couple losing their home was high.

Ultimately, the bank decided to put the property on mortgagee sale. After seeing their property advertised for mortgagee sale, the couple sought Council’s assistance.

Through the Council’s intervention, the bank agreed to forestall any further mortgage sale action for the couple’s property. The couple requested for an extension of time to at least pay the amount in arrears. It is imperative that consumers always disclose true financial positions to credit institutions or financiers. This is to avoid financial disaster.

In this case if the couple cannot pay the arrears then the bank will proceed with the mortgagee sale. Generally, when properties go on mortgagee sale it does not attract market rate. If the property is sold at a lower price it would mean that the couple will lose their FNPF contribution which they used towards buying the property and any difference between loan amount and sale price will be recovered by the bank. This is a huge financial loss for the couple for not adhering to the terms and conditions and for not understanding their financial position.

It is always important to plan out your income and learn to calculate your debt to service ratio before taking out more loans. It is also crucial to live within your means. The Council continues to recommend that consumers save for unforeseen circumstances.

Communicate with your creditor if something prevents you from paying on time. Most financiers are willing to work with consumers on coming up with an arrangement that suits your budget needs. It is best to keep creditors posted and discuss with them how your troubles can be ameliorated in the near future. Being an irresponsible borrower is never the way to go. It impacts your credit, financial status and reputation as a borrower.