Using Plain Language to Simplify Complex Legal Terms in the Banking Sector: The Case for African Languages in the South African Banks

Plain language refers to the use of understandable language in consumer documents. This is done to prevent practices wherein vulnerable consumers enter into agreements with banks while they do not fully understand the content and consequences of the agreement due to the use of the difficult legal language used by the banks. This paper argues that the use of plain language to simplify legal terms used in loan agreements can assist in protecting vulnerable consumers in the banking sector. Vulnerable consumers refer to consumers who do not have formal education or rather English language competency. The paper employs the desktop analysis of documents from the banks. The study found that, plain language in the banks is only used in English and not in African languages. Loan agreements are only written in English; hence most customers opt for plain language available only in English. Consequently, this disadvantages the consumers who are without formal education and sometimes even those with formal education but lack proficiency in legal or financial English language.