The most common question we at Oyisa United Debt Specialists encounter from new clients is the following: “What exactly is Debt Counselling/Debt Review and how will I benefit from your program?”
We have a short answer to this in our FAQ page, but let us elaborate on the answer here on this post.
How does Debt Counselling work?
The first thing that needs to be explained is that Debt Counselling and Debt Review are one and the same thing, and is not to be confused as two completely different processes, no sir their exactly the same!
An individual goes for Debt Counselling, like going to seek advice from a psychologist. If the Debt Counsellor sees that the individual is in need of help, the Debt Review process begins.
Ergo you go to see a psychologist (Debt Counsellor) that evaluates you and decides that you indeed require therapy (Debt Review process).
Debt Counselling is a debt relief service whereby all of your unsecured debts will be combined; and a new reduced monthly installment will be negotiated with your creditors.
For example let’s say you have 5 credit cards, a personal loan and a clothing account amounting to R200, 000.00 in total debt.
The Debt Review program can help you reduce your total monthly debt instalments to an affordable amount so that you can pay your debt off easier and move on with your life.
How can Oyisa United Debt Specialists help?
Say you are already behind on your monthly instalments. For the accounts you are able to pay, you are only paying the bare minimum, which means you are still accumulating interest. Creditors and debt collectors are calling you and sending you threatening letters.
You continue to pay the debt you can, but you’re not able to service the other accounts you’ve been neglecting. There just seems to be no end to your hardships and your debt is just growing.
That’s when you need to admit you need professional help.
Oyisa United Debt Specialists are the right people for the job, who are experienced debt negotiators and legal experts who will negotiate with your creditors on your behalf.
Your accounts will be handled by a Debt Counsellor, Senior Paralegal and debt specialist assistants.
A creditor tends to treat a consumers account differently when they know they must obey all of the laws governing them, the National Credit Act no: 34 of 2005, and an Debt Counsellor & Senior Paralegal is going to be extremely familiar with the laws of your current state, which can definitely give you an advantage.
How much of a reduction will you be able to negotiate for me?
Now here comes the real benefit. Based on our previous experiences over our many years of combined specialist experience; the average reduction in your monthly repayment installment ranges between 40%-60%.
For our example figure, as mentioned above, of R200, 000.00 total outstanding combined debt. And let’s say you’re currently paying a monthly installment of R8, 000.00 on all of your debt, a 40% debt reduction will result in a R3, 200.00 re-negotiated amount.
As in going forward instead of paying R8, 000.00 every month as you have been, you will now be paying R3, 200.00 towards your debt, that’s a R4, 800.00 reduction.
*Important note: Values are for example purposes only. Oyisa United Debt Specialists cannot offer guarantees to the actual negotiated amount. Many legal & financial factors are considered in the responsible debt negotiation process which is based upon the consumer’s profile *
Life-saving tip: Only scams offer guarantees, so beware as there are many out there.
That means you now have available income to get your monthly living expenses back on track, and your debt is getting serviced.
Were you battling to pay for your child’s schooling every month, starving yourself on purchasing minimal groceries just so your debt could be paid?
Not anymore! Suddenly everyday life becomes more manageable, that’s what the Debt Counselling process is all about!
Seriously you can really help me I’m not too far gone?
A good question and the short answer: “Yes we absolutely can!”
We at Oyisa United Debt Specialists pride ourselves on thinking outside the box and climbing into the ring to assist consumers.
It doesn’t matter if you think you are beyond helping and too far gone, there is always an answer, a solution to your problem. That starts by talking to the people that specializes in debt.
Our entire firm’s ethos is based on helping consumers that thought they couldn’t be helped, and many of our clients were those very same like minded souls.
You might ask: “Can’t I just file for personal bankruptcy?” There are a couple of important benefits you might be overlooking by not considering Debt Counselling.
Debt Counselling Prevents Bankruptcy
Firstly bankruptcy should only be YOUR ABSOLUTE LAST OPTION as it will have a severely impact on your financial life for years to come. Getting into a Debt Review program can help you prevent that extreme line of thinking and that’s a fact. As long as you commit yourself to better money management and honor your monthly installment, you’ll look back on the idea of bankruptcy as an immature line of thought at the time.
Like a apple a day it keeps the debt collectors at bay
When you start having unpaid accounts, your creditors normally hand you over to third party collection agencies or debt collectors, who can be very aggressive in their collection pursuits.
With the help of Oyisa United Debt Specialists, you can stop losing sleep over these collection agencies with the knowledge that your debts are being negotiated and your accounts are being handled by specialists.
Nothing can make a debt collector back down faster than a Debt Counsellor can. Debt collectors are wary of Debt Counsellors because they know they can’t threaten and speak to a Debt Counsellor the same way they would a consumer. They also know that a Debt Counsellor is specialized in the National Credit Act and all that is entailed in the credit providing and collection industry.
Meaning they have to be on their best behaviour going forward, or else.
Final Note: Stick with the Good Guys
Many people are wary about getting into a Debt Review program owing to scams and bad experiences that have been reported before, about Debt Counsellors just not doing their jobs, and shamefully there are many out there.
We at OUDS have unfortunately heard many such tales from consumers across the country seeking help and guidance due to these very same experiences.
Like any industry, you get the good and the bad and that’s a matter of fact unfortunately, nobody can can’t deny that. Like a dentist that pulls too many teeth looking for that “one” bad cavity, or an insurance company that refuses to honour a legitimate claim, it’s the same in every industry.
If you think getting into a relationship with the “bad boy” of the neighborhood is going to be different because it’s “you”, well then you’re deluding yourself. And in any toxic relationship there is going to be consequences and lots of tears before it’s through. You can put money on it, yours in fact.
We strongly recommend that you do your homework and research to avoid these costly mistakes.
Look for a reputable Debt Counsellor in your area or close to you. You don’t call a doctor in Johannesburg for a medical diagnosis when you live in East London do you?
So why do the same when it comes to Debt Counselling? You want to be able to physically go and see your Debt Counsellor if there is a problem right? Unless you enjoy being put on hold and talking to a call centre consultant when you call in, who will be a different person every time, then by all means go ahead and sign up with a Debt Counsellor thousands of kilometres away from you.
Have a meeting with the Debt Counsellor, to assess if they are a good fit and if you like what you hear. See if you could trust this person and that their not just telling you what they think you want to hear.
Look into the background of your potential DC choice, do your friends know of them? What’s their online foot print like? Do they seem knowledgeable enough?
Debt Counselling is about getting consumers financial lives rehabilitated and preventing personal bankruptcy — not to lead you into it.
It will be our pleasure to provide you with a FREE Debt Management Audit (free assessment).
And we do mean absolutely free! No obligation required.
Contact us today to take advantage of your free Debt Management Audit.