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By Helena Wasserman Johannesburg – Using your Master Card to pay your Visa is not an uncommon financial strategy. |
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Debt Counselling Pietermaritzburg and Midlands
Fidelity Debt Counselling Services
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A Little Bit About Us!!
Fidelity Debt Counselling Services is a specialist company formed with the aim to render professional Debt counselling services and to assist consumers with the Debt Review process created under the National Credit Act (NCA). The NCA has now made it possible for a debt counsellor to declare a consumer over-indebted and to propose a scheme to be made an Order of Court, re-arranging a consumer’s financial commitments under their credit agreements.
In our present financial climate of:
- Rising interest rates
- Debt repayments on average constituting over 80% of household income
- Aggressive asset repossessions and bond foreclosures.
FIDELITY DEBT CAN HELP ease your burden, retain your assets and maintain a comfortable lifestyle.
The Debt Counselling Procedure
If a consumer believes that he/she is over-indebted he/she has the right to apply to a debt counsellor to have himself or herself declared over-indebted. This procedure is only in place in respect of credit agreements where the credit provider has not issued Summons. The purpose of debt review is to head off legal action to seek a negotiated settlement and to obtain a court order against the credit providers forcing them to accept a lesser installment and/or to extend the repayment period of the agreements.
The procedure provided for by the Act is as follows:
- You (“the consumer”) apply to us (“the debt counsellor”) to be declared over-indebted.
- Upon receipt of your application and payment of the statutory fee of R50.00, we will give notice to all credit bureaus and to all your creditors that you have applied for a debt review. Thereafter, for a period of 60 business days, and whilst the debt review process is still ongoing, your creditors under your credit agreements may not proceed against you for payment of your instalments or repossess any of the assets under the credit agreements such as your house, car or furniture. You may however not incur further credit during this period.
- You will be required to complete a statutory form at our offices setting out all your financial information. We will verify this information with your creditors.
- Should we find that you are over-indebted, we will attempt to reach settlement with your creditors on reduced instalments, interest and capital. Should this fail, we will ask the Court to make our proposal an Order of Court. Such Order will reduce instalments and extend the period of your credit agreements.
- As long as you honour your obligations under the debt review program, your creditors have no recourse against you or your assets.
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Once your debt has been paid in full, we will issue you with a clearance certificate confirming that your debt review program has been completed and that you are Debt free.
DO NOT DELAY!