What is the difference between a section 129 letter and a letter of demand?

The following table represents the difference between a section 129 notice and a letter of demand.

SECTION 129LETTER OF DEMAND
Derived from The National Credit Act 2007Derived from the Common Law Act prior to 2005
Introduces timeframes into the default recovery process ie. 20 business days in default and furthermore 10 business days should elapse before enforcing the rights of the credit provider.Has no standard time frames but relies on the terms and conditions given in the credit agreement.
Seeks to educate and protect the consumer of his rights and possible remedies to prevent further legal actionSeeks more to protect the credit provider from loss under a credit agreement
Standard process and format which saves time by giving time frames to be adhered to in the notice process which can be verified before a court of lawWill require the court to revisit the specific agreement to ascertain the credit providers claims are reasonable and fair
Requires a specific prescribed format of drafting the notice later

To learn more about a section 129 notice or letter of demand, contact DebtBusters on 0869990606