Consumer Assist has professional debt counselors

The team of professional debt counselors at Consumer Assist is trained to help over-indebted consumers manage and regain control of their debt. The National Credit Act (NCA) of 2007 has made provision for the debt counseling process and debt counselors have significant negotiating powers by law.

A debt counselor does not help consumers avoid their debt obligations, but many consumers are under this impression. This has been proven by the number of consumers who cease to repay their debts the moment they had been put under debt counseling. Debt counseling merely means that a debt counselor helps the embattled consumer restructure his debt to enable him to pay it off more easily; it is not a payment holiday. The debt counselor would review a consumer’s financial position upon the consumer’s request and decide whether the consumer is over-indebted or not. Upon the decision that the consumer is unable to meet his debt repayment obligations, the debt counseling process may start.

The debt counselor would then negotiate with the consumer’s creditors and banks to restructure the debt. Interest may be further reduced by lenient creditors or banks that are willing to assist the consumer in repaying his debts. The debt counselor makes all these arrangements and handles the negotiations on behalf of the consumer.

Let Consumer Assist’s professional debt counselors assist you with your debt counseling process today. Contact us to find out how to start the process.

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Come for debt counselling at Consumer Assist

Many people fear debt counselling unnecessarily. The economic climate is very tough at the moment and many people have fallen on hard times and are in need of debt counselling to recover. It is not a shame or a disgrace; it is making use of professional help that can save you financially, especially provided for in the National Credit Act (NCA). Consumer Assist can help you get out of debt.

The debt counselling process normally starts with a debt review. Consumers who believe that they had become over-indebted (unable to meet their monthly debt obligations) can apply for debt review. During this process, debt counsellors review the consumer’s financial situation to determine how big the financial trouble has become. If the debt counsellor agrees that the client would not be able to meet all expected monthly debt obligations, the consumer qualifies for the full debt counselling process.

During this process, the consumer’s accounts are frozen and access to further credit is denied. All creditors and the credit bureaus are also informed that the consumer is under debt counselling and creditors cannot pursue further legal action for a period of two months. The debt counsellor negotiates with creditors and banks to restructure the debt to enable the consumer to pay off his debt, while retaining sufficient cash flow to meet his monthly living costs.

Debt counselling has become the only solution for many over-indebted consumers. If you feel that you have accumulated too much debt and you do not know where to find a solution, contact Consumer Assist today so that we can evaluate your position and help you become debt-free.

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According to the National Credit Act, Section 73, certain rules and legislation regarding outstanding debt have changed as from 1 June 2007. Consumers who want to dispute any information that appears on the credit bureaux can enlist the services of the Credit Information Ombud free of charge. Outstanding debt is simply money owed that has not been paid yet. Debt that remains outstanding usually leads to an indebted consumer being reported to the credit bureaus, putting a stop to the consumer’s ability to obtain credit.

Insurance policies are available against outstanding debt at the time of your death. In such cases, the insurance policy will pay outstanding debt on, for example, your house or your car, in full to the loan provider. This is especially useful if you do not want to leave your family and loved ones behind with your outstanding debt. Similar insurance policies pay your outstanding debt if you were to become disabled as well.

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Some banks offer a service whereby a consumer can consolidate his debt by using his home loan account. Under such an arrangement, the home loan repayment period is extended, often up to thirty years. This lowers the monthly amount and eases the consumer’s cash flow. In many cases, this period can be decreased again later without incurring additional costs.

If you are still coping with your payments, but need some relief, some debt management companies can help you manage your debt without having to enter into debt counselling. They can organise a more affordable monthly budget and facilitate in communicating with creditors.

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Debt Counselling is a professional service provided for over-indebted consumers. It is a process regulated by the new National Credit Act and provides you, the consumer, with greater protection against creditors wishing to take legal action.

The goal of Debt Counselling is to develop a repayment plan that is affordable to you and acceptable to all of your creditors. This repayment plan will still allow you to meet your basic living expenses. The process with the creditors is managed by your appointed Debt Counsellor who represents your best interests.

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