Pro’s to Debt Review
• You receive the legal protection of a debt restructuring court order that protects your salary and assets
• There is no limit on the total amount of debt
• A house bond and / or car finance can be included. This could save you from losing your house or having
your car repossessed
• Your debt counsellor will negotiate reduced interest rates and installments with your creditors for you
according to your affordability
• Pay one affordable monthly installment for all of your debt
• A custom budget is created for you to ensure sufficient provision has been made for your basic living
expenses that enables you to live comfortably whilst you pay off your debt
• No more harassment from your creditors, by law your creditors must stop all communication with you
• This solution will be typically paid off within 5 years (60 months) provided that a house bond has not
been included
• Immediate relief from your bad debts
• Qualifying individuals can be permanently employed OR self employed
• No upfront legal fees are required
• A Clearance Certificate will be issued once all your debt has been settled, this will be used to remove any
Debt Review flagging from your credit record
Con’s to Debt Review
• Claims where legal action has already commenced cannot be included – provision for these will be made in your monthly budget
• If you default on your repayment plan, for no reason and without prior communication, then your creditors are allowed to terminate the debt review payment arrangement and enforce contractual installments and interest rates so it is vital to stick to your repayment plan
• Once under debt review, you may not obtain any further credit until your debt has been paid in full
• Legal fees are charged in accordance to the law to enable the Debt Counsellor to represent you in court,
negotiate and communicate with your creditors constantly, to process your application and maintain
your file to name a few. These fees are worked into your repayment plan
• Being under Debt Review will reflect on your credit record until all of your has been settled. Once your
debt is settled a clearance certificate will be issued and the fact that you are under Debt Review will no
longer be reflected on your credit record
