Waalburg Building, 28 Wale Street, Cape Town
Tel: 021 424 5351

Application Procedure and Guidelines

When the practitioner accesses the online system for the very first time, the practitioner must first complete his/her identity number and email address, same as those provided to the regulator, in the space provided on the system. The system will verify the practitioner against information received from the regulator’s system, and send login credentials to the practitioner via sms and/or email. Should the system not allow you to proceed returning a message “the password and user code cannot be resolved”, you need to check your identity number and email address with the regulator. It is therefore important that members update their details with the regulator whenever these change.

To complete the online application form, practitioners need to login using the credentials received from the system. At first login, the system requires a member to create a unique and secure password. The password must be at least six characters long, and contain at least one capital letter and a special character. The system stores this password, and the member uses the password, together with the other credentials (User name and User Code), to access the system in future.

Members are required to have at their disposal such financial information as required for the previous four calendar quarters starting 01 October and ending 30 September of the following year for the categories reflected in the accompanying table. Members also need to provide the following information to the regulators:

FICA registration number
Financial Services Provider (FSP) number (if running an investment practice)
Firm’s Registration number (for Incorporated law firms)

In addition, members should ensure the following:

  • That the regulator/s with which they are linked is/are in receipt of, and have approved audit report/s for firm/s registered in their jurisdiction/s
  • That they have completed, have obtained the necessary extensions, are due to complete their practice management training (PMT) in the future, or are exempted from doing the course
  • That they have paid over all interest as well as any other monies or subscriptions due to the regulator. Please note that if a member is a director/partner/sole practitioner in more than one firm, all the firms to which the member is linked must have approved audit report/s by their respective regulator/s. Failure to satisfy this requirement by any of the linked firms will result in the member not receiving a certificate for any of the other firms, irrespective of the status of the audit report in the other firms.
  • The Fund uses the financial information provided to negotiate enhanced benefits with the banking industry in an ongoing effort to improve the interest return on trust account balances. Interest returns enable the Fund to contribute towards the costs incurred by practitioners in operating their trust current bank accounts, and for the first level of professional indemnity insurance cover, provided to all practitioners via the Attorneys Insurance Indemnity Fund.
  • The Fund also uses the information provided for risk management initiatives and for reinsurance programmes.

Reporting Periods

When applying for a Fidelity Fund Certificate, balances required relate to the following quarters, and we explain these further in the table:

Q1 01 October – 31 December
Q2 01 January – 31 March
Q3 01 April – 30 June
Q4 01 July – 30 September

 

Category Explanation Information required per quarter
Section 78(1)
(Mandatory to all firms) Main trust acount/s into which trust creditors deposit their money – if more than one account, balances of each account to be reported individually.

Practitioner to assign this account to the section on the system, if not already assigned.

Balances

Interest Rates – obtained from the bank

Service Fee Formula – obtained from the bank

Section 78(2)(a)
(Not mandatory to all firms,but to those that have assigned account numbers to this section) Investment/s account/s – excess amount in s78(1) account/s not immediately required by the firm – if more than one account, to be reported individually.

Practitioner to assign this account to the section on the system, if not already assigned.

Balances

Interest Rates – obtained from the bank

Service Fee Formula – obtained from the bank

Section 78(2A)
(Mandatory firms. Where balances exist, balance of “NIL” to be captured) Investment/s account/s for specifically designated trust creditors with underlying transactions – balances reported per financial institution Balances
Financial institution/s involvedBreakdown of the balances per quarter and per financial institution. Breakdown to tally 100%, to the last cent, to the balance reported e.g
amount for litigation matters, commercial matters, conveyancing matters, RAF matters, etc
Investments
(Mandatory to firms. Where balances exist, balance of “NIL” to be captured) Pure investments made by the firm on behalf of a client, but the investment is not linked to any legal service provided Balances

Financial institution/s involved

Estates
(Mandatory to
firms. Where
balances exist,
balance of “NIL” to
be captured)
Balances relating to estate matters and
not accounted for through the main
trust account – separate estate late
bank accounts opened for these matters
Balances

Financial institution/s involved

Property
(Mandatory
firms. Where
balances exist,
balance of “NIL” to
be captured)
Balances relating to any other entrusted
property other than money.
Balances – property value to be determined by
an expert

Guidelines are provided to members on how to navigate the system.  Click here for a simplified Guideline, print it out, and follow the instructions