A Capitec Bank branch in Braamfontein, Johannesburg. Picture: SUNDAY TIMES
A Capitec Bank branch in Braamfontein, Johannesburg. Picture: SUNDAY TIMES

Capitec has settled a legal dispute with Summit Financial Partners out of court, the bank said on Friday.

Information in the court papers was used by short-seller Viceroy Research to attack Capitec.

Summit initially approached the National Credit Regulator (NCR) with accusations against Capitec, and then escalated the matter to the public protector’s office.

"All Summit-assisted and -initiated court and NCR cases involving Capitec have been withdrawn," Capitec said on Friday.

"The principle contention in these cases was against the multi-loan product which Capitec discontinued in February 2016. Both parties have agreed to work together in improving the unsecured lending industry for the benefit of all South Africans.

"This initiative will include programmes to improve consumer financial literacy, providing effective consumer debt relief solutions and building consumer financial capability. We believe that this is an important joint step in bringing positive change in the South African credit industry."