What is DCASA doing against rogue Debt Counsellors and how to avoid becoming a victim?
The Debt Counsellors Association of South Africa has been working with the NCR and various other stakeholders to curb the abuse seen in some Debt Counsellor practices.
- Misleading Advertising, where they state –“We can remove your Debt Review status. Easy loans Debt Review – no problem. We can do the same as your current Debt Counsellor but for a lot less. “
- Comparison sites claiming to be the best. (Remember the Top Debt Counselling Company mentioned on the site is the company that pays for the advert).
As there are still a number of “rogue Debt Counsellors” trading, it has become more important than ever to make sure you are dealing with a “Good/Reputable” Debt Counsellor.
Things to look out for as red flags:
- A debt Counsellor claiming that they will be able to do the same job for less.
- There are set guidelines that all Debt Counsellors must work with so the repayments you make via any Debt Counsellor should be about the same based on your affordability.
2. They claim they can remove/exit you from Debt Review. (Note this is after you have already been declared over indebted).
- You can only be removed from Debt Review once you have settled all your debts (with the exception of your Bond).
- A court determines that you are no longer over indebted.
- You are approved for a full consolidation loan to clear all your debt.
- DO YOUR OWN RESEARCH!!
- Go to hellopeter.com, type in the Debt Counselling company name and look at the reviews. (This is the best guide in my opinion)
- How long has the company been established?
- Do they have the infrastructure needed to deal with your Debt Review?
Remember, this is your livelihood and YOUR MONEY so make sure you do the research and you should be able to avoid becoming a victim to these people.
All the best from the Debt Therapy team
