We have the answers
Frequently asked questions
FAQs
What is debt review?
Debt Review was implemented by the National Credit Act (NCA) as a legal debt relief process. How it works is your Debt Counsellor proposes a reorganised debt repayment plan to your Credit Providers, allowing you to make just one lower payment towards all your debts each month. This plan is then declared a… read more
How immediate is debt relief?
Debt Review provides immediate debt relief.
During the first 5 days after you enter into Debt Review, we’ll draw up an affordable debt repayment plan, easing your cash flow and accommodating your living costs… read more
Do I have to come into your offices or go to court?
No, the Debt Review application process can be finalised online, via email and over the phone, which means you can enter Debt Review with NDA anywhere in South Africa… read more
Will my credit providers harass me, while I'm under debt review?
Your credit providers will be notified that you have entered Debt Review with NDA within 2 – 5 days. Naturally, we aim to do this ASAP because as soon as we do, the law prevents them from contacting you… read more
What happens when I enter debt review?
As a rule, you should contact us as soon as you miss a payment and don’t see yourself being able to make any of your upcoming payments. The sooner you get in touch, the better – you have nothing to lose by doing so, but a lot to lose by putting it off. Just being on our website indicates that your debt situation is spinning… read more
Will I lose my home or car if I go under debt review?
No, quite the opposite actually! Debt review can prevent you from losing your home and car, if credit providers are threatening to repossess and auction them off to recoup the debts you owe.
On the other hand, it will be too late for debt review to save your home and car if:
- 10 or more days have passed since you received a Section 129 Letter of Dem… read more
How long will I be under debt review?
Naturally, this will depend on your personal circumstances and just how over-indebted you are. The way Debt Counsellors get Credit Providers to agree to lower instalments is by proposing extended repayment terms… read more
What are the costs involved in debt review?
The purpose of Debt Review is to provide you with debt relief, as such Debt Counselling fees are built into your affordable, reorganised debt repayment plan, taking your living costs and personal circumstances into account… read more
Can I trust NDA with my personal information?
Absolutely, debt counsellors are bound by law to treat the personal information of all consumers who apply for debt review as strictly confidential. We will notify your credit providers… read more
Can credit providers blacklist me while I'm under debt review?
No, while you are under Debt Counselling, the credit bureaus cannot blacklist you by law. However, if you were blacklisted before you applied for Debt Review, these negative listings will remain on your credit record. This is just another reason to apply for Debt Review ASAP… read more
Can I enter debt review if I'm unemployed?
In order to qualify for debt review, you will need to be permanently unemployed. This lets your debt counsellor know that you have a regular income, and in turn, you are able to afford your debt at a reduced rate… read more
Will I qualify if I’ve been summoned to court or have judgments against me?
If you fail to contact your credit provider, after they have sent you a letter of demand or summons, they will obtain a court order and get a default judgment against your name. In which case, we will not be able to include the debt you defaulted on in your restructured repayment plan, as part of your debt review… read more
Can I apply for credit or use my credit cards during debt review?
No. This is to prevent you from incurring more debt, as the purpose of debt review is to reduce your debt and work towards becoming debt free. Once you’ve settled all of your debts, NDA will issue you with a Clearance Certificate and you’ll be able to take out credit again. However, we do hope you will be far more… read more
What if I’m retrenched or hospitalised while under debt review?
The best thing to do would be to get in touch with us immediately, so we can make other arrangements and notify your Credit Providers of your situation. You will need proof, if you are retrenched or hospitalised due to illness or an accident and can’t meet your monthly payment obligation. It is likely that your Credit… read more
Will undergoing debt review affect my job opportunities?
No, there is no reason why entering debt review should affect a potential employer’s decision to hire you, as it shows you have taken charge of your debt situation. On the other hand, if they find out you are over-indebted and haven’t done anything about it, this may cause a prospective employer to view you as… read more
Can I cancel my debt review?
If you are wondering how to remove yourself from debt review, first assess whether this is the right decision for you. Failure to pay your credit providers your new reduced repayments will result in… read more
Why use a debt counsellor?
Many people ask, “Why use a debt counsellor?” and the answer is simple. A debt counsellor can place you under debt review and ensure that your assets are kept safe from repossession… read more
When I am under debt review, will my outstanding debt keep growing?
In a sense, yes. When placed under debt review all your accounts are frozen and the terms of repayment are negotiated by your debt counsellor… read more
What happens once debt review has been completed? Can I buy a house, car, etc?
Once debt review has finished and you are no longer over indebted, your accounts will be open to be used once… read more
If my unsecured debt is paid off under debt review, what happens with my bond?
Once National Debt Advisors has received confirmation that all your accounts are settled and your home loan payment is up to date, a clearance certificate will be issued to you… read more
Why must debt review fees be paid to your debt counsellors?
As a formal process, debt counselling and its related costs are governed by the National Credit Act. With a monthly repayment amount specific to… read more
Must all debt review clients go to court?
For debt review to be fully implemented, a court order has to be granted. This order order is put in place to legally protect consumers and their finances from… read more
Can I still rent property if I am under debt review?
Basically, yes you can. As debt review is not a credit agreement itself, clients can still rent property while under the process. Your debt counsellor can … read more
Why is debt review better than making other arrangements?
Debt review is generally considered a much more efficient and effective route to removing debt as opposed to making other arrangements. The process is… read more
Do I need debt counselling?
If you are over indebted, with too much outstanding debt to make ends meet and not enough money to cover basic expenses, you need debt review and… read more
Why is debt review better than a debt consolidation loan?
While both offer relief from debt, only one actually frees you from debt. Debt consolidation is when you take out one large loan in order to… read more
Do credit providers continue charging fees when I am under debt review?
Creditors do continue charging fees while under debt review, however the process becomes a little different – in a sense you are no longer charged directly… read more
What happens to debt review after a divorce settlement has been finalised?
Dealing with divorce can always be a tricky time, with debt review however, it completely depends on your own, unique situation… read more
When I am under debt counselling, how much will I have to pay to the credit providers each month?
While under debt counselling, your monthly payments will depend not only on your outstanding amounts but also the credit agreements put forward by your debt counselor… read more
Will my details be sent to the credit bureaus and my credit providers if I apply for debt counselling?
Depending on which debt solution you choose, different regulations and rules are provided, although the differences are slight… read more
Can I apply for debt counselling if I already have judgements against me?
If you already have judgments against you, you can still contact National Debt Advisors for debt counselling needs, this does not stop you from seeking advice and consultations… read more
Will debt counselling cover all my debts?
This will depend entirely on the types of debt you have outstanding as well as the income you have at your disposal. Some debts cannot be put under debt review and others are low enough to allow for repayment without debt review… read more
We are married in community of property. Does my partner need to apply for debt counselling?
If you are married in community of property, both you and your partner have to apply for debt counselling and undergo the process as a couple or single entity… read more
Can the credit providers change their mind after the debt counselling proposal has been agreed upon?
Once an agreement has been reached between creditor and debt counselor, the decision is set in stone so to speak… read more
What happens if I miss my monthly repayments when I am under debt counselling?
If clients miss monthly repayments that fall under their debt review, if they are handling repayment, the credit providers may terminate the client’s debt review agreement… read more
If I am under debt counselling, can I get a job overseas?
While under debt review, you are free to do as you wish as long as your debt counselor is informed of any major life decisions like moving overseas… read more
What do I do if I am under debt counselling and a credit provider phones or harasses me?
Debt review is the process whereby a debt counsellor assesses a consumer’s outstanding debt so that he or she can determine the best debt repayment plan… read more
What if I am under debt counselling and I am sent legal documents?
When you are under debt counselling or debt review, you are legally protected from being harassed by your credit providers. If your creditors send you any legal documentation, it is recommended that you inform your debt counsellor… read more
What is the maximum number of years that a person could be on debt counselling?
While there is no maximum time period that a client can be on debt counselling, at the National Debt Advisors, our consultants strive to get your debt matters resolved as soon as possible… read more
Do I have to attend an interview in order to apply for a debt solution?
If you are struggling to manage your finances, applying for a debt solution with the National Debt Advisors is as simple as an email and a phone call. A formal, face to face interview is not required in order for you to make your purchase… read more
Can I exclude bonds (home loans) from debt review?
Whether or not home loans should be included in a debt review, has been the subject of debate for many years. On the one hand, placing your primary residence under debt review is a problem because it assumes that servicing the mortgage bond on your home is not essential. While on the other hand, the inclusion of home loans has allowed many consumers to keep their homes… read more
What is the difference between debt review, administration and sequestration?
While debt review, administration and sequestration are all viable debt solutions offered by the National Debt Advisors, there is a great difference between them, and it is recommended that you educate yourself about these difference… read more
Can NDA help me if I am in Cape Town?
If you are in need of debt management help in Cape Town – or anywhere in South Africa – NDA will certainly be able to assist you. With our debt management solutions, you will receive the much-needed opportunity to break free from your debt and avoid slipping into unmanageable debt… read more
What happens if all or some of my credit providers do not accept the debt repayment plan?
When you apply for debt counselling with National Debt Advisors, one of the first things that our counsellors do is draw up a revised debt repayment plan. The repayment plan will then be sent to the credit provider, in order to inform them that you are under debt review. However, the credit provider has the right to reject the restructured debt repayment plans… read more
What if I am under debt review and a credit provider tries to make a new arrangement directly with me?
Once you start your debt review process with National Debt Advisors, our debt counsellors would negotiate with your credit providers to get a more affordable repayment plan for you. The credit provider will then be unable to contact you, as you will be protected by the National Credit Regulator that prohibits credit providers from harassing you while you’re under debt review… read more
Why do credit providers not reduce interest rates in all cases?
When you apply for debt counselling with National Debt Advisors, one of the first things that our debt counsellors do is draw up a revised debt repayment plan. The repayment plan will then be sent to the credit provider, along with the proposed interest rate reduction… read more
Are you experiencing problems with a Credit Bureau?
Are you experiencing problems with a credit bureau? Follow our list to find the most effective solution for your situation… read more
What is the credit process?
The credit process can differ slightly, depending on the type of credit you are applying for and the institution you are dealing with. The steps that follow, illustrate the flow of things when purchasing an item on credit, applying for a loan, or extending the credit limit on your store card, as well as the actions taken by credit providers and credit bureaus… read more
What is a credit report?
A credit report is a document detailing your own credit history. Credit bureaus collect information and create reports based on that information, while lenders use the findings along with other details to determine a loan seeker’s credit worthiness. Each of these reporting companies collect information about consumers’ personal details and their bill-paying habits to create a unique report for each individual… read more
What is the sequestration process?
What is the sequestration process? Sequestration is the taking legal possession of assets, whether because of debt or non-payment – basically taking collateral on a debt. Similar to the garnishing process, this allows creditors or institutions to reclaim your assets legally, to make sure debt are paid… read more
What is a section 129 notice?
A section 129 notice is a part of debt and credit use that must be understood properly. In an attempt to help guide you through the world of debt, we will take apart this element for you to better understand… read more
Is Debt Consolidation effective in the long run?
Is debt consolidation effective in the long run? A debt solution that has had mixed reviews over the years, debt consolidation’s effectiveness has less to do with the agreement and more to do with the human factor of the consumer. A valid and potentially lifesaving debt solution, consolidation can work wonders in the long term, if you maintain a responsible attitude towards your debt… read more
How do I eradicate debt, accumulated as a result of job loss?
How do I eradicate debt, accumulated as a result of job loss? Debt is something that impact thousands of people across South African, impacting their households and daily lives due to factors like losing a job suddenly… read more