South Africa’s debt counselling magazine
August 2014 www.debtfreedigi.co.za
WHAT IS DEBT REVIEW?
Debtfree asked Debt Counsellor Tania Dekker of Armani Debt to help explain the debt review process. Debt review is your first step to financial freedom! Do you battle to sleep at night stressing about how the month end bills are going to be paid? Can you afford your normal day to day living expenses? Do you come up with excuses if the creditors phone you for their money? Does your financial situation causes unnecessary stress at your workplace, which has a direct influence on your work performance? If you have answered yes to any of the questions above, the debt review process is for you!! Debt review is a process where Debt Counsellors assess your entire financial situation. A new budget is calculated and the Debt Counsellor calculates the amount of money needed to pay your creditors. Once you have applied, the Debt Counsellor renegotiates lower instalments with your creditors in
order for you to have more money on a monthly basis to pay for essential living expenses. In many cases you can save up to 50% on your monthly debt repayment amount. This is a formal process and a granted court order is obtained to protect you from legal action that creditors might take against you. Having financial stress has a negative impact on you and your family. The debt review process deals with over-indebted consumers, battling to meet their monthly financial obligations. Debt review became active under the National Credit Act in 2007, specifically to assist consumers with repayment of their debts. There is no reason to feel ashamed to apply for debt review. You are one of the few that realized you need assistance and professional guidance to become debt-free!! Don’t delay, act today!
CONTENTS NEWS
AFRICAN BANK’S FALL FROM GLORY
DEBT COUNSELLOR PROFILE
DTI DRAFT REGULATIONS
PDASA SPEAK OUT ABOUT THE DRAFT REGULATIONS
DEBT REVIEW AWARDS WINNERS
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EDITOR’S NOTE If you are going through tough financial times you know how rough it can be when you suddenly find yourself ‘out of pocket’ with the sharks circling. Well, that is how African Bank feels this month after it’s ignominious crash into curatorship. We all have this image of the banks as very secure pillars of society and this month that image has, once again, been shown to be a lie as African Bank shares dropped to almost nothing over night. It gives you a clearer picture on how fragile the banking system really is and why they are so desperate to collect the money they loaned you. We have an in-depth look at what happened and what has since happened as two industry parties have got into a bit of a tussle over the matter with all sorts of accusations and threats flying back and forth. This month we take a look at the crucial matter of the Draft Regulations as put out by the DTI in regard to the National Credit Amendment Act. Consumers and industry parties have only a short window of opportunity to influence what is and isn’t included in the regulations and that window is closing. Some red flags have been raised and we look at what has some parties concerned and if the current drafting of the regulations could mean the end of PDAs entirely if not amended. As the matter with African Bank has shown it can take you years to get into financial trouble.
You can make bad decisions that take years before they come back to haunt you. When matters then come to a head, what matters is how you deal with the situation. If you are facing tough financial times then be assured you do have options and debt review is one of those options. Be sure to read the article about what it is and how it can help you, right at the front of the magazine. This issue we also look at some of the risks in trying to help consumers by running a Debt Counselling business and how to mitigate them. We interview a Debt Counsellor and ask them what it is like being a DC and ask them about another challenge of being a DC: where they find new clients each month. You may have it tough but... you probably don’t have it ‘African Bank- lose 8 Billion rand in 3 days’ tough. So... remember you are not alone and keep reducing your costs, keep shopping smart, keep paying your debts slowly but surely and keep on heading toward the goal of being debt free. You’ll probably beat African Bank to it.
“ It always seems impossible until it is done” - Nelson Mandela Specialist Attorneys dealing with Debt Review matters Magistrates Court and High Court Matters
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DRAFT REGULATIONS FOR THE NCAA
The DTI have released new draft regulations based on the National Credit Amendment Act for comment. They have asked consumers, industry and other interest parties to comment within a 30 day window. See more in this issue about the draft regulations
and stuck back telling the founder who is a Debt Counsellor to retract the statement or things could get ugly. TheDCI have refused to do so. See more in this issue about that.
SUMMARY JUDGEMENT REFUSED BASED ON LOST DOCUMENTS
Recently the Gauteng High Court has refused to grant ABSA summary judgment against consumers (under debt review) based on AFRICAN BANK SHARES documents that were ‘lost’ in a fire they claim PLUMMET IN VALUE happened a while back. While in the past Following two big announcements (one about courts have granted summary judgment ABIL’s poor projections of future earnings and based on ‘similar’ documents (not signed but the second about the CEO’s sudden departure) the same types of documents from that time) it shareholders began a giant sell off of shares in seems that if a reasonable defence is made and African Bank (ABIL). Shares which had not too the documents are not available (fire or not) long ago been at R40 dropped over 3 days to then the matter must go to a proper full court only 31 cents. The reserve Bank had to step in hearing in the future and that the Gauteng and trading in the shares was stopped as the court won’t just be handing ABSA summary bank was put into curatorship. See more about judgments. that in this issue.
NCR AND THEDCI GET INTO MEDIA FIGHT
In the wake of the recent African Bank debacle theDCI released a press statement saying the NCR should have acted sooner based on concerns raised by Debt Counsellors for years about probable reckless lending at the creditor. The NCR did not take kindly to the press release
ABSA VS MRS OBERHOLSTER
60 year old Mrs Oberholster was under debt review when ABSA and their agents had her sequestrated (using the debt review as the reason). Not happy, she has taken the matter to the Constitutional Court. Ignoring that entirely ABSA’s agents went to her home (while she was sick in bed) en mass with all sorts of people and started going through her stuff and trying
South Africa’s largest Debt Counsellors
NEWS CONT. to remove it (without proper legal permission). For daily industry and debt newss visit www. The matter has reach the press’s attention debtfreedigi.co.za. We will give you the latest and now ABSA”s agents are apologising and news in 3 minutes or less so you can keep up. trying to make amends. The NCAA2014 settles the matter but is not in effect yet. It says debt review is not an act of insolvency.
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AFRICAN BANK’S FALL FROM GLORY
African Bank - What happened? Just 18 months ago African Bank shares were worth R40. There was a boom in unsecured lending happening and all was hunky dory...or was it? Even in the midst of the unsecured lending boom African Bank projected that they were in for a big loss. A big part of that was when the big drive they had done to source lending via Ellerines had started to backfire on them. So they began unsuccessfully to try sell Ellerines. Investors did not seem to mind too much though (even though Investec had sold off their +- 25% shares in ABIL). African Bank had run out and got additional investment and this had helped balance the books temporarily. The NCR had come calling when they learned of reckless lending happening out of an African Bank branch in KZN. They threatened a big fine of R300 million for the +- 700 consumers matters that they themselves were already concerned about and had inadvertently let the NCR know about.
What can happen though is that the person helping fill in the forms asking for credit can accept (or fill in ) ridiculous figures such as R300 for household expenses or R10 for transport for the month thus making it seem as if the person has available funds to get the credit. This is bad for the creditor since they will probably not get funds back from the consumer however some credit granting staff are incentivised and sell on commission and thus don’t mind blurring the lines to get the deal done. NOTE: Credit Providers have to check the info provided and thus they cannot simply say the consumer lied to us and we believed them. Agents of theirs also have to apply their minds to figures provided. They even have to draw credit reports and bank statements and other such proof of claims made by consumers.
Did the R300 million fine make African Bank change its business model? Well, African Bank negotiated with the NCR and had the fine reduced. By how much? By an amazing R280 million. They ended up paying R20 million and sorting out the consumers effected and sorting out the branch in KZN where the problem had happened. At the time What is Reckless lending? While this is a broad term that can cover it was assumed that that was were the matter many things such as incorrectly completed ended but recently in an interview on Radio702 documents, illegal terms and conditions or the NCR’s Lesiba Mashaba revealed that the even a consumer not understanding the NCR had investigated much more than just the language of a form filled in, at it’s core reckless KZN Dundee branch. They had investigated credit is when a creditor gives a consumer African Bank as a whole. credit they probably can’t repay. Each creditor prior to granting credit has to do a check to What happened? see if a consumer can afford the credit. Some In August 2014 African Bank let its investors creditors are strict while others are very, very know that they were not making a profit. In lenient. For example recently Wonga got into fact one of their companies Ellerines was really trouble for not verifying peoples salary claims. dragging them down and people simply were
and the PIC. The package amounts to around a whopping R10 Billion. The curator has now also announced that they have written down the value of unit trusts held by R700 Million (about 10%). This has hit the money market and various banks (such as ABSA) have seen a drop as a result. There is a lot of fall out at ABSA about this since they were the most exposed of the banks and funds (+-3%). Ellerines is under business rescue (all the best with that) Then in a double whammy co founder and long and they will soon be trying to save a small time CEO Leon Kirkinis suddenly announced portion while sacrificing everything else. At he was leaving. He had previously said he was present they have over 1000 stores and 6000 leaving in about 2 years time but now had employees who are in for a tough time. decided to leave immediately. The NCR announced that they were happy People freaked out. If he was leaving so with the steps taken saying: suddenly after the announcement about the The National Credit Regulator (NCR) welcomes bank needing to go out and find about 8 Billion the measures announced by the South African in investment to keep running they were Reserve Bank (SARB) with regards to African worried something was terribly wrong and so Bank Limited which bring added stability to they began to sell shares. As more and more the South African credit market. people sold shares the value dropped more and more. Eventually over 3 days the share The NCR has for some time engaged African price dropped down to only +- 31 cents. This Bank due to concerns about their lending meant that the Bank was almost valueless. At practices and their impact on consumers. We this point the Reserve Bank stepped in to try investigated the bank last year for reckless save the day. They appointed a Curator (Mr lending and entered into a settlement Tom Winterboer) to help try rescue the sinking agreement in terms of which the bank paid R20-million. ship. not paying back the credit they had given them. In fact they projected that they would loose Billions of Rands and needed to get about R8.5 Billion in again to help out. This got investors unhappy since this was now the second time in recent history that the bank was going to be losing Billions of Rand and their investments were under pressure. People began to look elsewhere to put their money.
The NCR has in 2011 expressed concern about the sustained growth in unsecured lending in What the curator has done to save the day While we may see future job loses at African an environment where many consumers had Bank this is not immediately on the cards impaired credit records. Unsecured lending (but just wait). The main steps to date have has been declining since the latter part of 2012. been: Stopping trade in their shares, asking consumers to carry on paying their African African Bank’s recent growth in impairments Bank loans and arranging a rescue package and bad debts went a lot further than expected. from many of the other big banks, Investec Consumer over-indebtedness is not only
caused by reckless lending and borrowing, but also micro and macro economic factors that have a direct impact on the debt repayment capacity of consumers, some of which occur after the granting of credit.
amounted to a slap on the wrist,” she said.
“Over the past few years, Debt counsellors have lodged thousands of complaints, many relating to reckless lending and breach’s against the NCA against the country’s major The NCR has been and continues to work credit providers, including African Bank. These closely with the SARB in ensuring sound and complaints have repeatedly been sent to the fair lending practices across the full spectrum Regulator who has chosen to ignore them and of banks providing credit. The NCR will engage the plight of desperate consumers.” the Curator of African Bank in an effort to ensure that the bank continues to serve its clients in a “We are calling on the government to launch manner which is fair and equitable in terms of a high level investigation into the office of the NCR to establish exactly why the regulator is the National Credit Act. not doing its job properly,” Solomon said. As announced by the SARB, African Bank remains open for business. Consumers should “Sadly, in the midst of the illegal activity by act responsibly and continue paying off their credit providers, the consumer credit crisis and this bubble that has burst at African Bank, loans. the NCR has remained the silent spectator as millions of consumers are financially ruined The NCR vs. theDCI In the wake of African Bank’s fall into curatorship and their lives devastated. Reckless lending theDCI ( a information portal about debt and is having a devastating effect on millions of consumers and in the worst heart breaking debt review) made the following statement: cases has led to suicides, leaving families destitute and without their bread winners,” [Excerpt} “South Africa’s National Credit Regulator must Solomon said. be taken to task for its failure to properly investigate African Bank for its reckless lending “The National Credit Regulator is an accessory practices that have left the bank with an R8.5 to the devastation that has occurred for millions of consumers as their only function billion financial gap... has only ever been to enforce and uphold the Solomon said debt counsellors had now National Credit Act, both of which they have received reliable information showing that the sadly failed.” regulator had “seriously erred” in not launching a full-scale investigation into the lending Solomon said it appeared that African Bank practices of the bank’s 630 branches around relied on continued cash injections for its the country at the time. “The reduction of the survival, which is exactly how a pyramid proposed R300 million fine of African Bank to scheme survives. “Is African Bank’s business just R20 million was also not acceptable and model perhaps relying on a pyramid scheme
where it requires repeated loans for new investors to sustain itself? What will happen if the bank does not get more investors this time around? Is African bank still solvent?” We have been stating obvious facts in the press for the past two and a half years, it’s sad for our entire economy and millions of affected consumers that our warnings were not taken seriously. Looking at facts, it’s time for the Regulator to now be held accountable,” Solomon said.
is advanced in the statement to substantiate this argument. Consumer over-indebtedness is not only caused by reckless lending, but also micro and macro-economic factors that have a direct impact on the debt repayment capacity of consumers, some of which occur after the granting of credit.
Ms Solomon’s view that the fine agreed to between the NCR and African Bank ‘is a slap on the wrist’ without providing any basis for this view in relation to that investigation is totally irresponsible and demeaning to the NCR. The NCR were not impressed and immediately She is not privy to the factors which the NCR issued a statement in which they seemed considered when agreeing to the settlement in to treaten theDCI founder with losing her relation to that investigation. registration to practice as a Debt Counsellor if she did not retract her statement. They hold The NCR has not remained a silent spectator that reckless lending alone cannot be blamed as millions of consumers are financially ruined for what happened at African Bank and that and their lives devastated. It has conducted many reckless lending investigations which they did investigate and fine them. have resulted in enforcement action being taken against the credit providers. These [Excerpt] RESPONSE TO MEDIA STATEMENT BY Ms investigations have also emanated from the pro-active country-wide investigations which DEBORAH SOLOMON the NCR has conducted. Many of these matters The NCR is extremely disappointed with Ms were finalised through the National Consumer Deborah Solomon’s disparaging comments Tribunal with the registration of some credit about the NCR in her media statement entitled providers being cancelled. “NCR sleeps as African Bank consumers crash and burn”, which has been issued to the In addition, the NCR has developed industrymedia. In the statement, Ms Solomon makes wide affordability assessment rules for credit several accusations against the NCR which are providers to use when conducting affordability assessments on credit applicants which have unfounded, baseless and without substance. now been published as draft regulations by the The entire gist of Ms Solomon’s argument Department of Trade and Industry for public seems to be that the problems that African Bank comment. has now were caused only by reckless lending and the NCR’s failure to investigate such Ms Solomon’s media statement has brought reckless lending. Unfortunately no evidence the NCR into disrepute and is a serious breach
of her conditions of registration as a debt counsellor. The NCR takes strong exception to this statement and implores her to desist from issuing public statements that are calculated to bring the NCR into disrepute. The NCR has instructed Ms Solomon to withdraw her media statement by close of business today. Issued by the National Credit Regulator Debt Counsellor Support TheDCI is often identified with Debt Counsellors who choose not to belong to one association or another (many forum members do however belong to associations) and has acted as a voice for these unaligned DCs over time. In the current conflict with the NCR theDCI has received a lot of support from the forums members who agree that they have been telling the NCR about Reckless lending at African Bank for years. The 3 big DC associations have not been very vocal during this conflict. One has unofficially said they don’t support the statements made by theDCI’s founder, while another has said they don’t like the tone of the NCRs reply which seems to threaten all DCs if they voice an opinion contrary to that of the NCR. The other association has not made a statement as yet. Most Debt Counsellors agree though that they do see matters which might be reckless from creditors on a regular basis. However investigating and litigating these matters has been time consuming and often to the detriment of consumer’s debt review as a whole. Changes to the NCA will now hopefully make this process speedier and more affordable for consumers.
theDCI refuse to retract statement TheDCI then sent a legal letter to the NCR saying that they will not retract the statements made but were willing to publish a clarification if the NCR were to provide them with more info on the settlement with African Bank as to why R20 Million was a resonable reduction in the fine and not a “slap on the wrist”. TheDCI have ben outspoken in the media about a credit buble and about how Debt Counsellors have to turn to the NCR to report matters they find amiss in dealing with debt review matters. At the that time the DA (political party) began to call for an investigation into the NCR’s actions surrounding these events and asked that the NCR to present info to Parliament about concerns raised in the press releases. The DA were successful in having the NCR brought to Parliament to speak before the portfolio committee for Trade and Industry during August 2014. However they hardly got to ask any questions as the matter was labelled too sensitive and provocative to really investigate by the chairperson and the hearing rather switched to a session of complimenting the NCR for all their recent hard work. New Regulations set to reduce the incidence of reckless lending The DTI have now published draft regulations which set out further details on how credit providers must conduct the obligatory affordability assessments with consumers looking for credit. It is hoped that these regulations will help guide creditors to perform better assessments to help them avoid overburdening consumers and exposing themselves to non performing loans (such as African Bank have had to try deal with).
DEBT COUNSELLOR PROFILE
TANIA DEKKER How long have you been a DC? I have been in operation since 2009 – so this will be my fifth year. What did you do before becoming a DC? I use to be the national sales admin manager at Barloworld. Thereafter we moved to KZN and opened ARMANI DAY SPA. I did the debt counselling course while in KZN and later when we moved back to Johannesburg, I became a full time Debt Counsellor. Why did you become a DC? The truth!!! One of my husband’s best friends became a Debt Counsellor and he told my hubby one day that his wife (me!) will be an excellent Debt Counsellor. My hubby laughed and made a big joke saying that his wife can’t even balance her own budget – let alone anybody else’s. Well-well! Game on!!! I became a Debt Counsellor, learned everything to know about budgeting and love every minute! What area (of SA) do you practice in? We have a small business operating in Benoni – East Rand - Gauteng What makes your business a success? We have a passion for people and I have been there once myself. We treat each person with the necessary dignity and respect and set their mind at ease the minute they walk through our
What is the biggest challenge facing your consumers at the moment? Debt Counsellors that abuse the system. The consumer looses faith in the system due to stories they hear about DC’s not acting according to the NCA. Those of us that are Where do you find new business? We have tried everything! (Mail-shots, online really trying to make a living out of this, battle marketing, flyers, newspaper, doctor’s room to get the consumers to have faith in us and and gym TV ads, and Facebook). Most of our the process again! clients come from word-of-mouth from our other happy clients. What advice do you have for consumers Who are your most co-operative and least co- under debt review? Please pay every month. The credit providers operative credit provider at the moment? Most co-operative: the Easton Berry Group and are getting stricter by the day and rightly terminate if no payments are made. The least co-operative, without fail, ABSA!!!! consumer must remember that they cannot What is the biggest challenge facing Debt default on payment whilst under debt review, and should they for whatever reason are Counsellors at the moment? Credit providers are not lenient enough. The unable to pay for a month, that payment must debt review process is tricky, especially when be made up soon thereafter. we redo proposals. We might have sent a proposal to a credit provider, which they accepted but if we have to redo a proposal at a later stage due to changed circumstances we can often not get that exact amount distributed to the creditors again. There might only be a slight difference (in most scenarios we pay more than what was originally allocated), but they still terminate. We also have issues with the NCR not responding quick enough if we lodged a formal complaint against a credit provider which often leads to unnecessary Tel: 011 849 3654 / 7659 terminations and upset clients. doors. We have no issue to travel to the client if they battle with transport. We often even do a consultation with a client at a local coffee shop.
www.armanigroup.co.za
DTI DRAFT REGULATIONS
On the 30th of July 2014 the DTI released a new set of draft regulations to do with the National Credit Amendment Act 2014 (NCAA2014) for comment. The draft regulations set out a few refined definitions and change a few phrases here and there in the previous regulations. The Draft regulations have a lot of info in about the NCT and the forms used in various matters. In total the draft regulations amount to more than 200 pages of excitement or boredom depending on how much each section will effect you. In an effort to let you know what is in the regulations we look at one or two highlights Payment Distribution Agents Now that PDAs are included in the NCAA2014 as an option for consumer to use the DTI feel it is important to set out how a person (or company) must apply to be a PDA, how much they must pay each year (R100 000) to be a PDA and who can be a PDA (ie. BEE compliant, have insurance, a computer program, be registered with SARS, not a criminal with a dodgy financial past, must have a trust account, etc). There is reference made to obligatory training for PDA staff via a NCR accredited trainer that would have to be undertaken within 6 months. It is clearly stated that a Debt Counsellor must not collect or distribute funds for a consumer. Interestingly a Debt Counsellor can apply to be a PDA but must keep the two businesses very separate. The PDA and DC practice would have to have different managers and they (as a PDA) would not be allowed to distribute funds for their own debt review consumers (only other DCs)
A new set of PDA fees (including VAT) which come in at R2 a transaction for a payment up to R200 or R3 for payments of up to R500 or R5 for larger payments has been proposed. This has met with resistance from the various PDAs who are concerned that these prices will put them out of business. This would be a difficult situation for many DCs who would then not be allowed to help distribute funds or accept any payments (many DCs conditions of registration say they can only get paid via a PDA). ADRAS Information on Alternative Dispute Resolution Agents is very skimpy in the draft regulations (and in the NCA itself). All we know is they are not allowed to offer debt review services but can help if you have a dispute about one of your accounts with a credit provider. Debt Counsellors are quick to point out that owing a credit provider money and not being able to pay on time is not a dispute (that is a debt review matter)
Registration as an ADRA will cost you R50 000 and then another R50 000 a year to help sort out disputes over accounts. No information is set out about what ADRAs can charge. While a list of required training is set out for CPs, PDAs and DCs nothing is mentioned about ADRAs Affordability Assessments Credit Providers must take ‘practicable’ steps to ensure the facts a consumer supplies and ask for documentation etc when deciding to grant a consumer credit or not.
NCT There are lots and lots of new documents for use at the National Credit Tribunal including forms to use when a credit provider doesn’t supply you with a statement or CoB or if you disagree with what you see on a statement. For example, if you have a debt review in place and the creditor doesn’t send you a statement or if they have the wrong info on that statement you can go to the NCT for help.
It seems like the DTI are in for a pile of submissions from all over the industry in an effort to get and give clarity on various aspects of the industry. What they then do with those The DTI also want to see that if a consumer proposals/comments remains to be seen. New borrows fund from one creditor to pay another regulations don’t come around everyday and it form of credit that the creditor take steps to is vital that all involved take some time to make check if this is done. This might be a reference comments. to so called “consolidation loans”. Reporting Defaults & paid up debts It seems that creditors will only be able to make a negative listing on a credit bureau after 3 months and after warning the consumer they will do so. If a consumer pays up the capital amount on a judgement then a creditor must remove any info on that judgement from the bureaus.
You can down load the Draft regulations here:
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PDASA SPEAK OUT ABOUT THE DRAFT REGULATIONS With regard to the proposed PDA fees in the draft National Credit Act Regulations, the PDA Association of South Africa (PDASA) makes the following comment: PDASA is currently in discussion with both the NCR and the DTI regarding the proposed fees and it is sincerely hoped that a common understanding and agreement is reached. Pity that there was no consultation with the PDA’s prior to the draft regulations, especially since the PDA’s have collected and distributed R14.7 billion to Credit Providers since May 2008.
PDA’s as things stand are enormous and their closure could create a very serious situation for Industry in respect of the PDA and payments systems, as well as the withdrawal of all the available Debt Counselling systems and software provided and funded by the PDA’s.
The proposed fee, based on the cost of a Credit Provider distribution, does not recognise the cost of a collection from the Consumer or the The proposed fees, in their current form, are costs of any of the other systems and services. uninformed and could lead to the immediate demise of the PDA’s for the following reasons: The fees per distribution were changed by the NCR in February 2011 to a fee per Debt Review The fees are below the very basic transaction plan in order to accommodate the DCRS system costs that the banks themselves charge to the because that system could not accommodate PDA’s to process their transactions, without tiered pricing (and still can’t). The alternative making provision for any of the other services would be to close the DCRS. So in effect, tiered that the PDA’s provide to Industry in order to pricing just couldn’t work practically. meet the minimum Service Level Agreements required by the NCR. At the inception of The proposed fees start with a distribution the PDA’s, it was envisaged that the Credit between R100 and R200. Either it is assumed Providers would pay the PDA costs (which that this was an oversight, or that there will would have been the case if they had collected never be distributions between R1 and R100 or their own debt!). The projected losses for the that these payments must be made by the PDA
free of charge, even though the actual bank b. The costs here are the development of the cost will be the same to the PDA irrespective of DC system, the integration of the system with the PDA, the support and maintenance thereof the amount distributed. to the Debt Counsellor and most importantly, Stakeholders should be aware of some of the the messaging between the PDA system and costs that a PDA has to bear in order to carry the DC system so that the DC system accurately mirrors the successful payments and payment on it’s business: failures and reversals at the PDA (not to speak of the under and over payments by the 1. Fixed costs: a. IT development and support of the PDA Consumer and the apportioning of plans under system (which has huge complexity especially those circumstances). when integrated with Debt Counsellor 3. Processing Costs: systems). b. IT development and support of the payments a. The costs of collecting funds from a engine. Where the PDA does not develop its Consumer using all the available payment own proprietary payments engine, the PDA channels. In particular, the costs of just two of would pay for the IT development and support these channels are highlighted: of bank Host to Host payments systems in 1. The cost of cash payments. As an example, if a deposit of R5,000 is made to the PDA Trust order to make its collections and payments. c. Staff costs, including finance and marketing. Account in respect of a debt review plan, a 1% d. The provision of a fully staffed Call and bank cash fee will amount to R50 which could Support Centre which is utilised by Debt equate to half the PDA’s income on the plan. Counsellors ( and all their individual staff), 2. Aedo collection costs on average amount to Credit Providers (again, and all their individual a third of the PDA’s income. b. The cost of distributing funds to Credit staff) and Consumers. e. Rental accommodation and infrastructure Providers; additionally the cost of repaying facilities (including regional offices, where this returned funds (unlimited times) because of faulty reference numbers. is a requirement). f. The costs of training, both with regards to the c. The cost of all deposit referencing identifiers at all the major Banks (and even at the tellers of PDA and the Debt Counselling system. g. Other costs such as audit, governance the banks in respect of cash deposits) in order and compliance, human resources services, to identify the pay or and prevent unidentified funds management oversight and so on. 2. Debt Counsellor Software systems: a. While not commonly known, the Debt Counsellor software systems are fully funded and supported by the PDA’s since without a DC software system, it would be difficult for a PDA to function (and vice-versa).
4. Bad Debts: a. PDA’s carry the cost of Consumers’ reversing successful collections after the Credit Providers have been successfully paid, which if one thinks about it, amounts to unjust enrichment. The PDA’s are not successful in the recovery
of these funds, compounded by the fact that the range of non-bank Credit Providers is so widespread that the task is impossible. b. Banks too are loath to repay funds distributed in respect of cards, unsecured debt (and even secured debt, we might add!). c. One can argue that the most practical solution is to discontinue all Debit Order and Naedo collections in order to prevent such reversals. From the explanation above, one can gain some insight into the daunting task that the PDA’s face on a daily basis – their service to the Industry is so critical to the smooth functioning of Debt Review. Two PDA’s have tried their hand at this role, but have failed. All the more reason to support the 3 existing PDA’s! Most important of all, the PDA’s provide a safe and secure payment mechanism thereby instilling a level of confidence and trust that the Consumer’s funds will be properly and professionally handled (without any fear of misappropriation). And, the NCR themselves and their appointed agents, Bowman Gilfillan, audit the PDA’s data and plans covering every single day of the calendar year. Lastly, the PDA’s reporting to the NCR of all the Consumers’ transactions on a monthly basis means that the NCR takes and manages Consumer safety extremely seriously! Prepared by Chris van der Straaten on behalf of the PDA Association.
the PDA’s provide a safe and secure payment mechanism thereby instilling a level of confidence and trust that the Consumer’s funds will be properly and professionally handled
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011 622 9460 TELEPHONE 0861 112 882 FACSIMILE 086 605 9751 MOBILE 082 449 6856 EMAIL andre@in2insurance.co.za
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CONSUMER
LIVING ON LESS Times are tough and we all need to make our money stretch these days. As the cost of living increases it seems that, come the end of the month, there is always a little less cash left to enjoy life with. The Living on Less is a section of Debtfree DIGI which looks at ways wise consumers can keep their living expenses down and save funds. We also consider ways to still have some fun for less. Living on Less is about spotting a great deal and letting others know. It’s about changing our mind set to reflect the reality that times are tough and we need to get savvy. Sure times are tough but you can still have fun while Living on Less.
MOVIE REVIEW
AT THE MOVIES WITH LEIGH GUARDIANS OF THE GALAXY RATING PG: 13
TIME 125 mins GENRE Drama/romance STARS: Chris Pratt (from Everwood, Parks & Recreation and Moneyball) Zoe Saldana (Avatar & Star Trek) Dave Bautista (WWE/WWF, Riddick) Voices of Vin Diesel & Bradley Cooper
“Watch this if you liked Iron Man & Avengers"
WHAT’S IT ALL ABOUT? Young Peter Quill (Star Lord) is abducted from his life on earth and thrown into a life of a relic hunting and questionable trading. After discovering the “Orb”, he becomes very popular with an evil warmonger, but with the help of some unlikely frenemys (a raccoon, a tree and a green assassin) he can save the Orb from the baddies and keep the whole universe safe. DOES IT NEED TO BE SEEN AT THE CINEMA? This is a great action comedy, lots of fun on the big screen in 3D. The extra cost of a 3D movie is not necessary though and waiting for it on DVD to watch at home with a big bowl of popcorn is cheaper. For those who have discounted movie cards, watching it in 2D will not disappoint.
NEWSLETTER: JUNE 2014
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LETTER FROM A READER Dear Debtfree
The lack of transparency regarding what is going on at the meetings between the NCR and representatives from all the DC Associations is troubling. Why are we (non associated DCs) not informed of the agenda and matters under discussion? When this first came to our notice we asked to be included in these discussions. The NCR informed us that due to lack of space we cannot be included, even though we all will have a say. I asked why these issues (those being discussed at these meetings) are not brought forward at NCR meetings held country wide or sent out via circulars asking for our opinions. The recent email from the NCR that was sent out informing the association representatives that what is discussed is not be disclosed to other (relevant) parties is problematic. We (non associated DCs) should at least receive copies of the agenda and given opportunity to think about and opportunity to comment. Supposedly there are only 750 active DCs. Surely it will not be that difficult to have all of us representing the industry to formalise serious matters. Perhaps via surveys. It has also come to my notice that creditors do not ‘finalise’ COB’s (providing a fixed figure to work with for restructuring purposes) and that some courts have refused to grant debt
review orders because the amount on the COB changes daily. This matter is very serious and all DCs should have the opportunity to discuss this in a public forum. We have a window of opportunity to address this matter in the Regulations that are currently being reviewed. Debt review stands or falls by the COB and if that is not a finalised document(with a fixed amount which can be used for all calculations) no proposed repayment arrangement can be properly drafted. The initial COB should cap the outstanding amount owed. There are many other similar matters that we might not be aware of due to this secrecy in the NIC meetings and it is, in my opinion, not favourable to the industry or consumers.
Concerned DC
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“I believe that SA now has the best consumer debt rehabilitation process in the world...� Ian Wason of DebtBusters
DEBT REVIEW AWARDS WINNERS Debtfree recently helped organise the 2014 Debt Review Awards. Role players from all over the industry and country got to vote and be evaluated by industry panels. One of the night’s big winners was DebtBusters. Debtfree got to speak to Ian Wason about the company and winning an award. and NGO work, I wanted to be a ‘social entrepreneur’, to affect society positively, by creating a business that used innovation to solve social problems, to help people first and foremost, but also to be a profitable and sustainable enterprise. I originally started the business 10 years ago, helping consumers manage their debt, and educate themselves about money management in general. When the NCA came out, the business was perfectly positioned to start a debt counselling arm. Before the NCA was launched I did a road trip round the UK, to visit many of the debt management businesses there. I learnt a huge amount from them as to what worked and what didn’t, but mostly I learnt how not to do debt counselling. I was incredibly shocked at how little they cared for their clients, and how poor their processes where. Hence I decided to build DebtBusters as a ‘values driven’ organisation to Congratulations to DebtBusters who won care about our clients first, and to invest heavily one of the “Big” Debt Review Awards this in systems and processes. I believe that it is year. Can you tell us a bit about DebtBuster’s because of this, that we have avoided many of the mistakes of other debt counsellors by history? Given my background in financial services focusing on working together with the credit Can you tell us a bit about yourself? I am originally from the UK. After graduating in Economics at Bristol University, I spent 3 years at Deloitte in London, where I qualified as a CA. I moved out to SA immediately after this and spent a year doing voluntary work for an NGO helping people set up and manage small businesses, an experience I found hugely rewarding, and I still do a fair amount of voluntary mentorship for young entrepreneurs. It was during this year, that I decided to stay in Cape Town and set up a business here. I live in Higgovale, Cape Town, with my wife and one year old daughter. When I am not at work, I can be found running or cycling on the mountain with my dogs, playing golf, tending to my vegetable garden or cooking. I do travel a lot, so I really like to try and spend as much time with my family as I can when at home.
providers to reduce interest rates so that we can get 100% acceptances for the vast majority of our clients, and hence our clients have an extremely high propensity to repay their debt. The credit providers, particularly the larger banks and retailers have done a huge amount over the last few years to help us get to this point. We also believe that debt counselling is all about transparency and communication. With our clients and credit providers and we pride ourselves on the substantial client services teams that we have built, to enable us to ‘hand-hold’ our clients through the typically 5 years of debt counselling. Tell us a bit about DebtBusters clients/ consumers: Who is applying, Why? Our typical client is the middle to upper income bracket. The average age of the clients are 34 years old and they have over 11 credit agreements each. The most concerning statistic from DebtBusters is that our average client is spending over 100% of their net monthly income on debt repayments when they apply for debt counselling with us. We have assisted over 25,000 clients to date. Do you feel that in the future we will see larger numbers of consumers (in general) apply for debt review? Or do you feel that the numbers we see now (+-10 000 a month) are about as high as we should expect it to go for a while. I have visited a lot of debt management businesses around the world and I can emphatically say that SA has a debt crisis far worse than any other country. Those who compare the debt to income ratio of 78% in SA to the likes of the UK with 135% are missing the point entirely. An enormous proportion of SA consumers’ debt is short term, expensive,
unsecured debt (unlike the UK where it is predominantly mortgage debt with interest rates as low as 1%). It is the short term expensive nature of this debt which is causing so many millions of South Africans to default on their repayments. In my opinion, there are only three ways that a consumer can get financial stability back and manage their debt once they have become over-indebted; firstly sequestration, which is unaffordable and unworkable for the vast majority, secondly, they ‘out earn’ their debt, but with interest rates as high as 60% on short term loans this is impossible, or thirdly, they can apply for debt counselling. Therefore the numbers applying for debt counselling will continue to grow from this 10,000 level, and this will be driven by the tightening of lending by credit providers, either forced on them by market conditions, or by regulations and regulators. I believe that SA now has the best consumer debt rehabilitation process in the world, but unfortunately, the major reason why these numbers of consumers applying for debt counselling has not increased more dramatically is due to the historic reputation of the debt counselling industry. I do not believe that debt counselling has a good reputation. In fact, I think it has a terrible reputation, largely due to its history. With nearly 600,000 consumers having applied for debt counselling over the last 7 years, and only 100,000 (est) of them still paying proves the point. Debt counselling was a completely new industry in 2007, we had the framework of the (well intentioned, but not terribly well written) NCA, and that was about it. Credit Providers frustrated the process, either intentionally, or just due to a lack of systems and personnel. Debt counsellors where underqualified for this critical job, had little regulatory support, no
systems to help them, and of course there were no PDAs (the first PDAs that did eventually start in 2008 where extremely weak and only exacerbated the problems). The casualties of all of this (aside from the nearly 2,000 debt counsellors who have left the industry) were the consumers. The landscape for debt counselling changed completely when the NCR launched the Task Team in 2010, and the introduction of DCRS revolutionised our business. All of a sudden we effectively had mandates from credit providers as to what they would accept, rather than just guesswork that we were forced to use previously. The service the best debt counsellors now offer
clients is a 100 times better than what it was in the early days of debt review, purely because all parties are now working together to make debt counselling work. There are still some smaller credit providers who are still frustrating the process, but the intention from the vast majority is overwhelmingly positive. What are your thoughts on the Awards? I have long thought that the industry needed awards. At DebtBusters we have our quarterly ‘Debtometer’ which could be considered as our awards for credit providers, but we felt we were obviously not independent enough to start an industry awards! I was delighted
trying to negotiate interest rate reductions from credit providers, with some DCs not even bothering, but putting on the original interest rates on the court orders and sending them off to the magistrate. As debt counsellors we have a moral obligation to help our clients, and this You won in the Large Debt Counsellor firm is certainly not helping them. category in the Debt Review Awards. What do you feel that a large DC firm can bring to How has/does the reduction in after care fees consumers that a smaller debt review firm at 24 months (5%-3%) effect you? Do you feel this needs to be looked at or does debt review perhaps can’t? I do believe this that there is a place for get easier after 2 years? both large and small DCs. Although I am not As I alluded to above, debt counselling does not convinced that a medium sized DC is viable. get easier for debt counsellors after their clients As a large DC, we have invested vast amounts have been with them for 24 months. There is on IT, staff training and processes, with 60% of also a huge amount of work to be done at the our staff compliment focused on maintaining end of debt counselling with ensuring all the our book of business through client services. balances are correct. For me this fee reduction is Hence smaller DCs can very effectively look nonsensical, and needs to be looked at as soon after their clients if they keep their book to a as possible. The NCR, and the credit providers, manageable size, large DCs can be extremely should be trying to incentivise debt counsellors effective through their economies of scale with as much as possible to focus on keeping their credit providers, IT and infrastructure, but for clients making their rehabilitation payments me, medium sized DCs are stuck in the middle every month. If they wanted to do that they as the worst of both worlds. As any DC will tell should increase the 5% after 24 months, not you, the job doesn’t finish when you have a reduce it! court order...at DebtBusters we speak to our clients every three months on average, and are What do you see as the way forward over the constantly communicating through email, SMS next year for DebtBusters? and our Smartcents portal (www.smartcents. We are still investing heavily in technology. As we predominately deal with the middle co.za). to upper income brackets, they have internet Where/in what ways do you feel larger Debt and smart phone access. We are constantly working on new ways to communicate and Counselling firms need to improve? Too many large DCs are focused on collecting help our clients through this technology. My the ‘negotiation fee’ to cover their costs, rather ambition in the in the next year is to get 100% than trying to build their business based on COBs, 100% proposal acceptances for 100% of sustainable paying clients, who they help get our clients. By achieving this we will get closer debt free in the fastest possible time. There to 100% monthly client repayments, and 100% has also been a poor practice of not actually of clients getting to debt freedom! when Debtfree took the initiative. As with any inaugural awards there were teething issues, but we are confident that these will be ironed out and the awards will go from strength to strength.
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DEBT REVIEW AWARDS
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DON’T WORK WITH AN OUT DATED VERSION OF THE ACT
2014
When the National Credit Amendment Act 2014 comes into effect along with new regulations you will want to make sure you have an up-to-date copy of the Act. Pre-order your Revised National Credit Act Booklets now
ORDER NOW http://debtfreedigi.co.za/product/pocket-sized-national-credit-act-booklet/
The Multi-Skilled Debt Counsellor The Accountability of Professional advice There is a lot more to Debt Counsellors than just having an overall understanding of the National Credit Act. They are also expected to render services of the highest objectivity, integrity and good faith and are expected to balance the interests of all parties involved, from credit providers, to the consumer, while being fair and honest at all times.
are accurate or this may lead to unnecessary termination of accounts in debt reviews.
Even if the DC is very competent at what they do, if an allegation of negligence is laid against them, the cost of defending the action can be extremely high, which could ultimately lead to the emotional and financial ruin of the counsellor. It is therefore, not advisable for any Debt Counsellors are required to explain professional Debt Counsellor to ignore this risk important components, rights and obligations when carrying out their work. regarding the debt process to a debtor before proceeding with an application. In addition, Just like all other professional service providers, there is an obligation to maintain a proper set of there is a way to minimise and transfer this accounting records for all the money handled risk by way of an insurance policy. An Errors & by the DC. Any of the above obligations place Omissions Insurance policy (also referred to as a duty of care on the Debt Counsellors and an professional Indemnity) covers DCs against the allegation of a breach of this duty can trigger financial consequences of making a mistake. a claim of professional negligence against the When mistakes are made, it often leads to DC. In order to avoid allegations of negligence, allegations of negligence. Typically, this will Debt Counsellors need to be multi-skilled. end up in demands being made and eventually They need to be able to deal with difficult litigation, if the demands are not met. These business and administrative tasks such as policies pay both legal defence costs incurred, the management of the debtor’s file through as well as any settlement agreed to by the DC specialised software and a backdrop of or award, which could be handed down by the complex rules. They have to be able to handle Courts. and manage debtors who have financial difficulties while simultaneously managing No matter how skilled DCs are, even if they both the creditors’ and debtors’ expectations continually carry out their duties to the best of their ability, they cannot always 100% successfully. guarantee their work or that of someone who Debt Counsellors must also try ensure that the works for them. After all, let’s face it, mistakes information they use, such as account numbers, do happen.
DEBT COUNSELLORS ASSOCIATIONS ANNOUNCEMENT BOARD The next DCASA meeting dates: 5 September Western Cape Credit Provider Expo. 10:00 at Parow Golf Club. 5 September KZN DCASA Branch Meeting. 10:00 at Health Haven, Westville. For more information on the meetings or becoming a member, e-mail dcasa@dcasa.co.za.
www.dcasa.co.za
Be on the look-out for the BDCF training program starting in September. All DC’s (from any association) will be invited to attend and benefit. Training workshops will be presented in Gauteng, KZN and Western Cape
www.bdcf.co.za
This interview with Ursula Gouws explains the concept of sequestration, or declaring yourself insolvent (bankrupt). Before the chill sets in, just listen to what she has to say. It is very interesting. http://downloads.newera.org.za/TheNews/ Just right click on Episode 18 and choose “save target as.”
www.newera.org.za
Our AGM will be held on 17 OCT 2014 at KWV Paarl - Please confirm attendance by 15 Sept marie@allprodc.org We are busy with our response to CIF on issues of circular 10 due by 22 Aug - for input email legal@allprodc.org We are also busy with our response to DTI on the draft regulations due 30 Aug - for input email legal@allprodc.org
www.allprodc.org
AUGUST
NEWSLETTER Credit Industry Forum The recent African Bank crisis has brought some important matters to the fore and we have written to the NCR about the matter and asked them to answer some of our primary concerns. We have made the NCR aware that we feel that although the CIF is in principal an excellent idea it’s formation has lead to little change in the industry to date. We still feel that CIF is not fully representative of consumers interests or even that of other DCs who do not belong to our or any association. This mistake was also made by DRAC and should not be repeated. We have raised concern that our objections in this area were not even added to the minutes of the CIF meetings.
used for court orders being ignored by some CPs has raised our concern and we are taking the matter further. We feel that there is abuse here and this goes contrary to the intentions of the NCA. This matter needs clarification from the NCR with all due haste as this ‘loop hole’ needs to be closed. Consumers are suffering and Debt Counsellors are been given the run around. It is unacceptable.
African Bank - Recently when a Debt Counsellor spoke out about the African Bank matter (in another capacity) the NCR seemingly threatened the DC’s registration for saying what they felt were negative things about them. We are very concerned about this type of threat. We are worried that the NCR might threaten DCRS - Very few of our members are using the deregistration and thus loss of livelihood of DCRS system for their cases (in fact only about any DC who expresses an opinion that they do 17% of all debt review matters country wide not like. We are of the opinion that freedom of are done via DCRS) and yet some creditors will speech and a free media should always remain not issue final acceptance letters if the matter each and every individual’s constitutional right is not done via DCRS. Meaning that in 83% of and should not be threatened in any way. We all matters these CPs are resisting the debt have thus written to the NCR about this matter and feel they could be using their time and review process. energy better in solving the problems that lead CoBs & Court orders being ignored - The entire to African Bank’s current situation. matter of CoBs and the balance shown being CONTACT DETAILS FORUM: www.debtconcern.webs.com / WEBSITE: www.allprodc.org / FACEBOOK: www.facebook.com/AllProDC / TWITTER: www.twitter.com/AllProDC
SERVICE DIRE DEBT COUNSELLING AA Debt Counselling Centre Anthea Johannes NCRDC531 Tel: +27 (0) 21 982 0522 Cell: +27 (0) 84 402 7032
Financial Synergy Group
Alan Watts NCRDC 962 NCR registered Debt Counsellor Tel: 084 4448439 Fax: 086 6501954 alan@active-debt-counselling.co.za www.active-debt-counselling.co.za
Credit Awareness & Rescue Services DEBTINC 0861 20 21 20 enquiry@debtinc.co.za Financial Planning & Growth CONFIDO 022 713 20 21 planning@financialsg.co.za Legal 012 643 1423 legal@financialsg.co.za Employer Group & Wellness Services 012 643 1423 wellness@financialsg.co.za Call Centre Services 0861 20 21 20 reception@financialsg.co.za
Consumer Assist Tel: 0861 628 628
Credit Matters South Africa’s Largest Debt Counsellors 14th Floor, The Pinnacle Cnr Strand & Burg St Cape Town Tel: 086 111 6197 Fax: 021 425 6292 info@creditmatters.co.za CS Debt Counselling Bernidene Smith NCRDC 764 057 352 4115/352 5000 Welkom - Free state
Armani Debt Counselling Take the First Step to Financial Freedom Tania Dekker Tel: 011 849 3654 / 7659 www.armanigroup.co.za
Cape Debt Clinic Your Guide to Financial Wellness and Recovery Karin Augustyn 021-828-2658 073-903-6942 karin@capedebtclinic.co.za https://www.facebook.com/pages/ Cape-Debt-Clinic Central SA Debt Counsellors 082 950 7806 Fax: 086 563 1621
Darran Manikam NCRDC704 debt@mailbox.co.za
Debt Budget MAXIMISE YOUR LIFE, MINIMISE YOUR DEBT Bruce Leslie Borez Registered Debt Counsellor NCRDC1643 48 Church Street “Medical Mews” Wynberg, Cape Town Tel: 021 824 8885/021 820 4946 Fax: 086 607 6429 www.debtbudget.co.za
ECTORY DebtSenseGroup
For Professional, Responsible and Effective Debt Restructuring Services
John Harvey NCRDC 1370 Newcastle – KZN Tel: 034 312 1767 Fax: 034 315 3441 Email: debtsense@newcastle.co.za Web: www.debtsensegroup.co.za
Debt eezy Your Debt Solution made Easy Ashley Carstens NCRDC858 Tel: 021 839 2809 Fax: 083 512 4160 / 086 665 9125 Email: debt.eezy@gmail.com Website: www.thedci.co.za
Debt Solve Debt Counsellors Office: 033 397 0945 DebtSafe 0861 100 999 Debt Serious We are serious about debt Vida Scheepers NCRDC1792 Po box 394, Garsfontein, Pretoria 0042 Fax no: 086 553 9403 vscheepers@mweb.co.za
Debt Therapy Hans Pettenburger-Perwald NCRDC49 Tel: +27(0) 21 556 4935 Fax: +27(0) 21 556 4937 Toll Free: 0800204728 Cell: 0823358232 www.debt-therapy.co.za Email: info@debt-therapy.net Debt Rehab Colleen Van Wyk(BCom, LLB) Debt Counsellor NCRDC2619 Tel: 083 290 0848 Tel: 011 740 7374 Fax: 086 716 9694
Debt Rescue Neil Roets NCR DC 474 Cell: 083 644 7406 Tel: 0861 800 009 Fax: 086 523 0617 E-mail: admin@debtrescue.co.za www.debtrescue.co.za
Debt Management & Counseling Services “The greatest glory in living lies not in never falling, but in rising every time we fall.” - Nelson Mandela Derry Burge NCRDC108 140 Irene Avenue, La Concorde, Somerset West, 7130 Tel: 021 855 5997 Cell: 074 177 5375 Fax: 021 855 1195 or 0865413200 E-mail: dburge@telkomsa.net
The best angle to approach debt is the Triangle Caledon - Western Cape Contact Person: Yolande 8 Hoop Street, 7230 Caledon caledon@triangletrust.co.za Tel: 028 212 2537 Ceres - Western Cape Leyll str 61, 683 Ceres andre@triangletrust.co.za Tel: 023 312 1292 Fax: 023 312 2119 Worcester - Western Cape 71 Porter Street 6850 Longitude: 19.44305 Latitude: -33.64942 worcester@triangletrust.co.za Tel: 0233420576 Fax: 086656801 Bloemfontein - Free State 94 Zastron, 9301 Bloemfontein Contact Person: Yolande bloemfontein@triangletrust.co.za Tel: +27 51 448 2828 Fax: +27 51 447 9481 Viljoenskroon - Free State 35 Denyssen Street, 7230 Contact Person: Johann Olivier viljoenskroon@triangletrust.co.za Phone: +27 56 343 0352 Fax: +27 56 343 035 Welkom – Free State 329 Stateway, 9460 Welkom Contact Person: Susan Roux Email: welkom@triangletrust.co.za Tel: +27 57 352 6117 Fax: +27 57-352 2355
SERVICE DIRE Durban Debt Counselling Services Suite 112, 1st floor Union Club Building 353 Sm ith Street Durban, 4001 Tel: 031 301-7893 Fax: 031 301-5809 phumla.ngema@telkomsa.net
Fair Finance Solutions Your debt is our priority Amanda Fair Registered Debt Counsellor NCR946 553 Jacqueline Drive Garsfontein Pretoria Tel: 0861 26 26 32 Fax: 082 921 7093 Cell: 086 564 3674 amanda@fairdebtcounselling.co.za www.fairdebtcounselling.co.za Fincorp debt Counsellors cc Cecilia Zwarts fincorpdc@yahoo.com
Finesse Debt Counsellors NCR Registration No: DC1262 Address: 478 Windermere Road, Morningside, Durban, 4001 Phone: 031 209 2356/ 084 250 2356 / Fax: 086 5732433 e-mail romie@debtfinesse.co.za www.debtfinesse.co.za
Holistic Debt Counsellors info@holisticdc.co.za Helpdesk Debt Counsellors Allan Hoffman Tel: 0861 000 754 Help-U-Debt (Vaal Triangle) Wanine Tel: 082 445 3967 Help-U-Debt (Potchefstroom) Madra 083 390 3275 Help-U-Debt (Parys) Marilouise 082 920 6249 Help-U-Debt (Vanderbijlpark) Herma 083 320 8303 Incentive Debt Counselling “Paving the way to a Debt Free Tommorrow” Darran Manikam NCRDC704 Tel: (031) 409 9379 Fax: (031) 409 1327 Cell: 0845898286 Branches: Phoenix and Shallcross Indigo debt counsellors CC Tel: 087 808 9734 Fax: 086 580 8675 indigodc@iburst.co.za Christina Cambouris NCRDC1403 Strand Western Cape Tel: 0824507459
Mzansi Debt Counselling Octavia Hlatshwayo Tel: 011 868 1185 Fax: 0861 00 22 70 octavia@mzansidc.co.za www.mzansidc.co.za
NCR DEBT (PTY) LTD National Counselling and Review of debt Amelia Hayward Tel: (012) 364 2490 Cell: 0877 201 057 amelia@ncrdebt.co.za www.ncrdebt.co.za NDA Debt Counsellors Your Trusted Debt Counsellors Gary Williams (NCRDC 143) Tel: 034 315 3880 Fax: 086 612 4112 gary@ndad.co.za www.ndad.co.za
ECTORY SUPPORT SERVICES
New Deal Debt Counselling Jason Riley (NCRDC868) B.Com (Financial Management) Cell 0723792108 Fax 0866628789 info@newdeal.org.za www.newdeal.org.za
SA DEBT HELP 010 593 0422 Block 4, 1st Floor Boskruin Office Park (Behind Boskruin Shopping Village) Boskruin / Randburg SFA Debt Relief Consultants Adri de Bruyn NCRDC998 11 Market Street / Markstraat 11, Paarl, 7646 Tel: 021 872 1968 Fax: 021 872 2678 adri@sfadebtrelief.co.za
Specialist Debt Management Centre Beverley Ludick, NCRDC948 Pretoria Tel: 012 377-3557 Email: obligco@gmail.com Email: dc@obligco.co.za www.obligco.co.za
Penny Wise Debt Counselling Cathy Foster Debt Counsellor - NCRDC1977 Tel: (011) 794 9912 Fax: 086 719 3378 Mobile: 083 298 4467 Email: cathy@pennywise.co.za www.pennywise.co.za
Staff Line Ndizani Executive Recruitment Cell: 083 3028163 Tel: (011) 468 - 2150 saki@staffline.co.za
Rihanyo Debt Counselling (012) 804 50 57
Information resources & services www.thedci.co.za
Think Green Debt Counselling Sandi Pauw sandipauw@mweb.co.za Tel : 012 991 6638 Cell : 082 460 7800 Fax : 086 219 2615
Designtimes South Africa’s creative resource www.designtimes.co.za
U-Win Debt Counsellors Coreli Roos - NCR DC 509 Aliwal North, Burgersdorp, Bethulie, GariepDam, Smithfield, Springfontein Cell:079 626 66241 croos@global.co.za
Compuscan Academy 0861 51 41 31 www.compuscanacademy.co.za
Zuné Coetzer Debt Counsellors NCRDC 1599 24 van der Stel Street, Dan Pienaar Bloemfontein Tel: 051-4364515 Fax: 086 5870 845 Email: zunecoetzer1@gmail.com
TRAINING
You & Your Money NCR ACCREDITED DEBT COUNSELLOR TRAINING COURSES: Training and mentoring since 2007 Want to make a contribution as a registered debt counsellor? Need to empower and upskill staff in your debt counselling business? Courses devised to suit all needs: Flexible timeframes to accommodate workflows. On site/inhouse training for staff. Contact Dawn Jackson Dawnjackson.training@telkomsa.net
Cell: 072 1769789
SERVICE DIRE FINANCIAL ABSA Customer Debt Repair Line 0861 005 901 Credit Ombudsman 0861 662837 Experian 011 799-3400 debtcounsel@experian.co.za Eric Streso Financial Planner B Juris LL B CFP MBA Tel: 0833273358 Fax: 086 612 7912 Fair Debt 0829019788 or 012-3772558 ray@fairdebt.co.za PACFIN Financial Solutions Head Office Tel: +27 11 9757445 Fax: 0865368783 36 Van Riebeeck road Kempton Park 1619 pieter@pacfin.co.za Monte Carlo Building No 8 Voortrekkerstreet Kempton Park 1619 Kempton Park Contact: Reyno Coetzee Tel: +27 11 3945363 Fax: 0866048002 Cell: +27 73 3690884 kemptonpark@pacfin.co.za Boksburg / Germiston Contact: Armand Posthumus Tel: +27 11 8921911 Fax: 0865620378
Nelspruit Contact: Ann Baker Tel: +27 13 7415559 Fax: 0880 1374 15559 Cell: +27 82 9024236 jeleroux@telkomsa.net Springs Contact: Wynand Mclachlan Tel: +27 11 8113728 Fax: +27 11 8113728 Cell: +27 83 2754014/5 wynmc@telkomsa.net Gooseberry Business Advisory Tel: 012 644 0589 Nedbank Debt Rehabilitation & Recoveries Services 0860 109 279 STD Bank Debt review Helpline Telephone: 0861 111 402 TransUnion 0861 482 482
FINANCIAL PLANNING Eric Streso Financial Planner B Juris LL B CFP MBA Tel: 0833273358 Fax: 086 612 7912 LEGAL
Karen van Staden Tel: 012 998 9117 / 012 993 2132 Fax: 086 721 6467 / 086 662 1153 IsEmail: it timekaren@hauptearle.co.za to expand your Debt Counselling practice? office@hauptearle.co.za www.hauptearle.co.za Do you need specialist Attorneys with a national footprint? Do you need expert advice on how to protect your practice and your clients? Are you informed about recent statutory and legal developments within the industry?
Thinkmoney Liddles & Associates Financial comparison website “It alwaysservicing seems impossible until needs it Attorneys individual Contact: Gareth Mountain is done” N. Mandela Tel: 079 0996 798 Tel: 021 913 2514 Pretoria: +27(0)12 998 9117 www.hauptearle.co.za Nelspruit: +27 (0)13 752 708 www.thinkmoney.co.za Fax: 0866070940 Email: info@liddles.co.za WIZARD Vereeniging PO Box 3407, tygervalley, 7536 Making Mortgage Magic 7 Chenin Blanc Street, Oude Wanine Smit Westhof Tel:+27 16 454 1132 Fax:+27 86 686 3678 LUCID Attorneys Cell:+27 82 445 3967 Tel: 011 880 1100 www.wizard.za.com Fax: 011 880 1101 Email: info@lucidsa.com www.lucidliving.co.za/attorney
ECTORY O’Connell & Associates Attorneys at Law Keegan O’Connell k.oconnell@oalaw.co.za Tel 021 462 1663 Fax 0866 504 550 303 Millborough, 70A Upper Mill Street, Vreedehoek, Cape Town, 8000 Prinsloo & Associates Attorneys and conveyancers Nanika Prinsloo Farm Bergamot, Paarl 7620 P O Box 6199, Paarl 7620 14 Laing Street, Barrydale 6750 Cell: 072-8558-106 Fax: 086-623-5986 nanika@vodamail.co.za www.empowerlaw.co.za RM Brown and Associates 16th Floor, The Pinnacle Cnr Strand & Burg St Cape Town Tel: 021 431 9127, f: 021 425 0875 Email: oliver@rmbrown.co.za Scheepers Attorneys Gerhard Scheepers schlaw@iburst.co.za
Steyn Coetzee Attorneys / Prokureurs Adri de Bruyn 11 Market Street / Markstraat 11, Paarl, 7646 Tel: 021 872 1968 Fax: 021 872 2678 adri@steyncoetzee.co.za
Thomson Wilks inc. Meet Thomson Wilks Meet Excellence Tel 021 671 6935 / 021 820 4319 / 021 424 4599 Cell 072 554 0935 Fax 086 570 8741 Website www.thomsonwilks.co.za Suite 14, 3rd Floor, SunClare Building, Dreyer Street, Claremont, 7708 The Chambers, 3rd Floor, 50 Keerom Street, Cape Town, 8001 Agiliti CC Colleen Van Wyk(BCom, LLB) Tel: 083 290 0848 Tel: 011 740 7374 Fax: 086 716 9694 Website: http://agiliti.co.za CREDIT BUREAUS
Thinus Dreyer Candidate Attorney Office: 011 326 0347 Office Cell: 071 658 9438 Cell: 082 471 3625 Fax: 086 509 3548 thinus@stokesattorneys.co.za
Compuscan 0861 514 131 www.compuscan.co.za Experian www.experian.co.za Consumer- 0861 10 5665 TransUnion 0861 886 466 www.transunion.co.za XDS 0860 937 000 www.xds.co.za
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• Individual, dedicated business bank account per Debt Counsellor • National Representation - regular office visits by skilled, trained agents • 24 hour access to system, including distributions data - from any PC, cell phone or tablet with internet access • Dedicated account managers for EACH Debt Counsellor
Gerhard Dyzel gerhard@dcpartner.co.za 082 828 7595 / 044 873 4532 (ext 110) Yolandi Meyer pda25@dcpartner.co.za 082 338 2680 / 012 348 7624 www.dcpartner.co.za