The benefits of debt review
The article discusses the concept of debt review, which is a legal process regulated by the National Credit Act in South Africa that helps individuals struggling with debt to manage their debts effectively. The article highlights the benefits of debt review, such as making affordable monthly payments, protection from legal action, decreasing contractual interest, decreasing credit life insurance, and improving credit score. The article concludes by emphasizing that debt review offers a structured plan to repay debts, protects individuals from legal action, and helps them regain control of their finances.
Debt review is a process that helps individuals who are struggling with debt to manage their debts effectively. It is a legal process that is regulated by the National Credit Act in South Africa. Debt review offers many benefits to individuals who are struggling with debt, such as:
Debt review allows you to make affordable monthly payments. The debt counsellor will negotiate with your creditors on your behalf to reduce your monthly instalments to a more manageable amount.
Debt review protects you from legal action. Once you have applied for debt review, your creditors are not allowed to take legal action against you. This means that they are not allowed to issue summons, repossess your assets or blacklist you.
Debt review helps you to decrease the contractual interest on your accounts thus allowing you to settle your account within the allocated time.
Debt review helps you to decrease your credit life insurance ensuring that most of your monthly goes to settlement of the capital on your outstanding debt.
Debt review helps you to improve your credit score. Once you have completed the debt review process, your credit score will improve. This means that you will be able to access credit in the future at a lower interest rate.
Do I need more advice about my current debt situation?
In summary, debt review offers many benefits to individuals who are struggling with debt. It provides a structured plan to repay your debts, protects you from legal action, and helps you to regain control of your finances.
If you have any questions about debt you currently have, please feel free to reach out to a member of the Libertine Consultants team. We are here to provide you with judgement-free support and advice.
Need advice? We can assist with that too! Submit your inquiry to us via email advisors@libertineconsultants.co.za and we will provide you with sound insights on the best way forward. In the meantime, keep an eye on our YouTube channel to get more practical advice on managing the financial stress of the pandemic.
