3.       Application of the Act to an agreement

            Any written agreement between a farmer and the bank under which moneys are payable, or may become payable, to the bank, whether on its own account or as agent for the Government, may provide that this Act shall apply to the agreement; and if it does so provide, then this Act shall apply.

4.       Certificate of indebtedness

            (1) Whenever an agreement is concluded, the farmer and an agent or servant of the bank authorized thereto shall certify as correct a certificate of indebtedness which shall contain the following-

     (a)     the full names, residential and postal addresses of the farmer;

     (b)     the place of signature of the certificate;

     (c)     a statement that the bank has through its servant or agent, explained to the farmer the effect of making an agreement subject to the provisions of this Act and that the farmer understands the explanation;

     (d)     the amount of moneys owing, or which may become owing, to the bank, the interest chargeable thereon, and the time when such moneys and any interest thereon become due for payment;

     (e)     such details as are required in accordance with the provisions of subsection (2);

     (f)      such details as are required in accordance with the provisions of section 7(2);

     (g)     any note in terms of section 14(3);

     (h)     such other matters as may be prescribed.

            (2) Where the bank wishes to acquire rights in respect of the movable assets of a farmer in accordance with the provisions of section 11, this shall be stated on the certificate of indebtedness.

            (3)        In the event of there being any conflict between the terms of an agreement and the certificate of indebtedness the terms of the certificate shall prevail.

            (4)        Nothing in this Act shall prevent an agreement from containing any lawful terms or conditions whatsoever, not being terms or conditions in conflict with the certificate of indebtedness.

5.       Registration of certificates of indebtedness

            (1)        A copy of the certificate of indebtedness shall be lodged by the bank with the Registrar of Deeds within 30 days of the signature and shall be registered by him.

            (2)        Where a certificate of indebtedness is not lodged for registration in the manner described and within the time mentioned in subsection (1) the provisions of this Act shall cease to apply to the agreement.

            (3)        The registration of a certificate of indebtedness shall not cure any defect therein or confer on it any effect or validity which it would not otherwise have had, except in so far as is provided by this Act.

6.       Cancellation of certificates of indebtedness

             (1) Where a farmer pays in full the moneys owing to the bank under an agreement or where an agreement ceases to be of any force and effect by reason of cancellation, novation, or otherwise, the bank shall, within 30 days of the payment or lapse notify the Registrar of Deeds and every buyer to that effect in the prescribed form.

            (2) On receipt of a notification in terms of subsection (1), the Registrar of Deeds shall cancel the certificate of indebtedness which, thereupon, shall cease to be of any force or effect.