In this article we want to share the debt review process for you.
The debt counsellor will explain the various steps in more detail to you but below a short summary of what to expect:
You will talk to the debt counsellor or a consultant and complete the application forms with their assistance. The debt counsellor will inform you what documents need to be send to him.
The debt counsellor will assist you drawing up your current budget. This will assist the debt counsellor to assess if you are in fact over indebted. This is a requirement to be placed under debt review.
Once the Form 16 had been signed by yourself (this will be discussed by the debt counsellor) COB’s will be send to all the credit providers. COB is short for Certificate of balance.
The aim is to finalise the negotiation of repayment arrangements with the various credit providers within 60 workings days. In this initial 60 days, no creditor may take any action against you. After the negotiations between the debt counsellor and the various credit providers your application will be approved by the court. This court order will need to adhere to by yourself as well as the credit providers.
When all debt has been cleared, you will be able to be cleared on the credit bureau’s from debt review.
A few notes to keep in mind:
– When you have the interview with the debt counsellor make sure to declare all income and expenses as well as assets and liabilities.
– It is very important to be 100% honest with your debt counsellor. He can only assist you if you work closely together with him.
– Stick to the monthly amount that has been arranged. You can only be protected if you stick to the court order arrangement.
We hope that the above article assisted you in understanding the debt review process a bit better. Contact one of our consultants below for assistance.