What happens once debt review has been completed? Can I buy a house, car, etc?
Before understanding what you are allowed to do once the debt counselling process has been completed, it is important to understand what happens suring the process and why you are unable to take on additional credit while under debt counselling.
When a client signs up for debt counselling, DebtBusters expert debt counsellors will ensure that all credit bureaus and credit providers are notified that the client is now under debt review. The credit bureaus will then proceed by flagging the clients profile on their system as ‘under debt review’.
This is done in order to ensure that the client is prevented from taking on more credit. The debt counselling process is implemented to rehabilitate client’s financial situation and taking on additional credit will be detrimental to gaining their financial well-being.
However, once the client has paid off their debt, DebtBusters will send a clearance certificate to their creditors, as well as notify the National Credit Regulator (NCR) and the credit bureau via the NCR Debt Help system. Consequently, credit bureaus will be prompted to remove the ‘under debt review’ flag from the client’s profile, thus now allowing the client to take out credit.
Therefore, you clients have paid off all their debt under debt review; you are free to borrow credit again and will be allowed to purchase a house, car, etc.
It is however, essential to make sure that once you have completed debt counselling and managed to sort out your financial situation that you do not rush into taking on more debt. Some people find the process of coming out of debt counselling slightly daunting as they are nervous of getting back into debt, whereas other people rush straight back into the credit process.
Trying to get by on a daily basis without incurring any additional debt can be tricky, especially with the rising cost of living. It is important that you stick to a monthly budget and constantly review it, as well as focussing on saving and investing in order to grow your money.