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Frequently asked questions
FREQUENTLY ASKED QUESTIONS
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 the debt relief?
Do I have to come into your offices or go to court?
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?
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?
Yes, if only a 17.1 has been issued. Maybe, if you don’t yet have a court order and your financial situation has changed. No, if you have a granted court order.
Why use a debt counsellor?
When I am under debt review, will my outstanding debt keep growing?
What happens once debt review has been completed? Can I buy a house, car, etc?
If my unsecured debt is paid off under debt review, what happens with my bond?
Why must debt review fees be paid to your debt counsellors?
Must all debt review clients go to court?
Can I still rent property if I am under debt review?
Why is debt review better than making other arrangements?
Do I need debt counselling?
Why is debt review better than a debt consolidation loan?
Do credit providers continue charging fees when I am under debt review?
What happens to debt review after a divorce settlement has been finalised?
When I am under debt counselling, how much will I have to pay to the credit providers each month?
Will my details be sent to the credit bureaus and my credit providers if I apply for debt counselling?
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?
Can the credit providers change their mind after the debt counselling proposal has been agreed upon?
What happens if I miss my monthly repayments when I am under debt counselling?
If I am under debt counselling, can I get a job overseas?
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