Please tell us what exactly is a debt counselor? It’s not like people talk about seeing a debt counselor every day. A debt counselor will be registered with the National Credit Regulator (NCR) and will have done the necessary qualifications and exams. Before choosing a debt counselor you need to ensure they are registered and […]
23 January 2014
Are you struggling to manage your finances and find yourself deep in debt? Have you tried to tackle these financial difficulties with tools that have left you worse off than before? Are you constantly looking to borrow more money? Are you tired of struggling to make ends meet and worrying about money?
If so – you are not alone. 9.68 million South African credit active consumers have impaired credit records and find themselves in a similar position every day. Forget borrowing from pay day lenders and other credit providers – DebtBusters believes borrowing more money is not the solution to becoming debt free!
The first step to becoming debt free is admitting that you are in debt and scrutinising the reasons behind your debt problems. Understanding the reasons, which have caused you to face financial difficulties, will prevent you from getting into more and more debt.
How do people get into debt?
People generally accrue debt as a result of behavioural factors or life situations. Unfortunately, various life situations are often out of one’s control and there is nothing that can be done to stop them from happening. Although, behavioural issues causing you to accrue debt are avoidable. It is important that you recognise what has made you get into debt and do everything you can to better your financial situation.
Life situations, events which occur out of your control, include:
- Death, disability / Illness
- Unplanned child
- Retrenchment / Salary reduction
- Child going to school / University
Behavioural factors include:
- Conspicuous consumption
- Spending more than you earn
- Impulse buying
- Purchasing on credit
Once you know what has caused you to accrue debt, going forward you need to find the right solution to becoming debt free! DebtBusters, South Africa’s leading debt counselling company is here to help you get debt free, with the debt solution, debt counselling.
What is Debt Counselling?
Debt counselling was formally introduced by the NCA in June 2007 as a means to help consumers struggling with debt. At DebtBusters, the debt counselling process involves restructuring your existing loan agreements, by decreasing interest rates and extending the payment terms in order to reduce your monthly repayments to an affordable level! You will no longer have to pay for credit provider fees and DebtBusters expert consultants will educate you on how to take back control of your finances.
How can debt counselling help you?
- Affordable monthly repayment & budget from month 1 (average monthly repayment decreases by 2/3)
- One debt repayment to an independent PDA
- Assets are secured
- Legal protection – stops creditors from harassing clients
- Peace of mind – reduces stress and uncertainty
- Significant savings on interest and fees
- Credit providers effectively pay for the process
- Decreases/ prevents summons and judgments
- Rehabilitation & education facilitates sustainable financial behavioural changes
- DEBT FREE – clearance certificate
- Get a second chance to build a brighter future
What does DebtBusters debt counselling services need from you?
- Change your spending patterns and stick to the affordable monthly budget created by a DebtBusters financial consultant
- Make full payment distribution agency (PDA) payments on time. Failing to make payment will put you at risk of further legal action or the repossession of your assets
- Use additional income, such as a salary increase or a bonus, wisely. Settle your account with lower balances first and use disposable income to make additional debt repayments. Contact DebtBusters to adjust your budget.