The Debt Review process helps you manage your money responsibly and may protect you from any legal action that may be taken against you, only in the event that a proposed repayment plan is agreed on between you and your creditors.
You can apply for debt review with the help of the National Credit Regulator.
The National Credit Regulator will refer you to a registered Debt Counsellor in your area, who will assess your financial situation and help you take correct steps to reduce your financial burden.
The Debt Counsellor negotiates with all your creditors to reach an agreement with them regarding a repayment proposal. If you qualify you will be officially placed under debt review.
Debt Review process could be the right choice if you:
- Feel debt is causing you financial stress
- If you are willing to make life style changes to repay your debt obligations
- Are committed to repaying the accepted proposal amount on a monthly basis
- Want to ensure that you do not incur any further credit, as you will be listed on the credit bureau
- Have started using your credit card and/or overdraft facility to pay off debts
- An introduction to a registered Debt Counsellor
- An initial assessment to determine your financial situation
- Evaluation of indebtedness with all creditors
- Drafting of a repayment plan
- A Debt Counsellor who negotiates with all your creditors, on your behalf
- A note at the credit bureaus stating that you are under debt review, which will be removed at the end of the process
- You will need to provide details of your income and expenditure for both you and your spouse, if relevant, for an assessment and consultation
- You will need to make a monthly repayment to your Payment Distribution Agency until you have been rehabilitated.
- You cannot apply for any additional credit until you have been issued with a clearance certificate.
- To keep up to date with agreed payments and do not default
- To pay all required fees for Debt Counselling such as legal fees and payment distribution fees which will be explained by your Debt Counsellor