At DebtBusters we try our utmost best to get consumers out of debt in the most affordable and efficient way possible. We want you to settle your debt with DebtBusters’ debt counselling process, so that you can become debt free. But did you know that you can get debt free faster than you initially planned? We encourage you to use our Debt Settlement […]
27 November 2012
Currently in South Africa there has been a lot of press coverage on the amount of unsecured debt (personal loans, micro-lending) being given and how sustainable this is for the end consumer. At DebtBusters, we have seen an increase in the levels of over-indebtedness, as well as the number of credit accounts held by the consumers coming to us for advice. We believe that too many consumers are taking additional credit on to pay for living expenses, rather than reigning in the expenses. This will undoubtedly lead to the household finances hitting a brick wall and hence why we advise consumers to keep an eye of their finances each month and use debt restructuring as a way to get back in control earlier in the debt cycle. Our view is that unsecured lending will continue, but at some point the tap will be switched off. The question is will it be switched completely off or slowly?
The good news is that DebtBusters continues to produce the best results for our clients with our acceptance rate on all credit agreements at over 80%. Many of these rearrangement agreements have no monthly fee charged, as well as a concessionary interest rate, resulting in an average saving of R120,000 over the 60 months or R20000 per year for our clients.
The major credit providers and retailers, through our relationships are helping debt stressed consumers by giving these concessions and this will mean those who maintain the regular payment to the PDA each and every month, will see their debt being reduced to nothing in around 5 years. Without debt review this would certainly be closer to 10 years, due to add legal fees and interest rates not being reduced.
For more information on how to manage your debt call DebtBusters on 0861 663 328 or visit our website www.debtbusters.co.za.