When the National Credit Regulator introduced debt counselling in 2007, it wasn’t clear whether foreign nationals are eligible for the programme or not.
Debt counselling is for everyone who is struggling with debt, subject to qualifying criteria. If you’re a foreign national the criteria is as follows.
You must have a valid passport or ID number
For you to apply for debt counselling, you will need some form of identification. A valid copy of your passport, or ID for permanent residents, will be required.
You must be permanently working in South Africa
Debt counselling requires that you make payments every month towards your debt. If you are a foreign national, you must present your payslip and a letter of employment to prove that you have a permanent job in South Africa. The debt counsellor will also confirm with your employer, just as they do with citizens.
Your debt must be with South African creditors
DebtBusters does help foreigners who are struggling with their debt, however, that debt must have been in taken in South Africa with a South African credit provider. If your debt is in another country, you’ll have to apply for debt counselling in that country. If for some reason you leave the country, you’ll still need to pay your debt counselling instalments. Your debt will not be written off because you’re away. If you default on payments, you will damage your credit score and be unable to take up more debt in South Africa. Added to this, your assets may be attached, and getting a tax clearance certificate from the South African Reserve Bank may be hard if you have unpaid taxes.
Additional documents when applying for debt counselling
Bank statements – Your bank statements will give a complete overview of your finances. They will show the consistency of your income and give an idea of your expenses. They will enable the debt counsellor to draw your new repayment plan.
At DebtBusters, we help you unlock cash for day-to-day activities – no matter your financial situation. Call our team of consultants for more information and assistance.