OUR DEBT COUNSELLING PRODUCTS

DEBT REVIEW / DEBT COUNSELLING

When debt becomes too much to handle, turn to debt review. Debt review will enable you to pay one affordable installment for all of your debt. Debt review and debt counselling helps you to get out of financial difficulty by making provisions allowing you to make reasonable monthly payments that you can afford. You will also no longer have to deal with creditors as a debt review company will handle this on your behalf.

Debt review allows you to avoid the long term effects of financial difficulty caused by missing debt payments that you cannot afford to make. Interest rates of creditors are renegotiated to a lower rate which will enable the person under debt review to handle the payments by paying out less money when it comes to the interest rates. Interest rates often push up the repayment amount to the point where it becomes difficult to pay the amount back.

At Credit Rehab when you are under debt review you will be in a position to determine the repayment period as well as the amount that you will repay each month. Debt review counsellors have the knowledge and the skill to draw up an easy to follow budget that will enable you to meet the required monthly payments.

RECKLESS CREDIT INVESTIGATIONS & APPLICATIONS

Occasionally credit providers are so keen to give out credit that they do not do so responsibly and instead they give out huge amounts of credit to those who really cannot afford to pay the money back. This leads to people being unable to make the monthly repayments and this in turn leads to them needing debt counselling in order to pay back the money that they owe to creditors. When a credit provider has not done the correct assessments with regards to the consumer that they are providing credit to or they have not ensured that the consumer is fully aware of the implications surrounding the granting of credit and implications surrounding the entering into a credit agreement, then the credit provider has been reckless in their supplying of credit.

If it is identified that the credit was provided recklessly then a court might declare that the obligations of the consumer be to a certain degree set aside or the agreement could be suspended, depending on the circumstances. A debt counsellor will be able to assess whether or not credit was recklessly provided. From there further steps can be taken should it be decided that the credit was recklessly given. Credit providers have the responsibility to ensure that the credit they give is only approved for those who will be able to pay back the money that they will owe.

We will approach the court on your behalf to declare that the debt was given recklessly, should our assessments prove that the credit given to you was recklessly approved and has contributed to you being unable to make the repayments.

VOLUNTARY DISTRIBUTION

Voluntary distribution has been around for longer than debt review. Rather than being assisted by a debt review company, you will be given assistance from a debt attorney. Your monthly budget is reviewed and your monthly living expenses are removed from the overall budget. The left over amount is divided among your creditors after a debt attorney has drawn up a reasonable budget.

The amounts that are intended to go to your creditors each month will be sent to them and regardless of whether they agree with the amount or not, this is the amount that they will receive each month. Each month proof of payment will be kept by the debt attorney/law firm, in your file, to prove that the amount for the month has been paid. The payments will be made via a trust fund and you will be offered legal representation.

Your debt attorney will speak to creditors on your behalf and they do the negotiating. This legal representation will take the stress off of your mind so that you can rest assured knowing that your debt is being handled. It will divide your money in such a way that all of your creditors will receive a payment each month so even if it takes a few years to pay off the amount you can be sure that each creditor will be paid monthly. We also help with debt relief counselling.

DEBT CLEARANCE

Debt clearance comes at the end of your repayments. When your debt repayment which has gone under debt review is completed you will be issued with a certificate stating that you have completed the repayment and the processes. This means that you will now be able to apply for credit once more although this should be done with caution in order to prevent getting yourself back into the same situation. The debt will need to have been lawfully paid off and it will need to have been paid off in full.

Debt clearance will assist you in getting your life back on track after having to approach a debt counselling company. It will enable you to take control of your finances once more.

An administration order is the last thing that you want to have to deal with when it comes to debt. An administration order is a court order which is requested by creditors. The issued court order makes provision for an administrator to handle the “winding up” of a debtors estate in order to settle outstanding debts or to “wind up” a business in order to cover the money owed to debtors. This can be set aside with the assistance of a debt review counsellor depending on the circumstances surrounding the court order.  If you are placed under administration it will be difficult to get your finances back under your own control as it is issued by a court. A debt counsellor can apply for your court ordered administration order to be set aside.

DEBT ADVICE AND LEGAL ADVICE REGARDING DEBT

Getting the correct advice when it comes to debt could mean the difference between successfully overcoming those events and factors that have led to you or your business becoming stuck it a difficult financial situation and losing everything due to the debt that you owe. Debt advice is there to help you to spend credit wisely and also to get yourself out of debt as soon as possible without suffering from too many of the problems that are associated with being trapped in debt. Before going down that slippery slope towards serious problems it would be best to seek out debt advice. A debt attorney is possibly the best person to approach when you are looking for advice as they know the laws which surround debt and debt management as well as the ways in which creditors operate. Knowing the law is sometimes the best way in which to equip yourself with the necessary information to assist you in overcoming a debt crisis.

Our debt review agency has a practicing attorney who is knowledgeable when it comes to the National Credit Act as well as the regulations which surround the Act. They also know the all about the collection procedures that debt collectors are able to make use of. Some debt review institutions offer free legal advice and can give free debt advice, all within reason. At our firms free advice can be given if a query is submitted via email correspondence, again this advice is within reason.

You don’t have to walk the road of tackling bad debt alone, with the many professionals available to assist you, you can be given many choices when it comes to debt collection.

BUSINESS RESCUE & TURNAROUND

When businesses run into financial trouble, business rescue and business turnaround can be used to get a business back onto its feet and out of financial difficulties. This is designed specifically for companies that need to have their management restructured, are experiencing cash flow problems or need a type of intervention in order to correct their financial problems. Business rescue is suitable for both large businesses and small businesses. For large businesses, business rescue can be expensive due to a number of reasons while in smaller businesses it can be less expensive.

Usually businesses who are in need of business rescue and business turnaround are in some need of debt rehabilitation as it is easy for a business to run into trouble if they have been making lots of debt during financially difficult times or during the setup of the business. Assessments can be done in order to see where changes can be made to lift the company out of financial difficulty. Having someone from the outside look into your business to see where the problems lie usually helps a lot as they have an impartial view point and they are able to see where the problems lie even when you are not willing to see the issue. This is highly beneficial as it will enable them to pinpoint where the problem is before the problem turns into a major issue that leads to the collapse of your business.

Businesses that are too far into trouble and face closure should they not find a solution will usually need to have a turnaround strategy put into place to enable them to remain operational.

SEQUESTRATION

Sequestration must be proven to benefit the creditors before you seek to sequester your estate as this is usually done for their benefit. The creditors can be offered around 15 to 20 cents for each rand that you gain for the sale of your assets or your entire estate. If you are unable to sell assets but you have cash you are able to offer cash in the place of insufficient assets to sell. This is a quick way in which to settle your debt however it should be a last resort as it will mean losing your hard worked for assets. Voluntary sequestration is however one of the best ways in which to regain control over your financial status. If you are deeply in debt and you are not able to meet your monthly payments then it might happen that your creditors decide to apply for your estate to be sequestrated on your behalf.

If you decide to undergo sequestration a notice will be published in your local newspaper and within the Government Gazette. When this notice appears your creditors will no longer be able to bother you with requests for payment. You will be able to buy back some of your items but at the price they have been valued at for the sequestration, and your furniture will not be removed or sold. By taking this route you can rid yourself of up to 80% of your debt.

As a debt clearance method this is a tough but sometimes necessary way in which to rid yourself of the burden of debt. Debt rehabilitation counsellors are skilled ad educated to give you the best advice regarding sequestration.

5.00 avg. rating (97% score) - 2 votes