Q. What is Debt Counseling?
A. When a consumer becomes over-indebted they can apply for Debt Counselling with the help of the new National Credit Act. This process also provides immediate protection against legal action, blacklisting, and possible repossessions. In short, it helps you make provisions for monthly living expenses and protects your assets.
Q. Why Debt Counselling?
A. Debt Counselling was introduced to help over-indebted Consumers. The goal is to develop an affordable repayment plan. Debt Counselling can help to protect the consumer against repossessions and legal action.
Q. Who can apply for Debt Counselling?
A. SA Debt Review can assist anyone that earns an income.
Q. How does it work?
A. Debt Counselling is done by one of our experienced Debt counsellors that will negotiate on your behalf with all your creditors for a reduced monthly instalment plan. View the process.
Q. What are the costs for being placed under debt review?
A. Our fees are regulated by the National Credit Regulator (NCR) and will be included in your debt repayment plan.
Q. Do I need a private consultation at one of your offices?
A. No – SA Debt Review can assist consumers from across South Africa and the process can be finalized telephonically or via email.
Q. How do I know my money is safe?
A. Our company does not receive your money at all. All monthly payments are distributed by the National Payment Distribution Agency accredited by the National Credit Regulator (NCR) into one instalment which gets monitored by us on a monthly basis.
Q. Which debt can be included?
A. Any credit agreement, for example, property, vehicle, credit cards, store cards and loans may be included in the debt review process.
Q. Will I still be able to apply for credit or loans?
A. No – Once registered under debt review your name will be flagged under debt review with creditors and credit bureaus. Once your debt has been paid in full your Debt Counsellor will issue a clearance certificate and remove the debt review flag so you will be able to enter into new credit agreements.
Q. How do you manage to lower repayments?
A. As Debt Counsellors, we are allowed to lower monthly repayments by extending your repayment period and in some cases lowering your current interest rate.
Q. Are there negative rumours about Debt Counselling?
A. Debt Counselling does work, we have successfully helped thousands of people since inception. It is very imperative that the consumer also brings his side by making sure to keep to this lowered instalment, if not, terminations will take place, and legal action will be taken by the Credit Providers.
Q. Will my Credit Providers still contact me while under debt review?
A. Once the application has been done and form 16 is signed, we send out notifications to your credit providers immediately, after that has been done, they are not supposed to phone you, if they do, notify your Debt Counsellor immediately.
Q. Will I lose my house or vehicle under debt review?
A. No, as long as NO legal action was taken prior to the debt review registration, and you as a consumer do adhere to the monthly repayments as negotiated with your credit provider, you will not lose your house or vehicle.
Q. Do I really need Debt Counselling?
A. Once you realise that you are in a situation where you can’t afford to make full repayments on your debt, you do need Debt Counselling. Act immediately!! Do not wait too long, as you do not want your Credit Providers taking legal action.
Q. How long will I be under Debt Review?
A. As every individual’s situation is different, it will all depend on how much you owe. To lower these repayments we have to extend your terms, but once negotiations are finalized, you will only pay for the period of time as stipulated on the acceptance from the relevant Credit providers. If however, you do get into a situation that you are able to pay more, or get a lump sum and pay all these agreements in full, you will be able to get out of Debt Review sooner. You can read this article for more info.
Q. What can I expect from the formal consultation?
A. The debt review process will be explained to you in detail. Once the negotiations are intact you will also receive a copy of the proposal which stipulates exactly what the payment plan will look like as well as repayment amounts, terms and interest rates accepted by your credit providers.