What is Debt Review
In terms of the National Credit Act (NCA) you may formally apply to a Debt Counsellor for debt relief if you are unable to meet your financial commitments under credit agreements on a monthly basis.
The Debt Counsellor must assess if you are over-indebted. The process is as follows:
Step 1 - Talk to us
Provide details of your income, monthly budget and debt commitments to the debt counsellor. This can be achieved by completing our questionnaire and supplying copies of your payslip, ID and the latest statements of all your debt.
The Debt Counsellor will do an initial assessment. If the information indicates that you are over indebted then the Debt Counsellor will set up a consultation with you. This could be a face to face consultation at one of our branches or a telephone consultation.
During the consultation the Debt Counsellor will verify your budget and your existing debt commitments.
Step 2 – Our assessment
A new budget will be agreed and the amount available for debt repayment will be determined. When this is completed the Debt Counsellor will generate the official Debt Review application for your signature. The Debt Counsellor will also provide you with details of all the costs as well as an interim repayment plan.
Step 3 – Let us do what we do best
The Debt Counsellor will contact all your Credit Providers as well as the credit bureaus to verify your debt. On completion, the Debt Counsellor will draw up proposals and submit these to all your Credit Providers. The Debt Counsellor will, where possible, finalise the negotiations with all your Credit providers.
The Credit Providers may accept the proposals, and if all of them do then a consent order will be obtained from a magistrate court. If one or more of the Credit Providers does not accept the proposed repayment plan, then the Debt Counsellor will submit a proposal to a magistrate for a decision.
Step 4 – Stress Relief starts now
The Debt Counsellor will provide you with a final repayment plan and this repayment plan is also submitted to a Payment Distribution Agency (PDA). The aim of this is to collect a single payment from you and ensure that the correct amount is paid to all credit providers on a monthly basis. This will continue until the debt has been repaid.
READY TO TAKE IT TO THE NEXT LEVEL?
Anyone who owes any amount of debt can apply for debt counselling.
In terms of the National Credit Act (NCA) you may formally apply to a Debt Counsellor for debt relief if you are unable to meet your financial commitments.
Apply now and see if we can help you