Debt Review Johannesburg – The Process
How Debt-911’s Debt Review Process Works.
Our debt review process begins with debt stressed consumers filling out and submitting a form together with comprehensive details of all their credit agreements, following which one of our trained debt counselors will assess whether the applicant is indeed over-indebted and whether lenders were negligent in extending credit to the applicant.
Debt-911 will then inform the client’s creditors and credit bureaus in writing of a client’s application to enter the debt review process and will request a certificate of balance – a certified notice of the balance of a consumer’s account on a specific date with accrued interest and charges. Creditors are expected to respond within 5 working days enabling your counselor to make an assessment as to whether a client is over indebted or not.
Debt-911 will compile and interim debt repayment plan and submit this to a registered payment distribution agency, enabling the client to continue to make payments throughout the process.
Debt Review Affords consumers Legal Protection from Creditors
Over-indebted consumers under debt review are protected from legal action taken by their creditors during the initial 60 day period from the date of their application affording our team in consultation with the customer to renegotiate repayment agreements.
Should our counselors establish that a client is indeed over indebted, and legally qualify for debt counselling, we are obliged to follow a certain procedure informing your creditors and credit bureaus to ensure relief to a consumer.
Debt-911 will then draw up a debt prepayment plan based on what a consumer can realistically afford then submit this to their creditors. Once negotiations have been concluded, we will then within 60 days, obtain a consent order from a magistrate’s court. Magistrates will only approve realistic repayment proposals and don’t always afford the counselor and client the opportunity to resubmit a more realist proposal.
Once a payment plan has been approved, your monthly payments will be chanelled via a payment distribution agency who will provide you with monthly statements and will also attend to queries from either party.
Once all debts have been paid, Debt-911 will inform credit bureaus and will issue clients with a clearance certificate. Clients emerge both debt free and with a clear credit record.