THE FOLLOWING TERMS AND CONDITIONS SHALL GOVERN THE RELATIONSHIP BETWEEN THE CLIENT AND BRIGHT INDEX COLLECTIONS:

COLLECTION COMMISSION
Bright index Collections shall be entitled to collection commission excluding VAT, of the capital amount handed over for collection. Our commission rate will vary depending on volume of instructions, age of accounts and balances due and will be agreed upon prior to engagement of specific instruction. Bright index Collections will only on successful collection, pay over to the client on the portion of the capital amount collected, less the agreed collection commission on that particular capital amount.
TRUST STATEMENT REPORTING
Bright index Collections undertakes to account the client on a monthly basis, as necessary, on successful collection of the capital amount collected in order to claim the pre-arranged collection commission per said debt. Bright index Collections undertakes to settle such reporting by means of a bank deposit made paid to the client on a monthly basis, should any money be due to the client. Such statements will reflect the clients account/reference number, date of payment, name of debtor and the amount on the capital collected, commission due and current outstanding capital balance. Should such monthly reporting, however, indicate an amount due to Bright index collections for any reason whatsoever, for example, withdrawal of accounts by client, payments made directly to the client etc. Debit statements are due on receipt of invoice Bright index collections will have the right to offset the amount claimed and not paid by the client on a particular month to deduct from the current month in order to recoup the outstanding amount. Bright Index Collections will have the right to charge the client interest on any overdue account at a rate of 2% per month. Bright Index Collections will have the right to withhold any cheques due to the client should it so happen that, that particular client has any outstanding debts assigned to Able Tracers for collection by another client. Such monies due will then be allocated accordingly in order to offset such monies due to that particular account or accounts.
EXPENSES
Bright Index Collections reserves the right to collect from the debtor, all necessary expenses incurred and/or to be incurred as provided for in the Sections and Rules of the Statues of South Africa. Bright Index Collections on receiving a payment from a debtor will have the right to allocate such payments towards interest accrued by Able Tracers, secondly to expenses and thirdly to the capital amount outstanding.
DIRECT PAYMENTS TO CLIENT
Bright index Consulting will request all debtors to make payments into the Trust account (Account details). It may happen from time to time that debtors or their representatives, insist to make such payments at that of the client on which the client may bank such deposits. In such an event, the client therefore undertakes to co-operate with any such payments received by him/her and report such payments within twenty-four (24) hours to Bright Index Collections in order to minimize expenses, adjust the balance of the debt and to claim collection commission. The client undertakes not to accept any payments from the debtor should that particular debtor be forwarded by Bright Index Collection to attorneys for legal action. The client will bank such payments and (BIC) will claim their collection commission on the payment amount, which will be deducted by (BIC) from payments made to Bright index collections.
WITHDRAWAL OF ACCOUNTS
The client reserves the right to withdraw the debt or any part thereof, only if the handover of that particular debt was due to an administrative error on the part of the client and within seven (7) days after the handover date. No collection commission will be charged on such a withdrawal. The parties record that Bright Index Collections incurs substantial expenses in the collection process and therefore undertakes not to withdraw any debt from bright index collections other than those referred to in paragraph above. Should the client demand such withdrawal, a withdrawal can be approved at the sole discretion of Bright index collections and the client shall be held liable for the agreed collection commission and the expenses incurred in collecting the debt as reasonable payment for the services rendered as if the debt was paid in full. Bright Index Collections will be entitled, at its sole discretion, at any time, to cancel the debt handed over for collection and in which case the parties will have no further claims one against the other regarding the handover.
LEGAL ACTION
The client consents that Bright Index Collections have their mandate, as it deems fit, to take legal action against any debtor at Able Tracers sole discretion. Bright index collections will not bear the legal fees in defended maters. However, all defended matters will be deferred to the client on receipt of a defended matter. Bright index collections and the client hereby agrees that any amount due to an attorney for collection for any particular matter shall first be paid to that attorney, preference to any payments received by the client or Bright index collections. Should legal action be taken against a debt and the debt is not collectable for reasons such as unemployment, death, bankruptcy then Bright Index Collections will be held liable for those legal fees.
INTEREST
The client agrees that Bright Index Collections may collect interest from the debt, whether contractual or mora interest, together with any other claim or expenses the client may have instituted against the debt. The interest shall be part payment of the fees of Bright Index collections but excludes and is not related to the entitlement to claim collection commission. Should the client wish to calculate interest before hand over, such interest will be paid over to the client in the same manner as the capital amount.
VALIDITY OF DEBT
The client hereby acknowledges that all documentation supplied is just, fair and within the parameters of the law. The client hereby acknowledges that all relevant information supplied is correct and fair.
GENERAL
A debt collector may only collect the capital amount of the transaction; lawful interest; and the collector's administration fee and expenses. The National Council for Debt Collectors structures the fees that can be charged by a debt collector. The National Debt Collection Act 114 of 1998 regulates the process of collecting debts in South Africa. LEGISLATION