Many prospective clients who contact us often ask what are the real benefits with the Debt Review Process and why they should make use of ezDebt solutions to handle their current financial situation. The debt review process is simple and can be done in 5 easy steps.
Debt Review in South Africa may not be as well known as it should be and thats why we’re trying to educate ordinary South Africans about debt review and why they should consider submitting for the debt review process in this tough economic climate.
Who should apply for debt review?
Any person in South Africa that is overly in debt can apply for debt review. If you are unable to honour monthly debt instalments, if you are in arrears with debt payments and if creditors are contacting you to follow up on payment – then you can apply for debt review immediately.
Why should you apply for debt review?
If you have a lot of debt and you cannot afford to pay your debt, you need to consider applying for debt review. Firstly, it is of utmost importance to have a good credit record that will enable you to make future purchases on credit, such as a home or a vehicle. Secondly, not paying your debt off is a criminal offence and you can get into a lot of trouble with the law by not keeping a clean credit record.
Who will assist you with debt review?
Easy Debt Review has debt counsellors with intensive experience in debt mediation and review. Our counsellors offer a service that is skilled and professional but still add a personal touch to everything that they do. Debt counsellors are appointed through the South African National Credit Act and as such endorsed by the National Credit Act.
What do debt counsellors do?
A debt counsellor will become the intermediary between you and your creditors. They will manage the communication process with your creditors and all debt payment negotiations. Creditors are aware of the National Credit Act and they prefer working directly with debt counsellors as supposed to clients. Your debt counsellor will take your finances under review and then design a payment plan for you. They will also communicate with you on a regular basis to provide you with additional financial advice and support.
What does debt payment negotiation mean?
Our service includes payment negotiation with your creditors. We are able to negotiate with creditors to offer clients reductions in outstanding amounts due. Obviously, not all creditors agree to these reductions depending on the particular severity of the debt. But most creditors agree to reduce overall debt amounts. This is greatly beneficial to you because it will enable you to pay off your debt in arrears much faster than what you would originally have been able to.
How much will my debt repayments be reduced by?
Debt repayments are usually reduced by between 30% to 40% – but our debt counsellors have been able to negotiate reductions to as much as 60% in the past. These kinds of reductions are exactly what people need, and also deserve. The very existence of the National Credit Act was born out of the realisation by The South African Government that consumers were allowed to attain more debt than what they could possibly ever afford. This is why we are able to negotiate debt payment reductions.
What are the benefits of being under debt review?
The biggest benefit will be an emotional one. Emotionally you will become relieved from all of the pressure of being overly in debt. The minute you are taken under debt review you will be in a ‘safer place’ financially. You will be able to see the future more clearly because debt counsellors will support you to get back on your feet again. There are many other benefits to debt review which will allow you to experience a better quality of life.