Financial difficulty is a reality for many of us. The rising cost of credit may leave you finding things a little tight at the end of each month. Working together with our Debt Counselling partners, we have created a solution to help you overcome your debt worries, while shielding you against creditors who want to take legal action.
What is Debt Counselling ?
Instituted in June 2007 with the implementation of the National Credit Act, Debt Counselling is a highly effective credit management solution focussed on helping over-indebted individuals to meet their commitments in a way that suits both their creditors and their pocket.
It offers protection against legal action from creditors and the long-term effects of being placed into personal administration. It also provides individuals with a way to repay their debts while ensuring that they still have the ability to meet their daily living expenses.
Our strategic partners’ trained Debt Counsellors are registered with the National Credit Regulator and the Debt Counsellors Association of South Africa (DCASA). Confidentiality and integrity form cornerstones of their service.
Benefits of Dent Counselling ?
- While under debt review a person can no longer get access to new credit.
- While this may seem to be a negative thing, it is actually built into the process to protect consumers from becoming further indebted and to protect Credit Providers from being accused of “reckless lending”.
What is Debt Counselling going to cost me?
Different Debt Counsellors may charge in slightly different ways. However the legislated industry standard is: R50.00 upfront, a possible R300.00 rejection fee (which should cover creating a new budget for the consumer and advice). Further cost will be absorbed from your first rescheduled repayment, once all your creditors agree, amounting to either up to R3000 of the first repayment or R4000 if it is a “Joint Application”. There is also a small monthly fee (to monitor your progress) of 5% (for the first 24 months) and thereafter 3% of your monthly repayments.
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