How can a debt counselor help?

If you are over-indebted, a debt counsellor can negotiate with your credit providers on your behalf to get lower interest rates and reduced monthly instalments. This makes your debt more manageable and teaches you accountability as your agreement with your debt counsellor can fall away if you miss a payment.

What is the role of a debt Counsellor?

Debt counsellors are responsible for dealing with complex debt situations, helping people to manage their finances and eventually become debt free. Debt counsellors liaise with creditors on behalf of clients, give legal advice and support clients with court proceedings.

Who can make use of a debt Counsellor?

Consumers who are struggling to meet their monthly debt obligations qualify to apply for debt counselling. These consumers should have a distributable income, which will be used to offer reduced payments to their credit providers. Consumers married in community of property must jointly apply for debt counselling. 4.

What is debt Counselling under NCA?

Debt counselling was introduced in the National Credit Act (NCA) in 2007 as a debt relief measure intended to assist over-indebted consumers struggling to keep up with repayment commitments. A registered debt counsellor negotiates reduced repayments on behalf of the consumer, using the consumer’s existing income.

How much does a debt Counsellor earn?

Find out what the average Debt Counsellor salary is Entry level positions start at R 132 000 per year while most experienced workers make up to R 180 000 per year.

Can you change debt Counselors?

A: If you are unhappy with the service your Debt Counsellor is providing, or not providing, you have the option to change and transfer to a Debt Counsellor of your choice.

How do I become a registered debt Counsellor?

To register as a debt counsellor you are required to attend this 3-day training course and pass a written examination on day 4. In addition to this, any individual who wishes to register as a debt counsellor must comply with all the requirements set out in the National Credit Act and Regulations.

How much does a debt advisor earn?

The average debt advisor salary in the United Kingdom is £22,524 per year or £11.55 per hour. Entry level positions start at £20,000 per year while most experienced workers make up to £33,092 per year.

Can an attorney be a debt Counsellor?

A debt counsellor is usually not a lawyer and when legal action is taken they are not in a position to assist. You will need a lawyer for magistrate’s court cases and in the high court – usually regarding a car or house – you will have to make use of an advocate too.

Are debt Counsellors free?

There’s a range of great, free, non-profit debt counselling agencies that will give you one-to-one help if you’re in crisis; and no web guide can come close to that personal service. See the free debt counselling section.

How does a debt collector get paid?

Debt collectors get paid when they recover a delinquent debt. The more they recover, the more they earn. Old debt that is past the statute of limitations or is otherwise deemed uncollectable is bought for pennies on the dollar, potentially making collectors big profits.