Debt Review Mpumalanga / Debt Counselling was introduced in 2008 by the National Credit Act (NCA). The goal behind Debt Review is to protect consumers against a number of financial challenges.
Debt Free Plus offers Debt Review Mpumalanga, shares this goal and we strive towards getting our clients DEBT FREE as soon as possible. Here is a list of the benefits you could enjoy after applying for Debt Review:
Reduced installments (Debt Review Mpumalanga)
(Debt review Mpumalanga) Your Debt Counsellor will assess the amount of money that you have available each month to pay to debt. A personalized payment plan will be formulated especially for you. The installments in this payment plan will be reduced according to your ability to pay. What you are left with is ONE, EASY, REDUCED installment each month.
Negotiate lower interest rates (Debt Review Mpumalanga)
As your Debt Counsellor carefully works through your financial obligations, attention will be given to the amount of interest that you are paying on each account. Your Debt Counsellor will look at the amount of months you still have left to pay on each account. If your accounts still have more than 60 months of payment left under Debt Review, your Debt Counsellor will negotiate with your Credit Providers to lower your interest rates for the remaining months. This will save you a ton of money in the long run. It will also ensure that you pay off your debt much quicker than you would have. Do take note that this is only a negotiation process and that Credit Providers are not obligated to accept these proposals.
Legal protection against Credit Providers (Debt Review Mpumalanga)
The moment a consumer applies for Debt Review, a notification is sent to all Credit Providers, Credit Bureaus and the National Credit Regulator (NCR). You are then flagged on all of the Credit Bureaus as “Under Debt Restructuring”. Thus, right after you have applied for Debt Review none of your Credit Providers can take legal action against you. After your Debt Counsellor has done a detailed assessment, they will declare you over-indebted or not over-indebted. If you are declared over-indebted, the Debt Review process will continue. An affordable amount will be deducted from the consumers’ bank account each month. Please note that when the consumer defaults for longer than 30 days, legal action may once again be taken against the consumer.
Debt Consolidation (Debt Review Mpumalanga)
Debt Review can be seen as consolidation, because all installments are combined into ONE payment per month. The only thing a person under Debt Review needs to worry about is ensuring that their debit order goes off successfully every month.
Reckless credit (Debt Review Mpumalanga)
When the Debt Counselling process begins, your Debt Counsellor will assess your financial condition at present. If your Debt Counsellor finds any reckless credit / lending within your list of debt obligations, they will be able to lower the interest rates charged on these accounts.