In a nutshell, debt review is aimed at streamlining the process of paying your debt. Debt review is credit rehabilitation for South African debt. Debt is consolidated into one debt account, and we will pay all of your repayments from that single payment. You can settle all of your debts timeously, while living comfortably.
Essentially, debt review is the organised rescheduling of your debt repayments, with the help of professionals in the industry. At National Debt Advisors (NDA), your debt counsellor can do quite a bit for you. They will help you renegotiate payments that are budget-friendly and suited to your current financial position.
After assessing all of your expenses and income, your debt counsellor will propose an appropriate repayment plan to your credit providers. This plan offers a realistic depiction of how much money you are able to allocate to your debt repayments.
Many companies offer this service in South Africa. However, one of the biggest disadvantages of debt review is that there are companies claiming to be registered with the National Credit Regulator (NCR). With this in mind, it’s best to check the validity of debt review companies with the NCR.
You can find yourself under debt review for a maximum of five years, even though it is dependent on many factors. This includes how deeply indebted and how committed you are, to name but a few. You could easily square up your debt and be issued with a Clearance Certificate, clearing your name of negative listings at the credit bureau.
The National Credit Act introduced debt review as a legal process of debt relief in 2005. The purpose of debt review is to protect consumers from over-indebtedness.
The National Credit Act aims to protect the consumer overall. Consumers are protected from creditors taking legal action against them if they are behind on payments. This includes repossession of assets like homes and cars.
Debt review is our way of ensuring that South Africans have enough money to cover their living costs, so they don’t suffer in poverty.
This is why we approach your credit providers and negotiate with them to have your instalments and interest rates reduced. Our good relationships with major credit providers enable us to get good deals for our clients. So that you pay off your debts with ease each month.
This process could mean the difference between losing your home and car, and having your assets remain safely in your care. This is because, if you stop paying your credit providers for some or other reason, they will undoubtedly take legal action against you. Contact NDA as soon as you skip a payment to live a debt free life!