A: The National Credit Act / NCA (also referred to as ‘The Act’) became fully operational on 1 June 2007. The Act aims to provide improved standards of consumer information and strives to promote a fair and non-discriminatory platform for consumer credit by regulating the process.
A: If you completed your previous Debt Review successfully then it should be possible. But it is very unlikely that your second Debt Review will be granted if you failed to pay your first Debt Review instalments. The main reason for this is that you will still need to pay your first Debt Counsellor’s outstanding
A: The National Credit Regulator (NCR) is the ‘regulating body’ of the South African credit industry. The regulator was established by the National Credit Act No. 34 of 2005 (referred to as ‘The Act’). The regulator aims to encourage the development of an accessible credit market – mainly involving underprivileged persons, low-income individuals, and isolated
A: Alternatively known as the Debt Review Application Form. This is your Debt Review Application Form as required by the National Credit Act (NCA). Your Debt Counsellor needs this form to assess your financial situation. Your Debt Counsellor will also be expected to verify the application’s information through supporting documentation from you and your creditors
A: Alternatively known as the Cancellation Form. Whether a Debt Review is cancelled voluntarily or involuntarily the National Credit Act (NCA) requires that a Debt Review Cancellation Form is completed. There are serious considerations to make before cancelling your Debt Review. These include the following: A cancellation fee of 75% of the debt restructuring fee
A: Alternatively known as your Clearance Certificate. This is your key to your new beginning and what you are working towards in your Debt Review. Your Clearance Certificate will be issued when: All your accounts listed under Debt Review have been settled. You are able to carry on with the original agreements you have with your
A: Once your Debt Review application has been completed your Debt Counsellor is required by the National Credit Act to let your creditors and the credit bureaus know that you have formally applied for Debt Review. This communication is done through a Form 17.1 and is sent to your creditors within 5 business days after
A: Your Debt Counsellor will do an in-depth evaluation of your financial situation to determine whether you legally qualify for Debt Review. Once your Debt Counsellor has completed the evaluation they will send out a Form 17.2 which then states whether you are over-indebted and whether you would benefit from Debt Review. This form is
A: When you are in arrears with a credit agreement, the In Duplum rule regulates the amount that you are responsible to repay to that creditor. Its aim is to prevent the creditor from demanding an unlimited amount (unlimited interest) of repayment from individuals who have fallen behind on their credit agreement. There are two
A: Creditors have the right to terminate your Debt Review when: Payments are not received according to the payment plan. The amount being negotiated is not accepted. When a counteroffer is not accommodated. In the case of a termination, DebtSafe will apply for reinstatement. The biggest reason we have seen for a creditor to terminate