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Debt Solution for Business Owners

44-year-old Mr H and 46-year-old Mrs H are married with two children. They live in Kinross, Mpumalanga and are self-employed as they run a business together. The H family fell into a debt spiral after a family member passed away and they had to foot the bill for the funeral.

Mr and Mrs H were already paying off a home loan, a credit card and a clothing account when tragedy struck. Sadly, they did not have an emergency fund or a funeral policy in place.

‘The H family fell into a debt spiral after they had to foot the bill for a  funeral’

Yet, they found themselves saddled with the cost of holding a large formal ceremony to mourn the death of their lost loved one. As a last resort, they took out a large high-interest personal loan to cover the costs.

Mr and Mrs H have children to take care of, financial commitments and bills to pay just like everyone else. But, after taking out the big loan, they began to struggle to make ends meet every month. They could not afford the high-interest instalments on the personal loan they took out. Consequently, they fell into arrears and became over-indebted.

As we can see from the table below, Mr and Mrs H collectively earn R14,200 every month. Their expenses amount to R9,700, which leaves them with R4,500 for debt repayment.

‘Mr and Mrs H were coming up short by R2,473 monthly on their debt payments’ 


Salary 1R5,500
Salary 2R1,700
Cell phoneR1,000
Vehicle insuranceR820
Vehicle fuelR800
Food & household goodsR1,200
School feesR800
Life, health & critical illnessR3,000
Bank chargesR80
Available for debt repayment:R4,500


Now, when we take a look at the debts that Mr and Mrs H have incurred and what they owe monthly, we can see they are coming up short. Mr and Mrs H are over-indebted by R2,473.


DebtInterest rateInstalment
Clothing account23.20%R1,510
Personal loan19.00%R1,122
Credit card19.00%R1,702
Home loan9.50%R2639
Over-indebted by:  R2,473


‘The H family are now paying R2,820 less on their debt payments’

This is when National Debt Advisors stepped in and saved the day! One of our professional debt counsellors drew up a more affordable repayment plan for Mr and Mrs H and proposed lower rates and instalments to their credit providers.


DebtInterest rateInstalment
Clothing account14.12%R518
Personal loan12.19%R944
Credit card12.19%R1,092
Home loan8.82%R1,599
Amount saved:R2,820


Their creditors accepted these new terms and so the H family could afford their debt payments and basic expenses again. The H family were now paying R2,820 less on their debt payments than they were before. They now even have an extra R347 to put away every month!

See our case studies section to read about how our debt solutions have provided other clients with debt relief.

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