In 2007 I had a loan of R25 000 through Direct Axis, at that time I was under debt review. Recently I was contacted by Lynn & Main for collection of an amount of R38 900. I signed an acknowledgment of debt and commenced monthly payments of R2000 per month.
A couple of months ago I had some financial difficulties and could not pay my normal instalment but made a payment of R500.
I have been contacted by Lynn & Main and asked to resume payments of R2000. Togeather with their request was a statement of the account and I noticed that the balance was R52 500, the interest charged on this amount was 25%.
They also offered a discount of a once of payment of R38 000.
I fell that that that the interest, collection fees and admin fees charged on this amount are far in excess and wanted to know what I can do regarding this.
How does the "in duplum rule" work and can I apply this rule to my case.