Debt Consolidation South Africa and Debt Programs and Solutions
It sounds like a dream: living debt-free. But, for many people in South Africa, it is just a fantasy. The reality of our current economic climate and the country’s high unemployment rates means that many families are struggling to make ends meet and keep up with their monthly bills. If you find yourself in this situation, don’t lose hope! There are plenty of options available to help you get out of debt – we’ve outlined some below:
1) Debt Consolidation Loans
These loans allow borrowers to combine multiple debts into one loan at lower interest rates. This can be helpful if you have been turned down by other lenders because your credit rating isn’t good enough or your income is too low to qualify for a loan. Debt consolidation loans Homeowners can also make managing your debt easier as they generally require only one payment each month, making it simpler to keep track of what you owe and when your payments are due. Bear
in mind, however, that these loans can be expensive – they usually have higher interest rates than unsecured personal loans
2) Unsecured Personal Loans
Unsecured personal loans are great for people who have good credit ratings. They allow you to borrow a lump sum of money without having to use an asset as collateral (such as your car or house). If you struggle with debt, this can be particularly helpful because it means that the lender isn’t able to repossess any assets if you fail to make payments on time. Furthermore, unsecured loans usually come with lower interest rates than other forms of borrowing – which will save you money in the long term!
3) Debt Management Plans
These plans are suitable for people who have multiple debts and limited income. They allow you to consolidate all of your debt into one monthly repayment plan, with the aim being that by making only one payment each month, it will be easier to keep track of your finances. Bear in mind though that these plans usually come with very high-interest rates – which can actually increase how much money you owe over time! So if possible, look at other options first before considering a debt management plan as an option.
4) Debt Relief Order (DRO)
If you have no assets and your debt is less than a certain amount then a DRO might be an option for you. This is a legal agreement between yourself and your creditors which means they will temporarily stop contacting you to chase payments on the debts included in the order. It can last up to five years – but once it expires, all of your outstanding debts come back onto the table again! So if possible, try to pay off as much money as possible before applying for one of these orders because this essentially resets everything back to zero.
In addition to taking out loans or making use of debt consolidation plans/debt relief orders- there are some other that individuals can take:
– Make use of a budget planner to help you manage your money more effectively
– Contact creditors directly and try to negotiate interest rates or monthly payments
– Look into whether your debt is eligible for a debt to write off
– Review the repayment option that you have on existing debts and see if it is possible to switch this for a more affordable one
– Make use of social grant schemes such as old-age pension and child support grants if you qualify
Debt consolidation or debt management?
It is important to note the difference between a debt consolidation loan and having your existing debts managed by an external agency. With a debt consolidation loan you will get one single monthly payment from either your bank or credit union which includes all of your old credit card bills, store cards etc., whereas with Debt Management you’ll get help from an independent financial firm who will work hard to reduce the amount of money you owe each month while also reducing how long it takes you to pay off what you owe! Once this process has been completed successfully (which typically occurs over a 24 month period) the amount you owe on your credit card bills will be reduced and your monthly repayments can stop.
Another important point to remember is that with debt management, there are no fees payable unless it is successful in reducing what you owe – whereas some banks do charge a fee for consolidation loans. If you decide to go down this route we suggest speaking directly with one of our Debt Advisors who’ll give advice about which option might work best for YOU!
Real Estate Assist is a debt solutions and financial freedom company that works directly with prospective clients to reduce the amount you owe and ultimately your monthly repayments – we can also assist in arranging debt consolidation loans if that is what YOU decide is best for YOUR situation after a Free consultation with our debt experts.
Through Our debt-free program where you will receive the best debt solutions and debt advice. Debt review and debt counseling are not necessary and only bring temporary results and sometimes more debt and bills but with our debt programs, you will experience lasting financial freedom.
Real Estate Assist has a debt help system that gives people the power to end their financial struggles. In South Africa today, more than 16 million adults are in debt with some having over 20 active accounts – this is where We come in. We have helped successful debt relief to countless people and this number is constantly growing with the help of some very satisfied users.
NCR is a debt help system that was put in place by the government to offer debt solutions. NCR is an acronym for National Consumer Regulator who acts as the intermediary between consumers and creditors, especially credit providers. They provide guidelines on how long you can be offered credit at certain times of your life, such as when you are young or old, working or studying etc…
The purpose of this blog post is to inform people about NCR so they know what it means if their creditor tells them to contact NCR before paying back loans or financing deals with companies like home loan lenders. The article also provides information on different debt solutions South Africans can use while struggling with personal debts.
The NCR pros and cons include:
Pros:
Helps people who are struggling with debt as they will know what to do and where to turn for help.
Sets out a clear set of guidelines on how credit should be offered depending on age, profession, etc… The NCR system tries to protect consumers from being exploited by creditors or debt collectors.
Cons:
Creditors may not always agree with the decisions made by NCR regarding their clients’ accounts so it can cause tension between them. In this case, both parties have the right to go through an appeals process if necessary. However, at the end of the day, NCR’s decisions must be respected because they were put in place for consumer protection purposes only . Consumers also need to realize that they have a responsibility to take care of their finances and not spend more than what they earn.
Debt solution: NCR being one of them, Fill in Our QUICK APP for a Lasting Debt Solution!
These include:
1.Debt counseling service providers
2. Debt Review Companies
3. National Credit Regulator assistance for consumers who need help understanding their rights when it comes to credit providers or creditors. Consumers may also contact the NCR if there are any problems with repayments from credit companies or banks.
4.OmbudService for Banking Services (OSBS) is another option available for bank account holders who want professional advice on how best to manage their accounts and repay debts without too many financial challenges getting in the way
Debt review – is a process by which you may be able to reduce your debt amount. But we don’t recommend debt review or debt counseling or the NCR because many times they don’t produce lasting results and keep people in a debt cycle, connect with us for a lasting debt Solution
To speak to one of our Debt Advisors visit our website and go through the steps! We’ll be happy to help 🙂 and Provide Real Lasting Debt Solutions unlike some debt counseling and debt review services, that make money off returning customers.
Financial Freedom in South Africa is Possible…
