Debtfree Magazine March 2017 by Debtfree Magazine

South Africaâ&#x20AC;&#x2122;s debt counselling magazine

IS DEBT REVIEW THE END OF FUN? March 2017 www.debtfreedigi.co.za

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Debt Review Explained Let’s be honest. We all spend a little too much occasionally. Maybe we go a few bucks over the grocery budget or something unexpected happens that we didn’t plan to pay for. Life happens. But when oncein-a-while becomes almost-every-time, we end up over-indebted. How to tell if you’re over indebted? 1. The money you have coming in, simply isn’t enough to cover all the payments going out. So you start missing installments here and there. 2. You’ve probably had one or two calls from creditors demanding payment. 3. You get that empty pit in your stomach every time you have to look at your bank balance. 4. You’re either thinking about or have already tried going the consolidated loan root, but that only made your debt worse, because it didn’t address the core issue of spending too much. 5. You’re more snappy, because you’re constantly stressed. 6. Payday can never come too early, because your bank account is empty within the first week of the month. It’s safe to say that if you are experiencing the above symptoms, you are over-indebted and a candidate for Debt Counselling.

Debt Counselling! Say what? Debt counselling or debt review as it’s also known, is a medium to long-term process (depending on your level of debt) that aims to clear your bad debt. This process can only be done through a qualified Debt Counsellor. After applying to a Debt Counselling firm, such as DebtCare, you are assigned a dedicated Debt Counsellor who reviews your debt to see how to best assist. Your DC then looks at your income and expenses to determine what you can afford to pay every month. This single minimum amount covers all your debt repayments. After this has been determined, your DC contacts your creditors, informs them that you are under Debt Review and negotiates lower payments and interest. Once your creditors agree, your DC will inform you to pay the single minimum amount, which your creditors share amongst each other. Once your Debt Counselling process is completed, life goes back to normal. Well almost. Better spending habits and tighter reigns on your budget will keep you out of debt for good! Watch video at www.debtcare.co.za

EDITOR’S NOTE All work and no play makes Jack a dull boy. So the saying goes and this month we consider if there is any space within debt review for consumers undergoing debt counselling to have a little fun. We know girls just want to have it, we’ve been welcomed to the house of fun but how can that work if you are on a tight budget and paying all your available funds to your creditors to get out of debt? We also have some great articles about going paperless in a digital world. It should be easy. Right? Well, maybe not that easy, as you will see in the article. We also get some good advice in the Nutshell article this month looking at sticking to good habits during the Easter season. Interestingly, this time of year is traditionally a period where many consumers skip or short pay their court ordered debt review payments and fall out of the process. This then puts them in a worse off financial position. What a shame. So much wasted time and effort. If you are having any financial difficulties please talk to your Debt Counsellor as soon as you can to get some advice. We also have a large selection of the latest news in the industry and a look at the upcoming industry events. We have

some exciting news from both Consumer Friend and DC Partner so be sure to look out for those stories. We also get some more information about the Annual Debt Review Awards peer review process which ramps up in April this year. As our readers will know the whole Debtfree team tries to help out with the organizing of the process each year along with other volunteers. So, we have the inside scoop for you. With just over 2 months to go until the Debt Review Awards gala, things are getting interesting. If you are a credit provider or Debt Counsellor you will also see how you can take part this year. So don’t be a dull boy. Take a few minutes to have a little fun and read this issue. Why not have a quick break and a cup of tea or coffee while you give it a read? We hope this issue helps you look at debt review in a new way and to allow yourself to have a little fun over all the upcoming long weekends and short weeks. Short weeks make for short months and before you know it between all the work, fun and paying off your debts you could soon be debt free.

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CONTENTS NO MORE FUN?

THE BIG LIE

DEBT REVIEW AWARDS

NEWS

DEBT OR WEALTH

SERVICE DIRECTORY

HAVE SOME FUN

No Money â&#x20AC;&#x201C; No Fun We all enjoy the holidays. Why? Because we get to relax and have a little fun. One of the things that gets squeezed out, when we are having financial difficulty is all those fun things we used to be able to do. Suddenly, as the cash dries up, so too does the fun. The worst part is that when the money dries up and the stress levels increase this is exactly when a little fun might help more than ever. So many of the things we enjoy doing for fun cost money and when there is no money for anything then those things have to fall away. It makes no sense to head off to the movies with the whole family and spend hundreds of rand when there is not enough food on our

plates. Cutting back on unnecessary things is how we try deal with mounting debt. Of course, sometimes the debt simply grows out of control and we need to get professional help. This is wise and why the debt review process was created. So, what happens when a consumer who is going through financial strain approaches a Debt Counsellor for advice? Is it the end of fun?

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HAVE SOME FUN

We Need To Have Fun

Employers will know that happy employees are more productive and innovative in dealing with challenges that come their way. Happy employees make for happy clients, which in turn makes for a better, more profitable business. Parents will know that their kids are more manageable when they get a chance to ‘let off steam’ and play. Kids love to play and it helps them to learn and express themselves both of which are greatly advantageous. The bottom line is that humans have a capacity to have fun. It is a built in desire and ability. While we all enjoy many of the same activities, each person has things they particularly like to do for fun. Obviously, fun needs to be kept in it’s proper place or it can become addictive and lead to a totally unproductive existence. For those who find the balance, having a little fun can help greatly reduce stress and improve one’s

overall quality of life. their PDA. Some consumers even think that the Debt Counsellor handles their money and sends them a statement. This is not true. Either a PDA handles the payment side of things or the consumer does it themselves. Debt Counsellors are not able to take funds from consumers due to certain Terms & Conditions of Registration* with the National Credit Regulator (NCR).

South Africaâ&#x20AC;&#x2122;s leading Debt Counsellors Click through to

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HAVE SOME FUN

THE BIG LIE

Fun Costs Money We live in a very commercialized world which focuses on moving money out of your wallet into the hands of business owners. In fact, we may ourselves, spend all day, every day convincing others they need our services and should pay for them. As a result, much of what is considered “fun” these days costs money. Speak to an older person and they will tell you silly stories about how they used to play with a tyre and stick or homemade doll and that was all they had growing up. When compared to the demand for Playstations, Xbox, the Cartoon Network, a mini drone or the latest mobile phone, those things seem archaic and simple. Worst of all, they may seem boring. However the reality is that many fun activities cost very little if you can drag your head out of the commercial propaganda all around us. Most will agree that it is often who you do some fun activity with that can make or break the occasion.

This shows us that we enjoy being with people and friends won’t charge you for their time. The fact that older ones who played with simpler items and lived a less technological life and still had fun teaches us that gadgets are not needed to have fun. Many older ones long back to the days of their childhood for the simplicity and fun they were able to have. Watch a young boy climbing a tree, pretending to be Spiderman and having fun with his friends and you will wish you could find pleasure in such simple fun. The truth is you can. Having fun does not have to cost money or a lot of money.

HAVE SOME FUN

Is Debt Review the End of Fun? Entering Debt Review is admittedly a big change. A good one but a big one as it influences so many aspects of your life not just your debt repayments. Primarily it is a change from an instant gratification lifestyle to a more thought out, planned way of living. Budgeting is central to the whole debt review process and when a Debt Counsellor helps a consumer reevaluate their monthly spending habits it can be a little tough at first. At the same time the Debt Counsellor strives to be realistic which is an area some of us struggle with when planning our monthly finances. They may see gaps where we are not spending

money like we should. Perhaps they see a consumer has a vehicle financed but has neglected to have insurance as required by the terms and conditions of their contract with the bank. They may see we spend lots of money on snacks at work but have not set money aside for our kidâ&#x20AC;&#x2122;s school clothes and books in January next year. A good Debt Counsellor balances the needs of both creditors and consumer. So, he may cut some of the money we previously used for fun out of the budget. Here it is important to remember though that fun does not have to cost lots of money. We may simply need to think a little differently about the topic.

HAVE SOME FUN

Have Some Fun

If you are under debt review or experiencing debt stress then you might want to consider some ways to have fun that donâ&#x20AC;&#x2122;t cost and arm and a leg. Alternatively you may want to slowly save up funds each month to do something that costs a little.

HAVE SOME FUN

Free Stuff Many stores hand out loyalty cards which can be filled for free over time IF you are sneaky and patient. Does your company send you out for lunch? Does the shop you visit give you stickers or stamps when you go there? Can you ask your friends for their stickers, points or stamps? You will find that getting the stamps will soon be half the fun and the free smoothy or coffee is just the cherry on top.

Many companies like Vida e CafĂŠ and the Table Mountain Cable Car will also give you free stuff on your birthday. Head over to the library and enjoy online access or a good read (a small membership fee may apply). Things like soccer, frisbee or cricket can be enjoyed as long as one of your friends has a ball and bat or similar items. Getting the team together once a week on the weekend can be a great stress reliever and a lot of fun.

HAVE SOME FUN

Free Stuff Online Free Stuff

If you have access to the internet and have budgeted for it with your Debt Counsellor, you can also find many free things online. Many have enjoyed the numerous free resources of books that can be read, music that can be listened to or games that can be played. Often they are slightly older which is normally convenient since you will not need the latest and most expensive technology to enjoy them.

A lot of parents panic at the prospect of perhaps having to cancel their satelite TV in an effort to save funds. Well if you have web access you will find that children enjoy watching Youtube videos as much as they would a pay tv cartoon channel. Many of the shows are also educational like Pancake Manor.

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HAVE SOME FUN

Get Fit Being fit and healthy is a great form of having fun. Sure it takes a little sweat but it is worth it. You see people across the country streaming to gyms. These facilities offer convenience and the latest equipment at a cost. It is important to realize though, that many forms of exercise can be engaged in for free (or very little expense). A lot of the time, you just need a safe place to work out. Why not ask a group of your friends if they would like to go for a jog, as a group or a cycle together. Ask the girls to come around to try those Kayla exercises or a pilates session.

The guys can dig in the back of the cupboard or their friend’s garage to find some old free weights that were starting to rust. It might be time to finally use those workout gadgets you couldn’t help yourself from buying a few years back. Who knows? They may even work. Cross fit has become a popular form of exercise recently but if you think about it, it seems to revolve around working out without all that fancy equipment. No, you don’t need to go buy a tractor tyre to do cross fit and you don’t need to spend lots of money to get in shape.

HAVE SOME FUN

Nature There is a wide world out there. Sometimes we just get so busy we never get to see it. There are beautiful mountains, forests, rivers, waterfalls and even some of the world’s best beachs. Why not get a group of friends together and explore nature. Some areas have fantastic day hikes which can be enjoyed

even in your old takkies (don’t fall into the “I need to shop for new boots” pitfall). Season dependent you may be able to head to the ocean for a swim or perhaps your local swimming pool. A little fresh and and sunshine can go a long way to putting you in a good mood.

HAVE SOME FUN

Spend Wisely Not all fun can be had without spending. Some activities are just too expensive. This means that some things will not be possible. Goodbye helicopter-ridebungee-jumping. However with some saving you may find you have a little cash on hand which might be used for something fun. You may find that there are other less extravagant options that you can engage in with a minimum spend. With some careful budgeting and shopping each month you may be able to set some funds aside for something special. You may want to occasionally

spoil yourself, your partner or your kids without going over the top. Some restaurants offer two burgers for the price of one or a wacky special on certain foods on certain days. With some saving and good planning you can take advantage of these specials and not go overboard when you do what to splash out a little. The key here is restraint. Certain restaurants offer such large portions that two people can share on meal (try Eastern Food Bizarre in the Cape Town CBD). It takes keeping an eye out and watching your spend.

The Aquarium Movie Night Some cities, like Cape Town, have an aquarium which is both fun and educational for kids and adults alike. Let’s be honest who does love Nemo and his friend? Fish are our Friends. The Two Oceans Aquarium offers a 10% discount to those who book online. Pensioners qualify for discounts as well. If you plan to take your kids regularly throughout the year, you could explore their membership option. For the price of 3 visits members get unlimited access through the year. IF you have saved for it and if this will be one of your main activities then it is worth investigating.

While it is certainly cheaper to enjoy TV or a movie at home, you may occasionally want to head out on date night to the movies or catch that ‘must be seen on the big screen’ movie. Well, if you belong to certain insurance providers or other loyalty programmes you probably can also get discounted movie tickets for those movies which just have to be seen on the big screen. This takes good planning and self control as they might give you a cheap ticket hoping you will blow your money on the snack. You have been warned!

Is Debt Review the End of Fun? Yoda dog says:

NO Debt Review does force us to re-evaluate how much money we spend to do some fun activities. But with a little saving and cunning there is a world of fun out there. From chilling by the fire and reading a book to just getting together with your friends with some popcorn and a movie (they bring the movie) you can have a

good time without spending lots of money. In fact, saving money while still having fun can be very satisfying. So go get fit, go play some sport and get out there for some fresh air. Take the kids to the park to play or to the beach to build sandcastles. Blow off some steam. Have some fun.

Have some fun. You deserve it.

CALL FOR SOUTH AFRICANS TO CONTROL THEIR DEBT AND STICK TO A BUDGET South Africans are more cash-strapped than ever. A slumping local economy, paired with a downturn on the global commodity price cycle; a vicious drought; and increasing interventionist economic policies are just a few of the issues that have contributed to growing high household debt burdens and rising debt service costs. Statistics from the National Credit Regulator show that up to 10 million South Africans are severely in arrears on their debt and would greatly benefit from debt counselling. “According to a World Bank report in 2015, we live in the most indebted country on the planet. And it doesn’t look like things are going to turn around any time soon. Millions of people are at the end of their rope. Enough is enough. As a nation, we are drowning in debt,” explained Ian Wason, CEO of DebtBusters. “It is very easy to get into debt on your own, but almost impossible to get out of debt on your own. We know that many South African consumers often

have little understanding of how they got into this situation and how to get out. We see that the majority of searches on Google are for consolidation loans, not for debt counselling. People need to know that there are ways to get out of their debt. We are reaching out to South Africans to help them do something before it gets out of control,” he continued. DebtBusters’ new TV ad shows how easy it is to fall into debt, which can feel overwhelming, but that it is possible

to take control of the situation and get back on track. The ad portrays the burden of debt and the anxiety it invokes in people, and follows a man living with the constant stress felt by the indebted while maintaining the semblance of normality. It shows a number of different kinds of people that are suffering from out-of-control debt. It shows that everyone, to some extent, suffers from debt, and that many people have debt that they hide from others. However, those that are smart about it, can manage it. “We wanted to look at the real stories of real people and how they have been affected by debt. We want people to know that there is a way out. We are here to help,” finished Wason. Wason believes firmly in giving people a second chance at a brighter financial future: “Over the course of the past five to ten years, rising food and petrol prices, a weakened Rand and rising interest rates have hit consumers’ pockets so hard that entering into a personal loan agreement has become a commonplace solution to making ends meet. Unfortunately, this has led to a crippling debt spiral. But it doesn’t need to be like this, which is why we are determined to do everything we

can to help,” says Wason. DebtBusters believes in giving South African consumers a second chance to build a brighter financial future - there is life after debt. In order to achieve financial freedom after debt review, successful planning and budgeting is required. Millions of South Africans are battling to stick to a budget, and at month end consumers often resort to taking out more debt to supplement their income, even using expensive short-term debt to pay for basic living expenses. To ensure that you do not find yourself in this financial stress you need to set up a monthly budget, which is closely monitored and followed. Drawing up a budget requires a lot of discipline, and even more discipline is needed to adhere to it. Sticking to your budget will assist in tracking spending, planning and debt management, and will enable you to enjoy a debt free life. Managing debt is an essential skill in today’s financial world. We all have a responsibility to ensure that we do not become part of the problem but rather part of the solution. In an age where economic conditions are deteriorating, responsible debt management is essential for a brighter financial future.

To see DebtBusters’ TV ad: https://www.youtube.com/watch?v=ClbSdtsWxiM

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NCR Takes Wesbank to the National Consumer Tribunal

The National Credit Regulator (NCR) has referred Wesbank to the National Consumer Tribunal (NCT) for what it sees as breaches of the National Credit Act (NCA). The case revolves around collections practices by Wesbank’s agents who the NCR say have been sneakily coercing consumers into handing over their car keys when in arrears. The case followed an NCR investigation into Wesbank’s debt collection practices. While it is totally legal for a consumer to decide to surrender goods that they have purchased and for these goods to then be sold (or stored and later once the arrears are paid up returned) this needs to be the consumer’s decision. Jacqueline Peters, NCR manager investigations and enforcement says that this right is usually used in connection with “motor vehicles that are bought under installment sale agreements which can be returned voluntarily by defaulting consumers to credit providers”. Alternatively, where

consumers do not wish to hand over the vehicle, credit providers are able take legal action to enforce their rights. When this happens the credit provider can eventually send the dreaded sheriff of the court to repossess the goods. They are only able to do this after certain legal steps have first been taken. Such steps include the bank sending a Section 129 letter suggesting debt review or settling the arrears, after some time a summons, then getting a court order and a ultimately warrant. After that they need to send out the sheriff to serve the warrant. This takes time and needs to follow a precise order of events. Peters says that: “The investigation… revealed that Wesbank, through its debt collection agents, coaxed defaulting consumers into relinquishing possession of their motor vehicles”. It seems, that they got consumers to surrender their vehicles in a way that made the consumers think they absolutely had to hand over the vehicle to collections agents when, in fact, they had a choice not to. Pointing to the issue Peters continues: “This procedure undermines the voluntary nature of the surrender

NEWS CONTINUED

between two Debt Counsellors, the consumer involved came under a lot of pressure and made some decisions which later left them unhappy. This lead to the consumer eventually complaining to the National Credit Regulator (NCR). The cause of many of the problems in the matter began with how Debt Counsellors used to try transfer consumers from one Debt Counsellor to another Debt Counsellor, back in the day, using the 17.4 form. This was the norm many years ago when debt review was in it’s infancy. The entire transfer process only recently became more defined with some additional industry-created forms now being commonly used (a 17.4 is no longer one of them) but admittedly the transfer process still remains somewhat problematic. Seeing a gap, caused by how the paperwork was handled, the credit provider decided to go after the consumer rather than continue to help through debt review. After looking over the complaint, the NCR took the matter to the NCT asking for fines and that the Debt Counsellors be deregistered. The NCT did not feel that deregistration was an option but did hand down fines to three individuals. NCT Hand out R180 00 fines The fines totaled R180 000 between to Two Debt Counselling the three individuals involved - two Firms of whom are Debt Counsellors. Two Many years ago, when a credit provider issues came to light in the case. Firstly, took advantage of a paperwork mixup that it is important for a consumer to process”. It also keeps consumers from exercising their other rights under the National Credit Act. The NCR remind consumers that when they default on their vehicle payments they should consider the suggestion made in the Section 129 demand letter. Mz Peters says: “The consumer also has the right to apply for debt review” and that consumers should be aware that “a credit provider can only repossess a motor vehicle from the consumer if there is a court order authorising the credit provider to do so”. Consumers should not believe just anyone who comes along, claiming to be from a credit provider, saying they “have” to give their car back because they have some mysterious papers showing the consumer is in arrears even if they look like legal documents. Consumers in this situation should feel free to take video on their phone of these so called collections agents and send them away, if they wish. They should then be swift to contact their creditor to make payment arrangements or contact their local Debt Counsellor.

NEWS CONTINUED

know exactly who their registered Debt Counsellor is even when they deal with multiple Debt Counsellors at the same firm. They should also not be confused about the status of anyone just assisting Debt Counsellors. The second issue raised, is that Debt Counsellors must be careful not to allow others to act on their behalf and should ensure they only sign forms they are fully aware of.

DC Partner Announce Exciting Event

Payment Distribution Agency DC Partner will be hosting a full day seminar for Debt Counsellors and related industry members on the 11th of May 2017, in the Western Cape. The seminar will feature several speakers and presentations on industry related matters during the full day event which will be hosted at the Stellenrust Wine Estate in Stellenbosch, Cape Town. For more info, head over to their website.

Capitec Clients Feeling the Pinch

A depressed economy is hitting clients of Capitec hard as the bank reports that the number of their clients applying for debt review during the past financial year increased by 20%. Capitec report that 15% more clients than the previous

year, had handed in retrenchment letters as supporting documents along with their request. Consumers in this situation can also often claim fromt heir credit insurance which will cover minimum monthly repayments for several months while they search for new work. It has been a hard year for most consumers in the country and many businesses have suffered. Capitec however, took on an amazing 1.3 million new clients this past financial year and opened another 76 new stores.

Consumer Friend Announce Roadshow

Consumer Friend represents multiple credit providers in the debt review space. They work closely with Debt Counsellors each day to facilitate debt restructuring for consumers. Consumer Friend have been active in the industry for a long time and have taken a number of awards over the years at the Annual Debt Review Awards. Recently,

For daily debt counselling news in 3 minutes or less visit www.debtfreedigi.co.za

NEWS CONTINUED

Consumer Friend announced that they will be traveling the country with a roadshow aimed at Debt Counsellors. The roadshow will start on the 11th of May in Bloemfontein, before heading to Stellenbosch on the 15th &16th. Next they are off to PE on the 18th &19th before heading to Joâ&#x20AC;&#x2122;burg for the 22nd & 23rd. Their country tour ends in Durban on the 25th of May. They are currently inviting all Debt Counsellors to let them know if they would like to attend. There are rumors of an exciting launch that could change the way debt review is done.

FNB Launch Campaign To Educate 11 000 Branch Staff

Debt Counsellors and consumers often find that when they talk to bank staff at a branch level they are not as knowledgeable about the debt review process as the specialized debt review departments within the banks. This is one of the reasons why FNB have launched a campaign to educate over 11000 branch staff about how debt review works and what to do when dealing with a client who is undergoing debt review. At a recent workshop with FNB in Gauteng, Debt Counsellors asked that the training also cover the often contentious issue of debit order cancellation.

NCR Transfers Backlog

At the recent NCR workshop the NCR discussed the challenges surrounding the long time it takes for consumers to be transferred from one Debt Counsellor on their website data base to another. The reported that due to high amounts of backlog in 2016 many in the office had to stop doing their regular work and assist with transfers. This drive apparently lowered the backlog from 9000 requests to only 2000. However, after the drive, once things went back to normal, so the number of request began to grow again. Currently the request list is somewhere back up around 9000 names long.

ABSA Debt Review Centre Begin New Training

As of March, the ABSA debt review centre will be holding weekly training sessions with staff on Monday afternoons. As a result they are closing their call center slightly early on Mondays at 3:30pm. They ask that Debt Counsellors keep it in mind when trying to make contact.

Eagle Cash Loans Shut Down

After an NCR investigation into claims of reckless lending and contraventions of the National credit Act, the National

All professionals have professional indemnity if the unforeseen happens. Do you as a professional Debt Counselor have professional indemnity as stipulated by the ethical code?

086 111 2882

Telephone 0861 112 882 Facsimile 086 605 9751 Mobile 082 449 6856 EMAIL andre@in2insurance.co.za

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NEWS CONTINUED

Consumer Tribunal (NCT) has ordered the deregistration of Eagle Cash Loans. The NCR investigation found that not only was the creditor recklessly lending to those who could not afford to repay the loans, they were also taking peoples IDs and Bank cards. This is illegal. As a result the NCT also handed down a R250 000 fine.

Loan Sharks Ordered To Register

make payments, the creditors began to contemplate repossessing vehicles. At the same time Debt Counsellors, Politicians, consumer rights activists and those affected began to ask if they had been victims of reckless lending. The NCR launched an investigation into some of the cases (it seems around 70 of the thousands of matters) and recently came to an agreement with ABSA. ABSA have agreed to pay a R10 Million fine and to come to an arrangement with the affected consumers, which will enable them to retain their vehicles and make manageable repayments each month. Though this is a small victory and will greatly assist these consumers, the public are asking is the fine enough, what happens to the other creditors and consumers? The NCR have said that they intend to lodge a case against Satinsky.

The NCR recently took 6 unregistered credit providers to task for lending money for profit without having registered with them as required by law. Changes to the National Credit Act now mean that there is no minimum amount that one has to loan or minimum amount of clients before a person or business needs to register as a credit provider, if they charge fees or interest on loans. The 6 unregistered credit providers have Debt Review Awards Gala been given a short time to comply and Date Announced The date of the 2017 annual Debt Review register. Awards gala has been announced by the organisers. This year the event will Relief For Some In R699 happen in Gauteng on the evening Scheme of the 10th of June 2017. Attendance When the R699/Satinsky car advertising at the red carpet event is by invitation deal fell through, thousands of consumers only. The event sees the results of the were affected. When their monthly industry peer review announced and car repayment premiums suddenly Golden Piggy banks awarded to Debt shot up and they could not afford to Counsellors, Credit Providers and PDAs.

2017 Debt Review Awards CLICK HERE TO REGISTER

Debt Review Awards Peer Review The annual Debt Review Awards peer review process has been underway for a little while and ramps up drastically during April and May. During this time, many credit providers and Debt Counsellors will get to review how the other side of the industry is doing. This involves clicking on a few buttons online regarding various facets of the debt review process and the recent performance of various industry role players. By getting many different individual firms to participate, a global opinion is formed as information from all those who participate is collected on the backend database attached to the peer review. Every peer review matters and we are inviting all Debt Counsellors and Credit Providers to participate. Why not help promote good business practice through the peer review process?

Be A Winner

We also invite you to be eligible to win Awards by registering: If you do not register participants may still review you but you may not be eligible for an award at the Awards Gala which will be held on the 10th of June 2017

CLICK HERE TO REGISTER

IN A NUTSHELL

Increasing Debt or Building Wealth during the holidays? The months of March and April are characterised by the number of public holidays. This is something to look forward to if youâ&#x20AC;&#x2122;ve planned to take leave over this period and take advantage of this benefit. However, during holiday periods consumers tend to ignore their debt obligations, aggravating their financial burden. As a Debt Counsellor, it may be worthwhile to remind your consumers to exercise caution during these months. Holiday periods tend to illicit â&#x20AC;&#x2DC;false bubblesâ&#x20AC;&#x2122; of consumer confidence, which lead to overspending. Overindebted consumers need to develop good

money management habits, which will ultimately shift them from the state of overindebtedness into a state of wealth building. Stick with your good habits The challenge with holiday periods

is that good habits, particularly those associated with money management can change. The Merriam-Webster dictionary defines a ‘habit’ as “a usual way of behaving: something that a person does often in a regular and repeated way.” Changing your habits during the holidays not only affects behaviour at that time, but the risk is that it continues long after the holidays are over.

chocolate gifts for Easter. Commit to only ‘spoiling the children’.

Plan ahead Get your kids involved and make handmade gifts during this time of year, for example, your own hand-made

Avoid the malls over this time of year. If you have to shop, go with a list and a defined budget and don’t get swayed by all the tempting specials and advertising.

Prepare homemade meals and limit the high cost of ‘eating out’. If you planning day trips pack some snacks or a family lunch box. Picnics can be cost effective family fun filled days.

The holidays and Easter period are a good opportunity to get the family together. Plan ahead, this may seem obvious, but Share the financial responsibility and are you planning for what you can afford ask people to help contribute towards rather than what is desirable? the meal, either drinks or a dessert.

Leave your credit cards at home, take enough cash to get you through the day. This will eliminate the temptation to overspend. The process of planning, being creative, and making good memories, is a wise approach to the upcoming holiday period.

IN A NUTSHELL is brought you by the DCM Business Partnership Programme™, designed to support debt counsellors and consumers during the debt review process, in collaboration with the National Payment Distribution Agency (NPDA). For help, contact the NPDA on 0861 628 628. If you have suggestions for topics that you would like covered in future, please email info@dcmgroup.co.za Debt Review Awards Winner 2014 and 2015: NPDA: Payment Distribution; Client & Customer Service; Industry Support & Engagement Care Premier: Debt Counselling Software

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Number of new applications Conversion rate of new applications Churn rate

Congratulations to the three winners of an exotic holiday: Zerodebt: Chris Craven NCDS & Solutions T/A Debtcare: Cadle Odendaal Help U Debt Counsellors CC: Belinda Driskel

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The cost of printing and paper The cost of printing and paper is a major part of most Debt Counselling firms’ overheads and the smaller the firm the bigger the overhead. In 1999 Bill Gates said “The paperless office, like artificial intelligence, is one of those ‘any day now’ phenomena that somehow never seem to actually arrive.” 18 years later in 2017 this is still largely true and we have to ask ourselves why. There are two reasons – human and technological.

HUMAN

Here’s the truth. I have owned a tablet for nearly six years now. I confidently use it to get stuff off the internet and even to do my banking and yet I still get my Sunday Times delivered every week and I still go to the bookshop to buy books. The reason? Well actually I like spreading the paper out and I like the smell and feel of the book in my hand. It is familiar and it is comfortable, so why would I want to read on a piece of technology even if it is better? This is called resistance to change, the natural instinct to stay with what is comfortable and is the number one stumbling block to getting rid of the paper.

Technology

There are a number of technical issues that have stood in the way of the realisation of digital offices. These centre around the quality of the document image of a scanned document, the concern about the ease at which am electronic document can be

tampered with and the storage space required to hold the documents, as well as the security of the documents themselves. And how do you get a signature onto an electronic document?

The Paperless Debt Counselling Practice

In order to implement the paperless office a Debt Counsellor needs to make a firm commitment to getting rid of the paper. Look at the office and see where paper is been produced unnecessarily and then seek ways to eliminate it. Staff can be offered incentives for not printing documents and in time the comfortable habits will break. Needless to say, the technology needs to be right to support the paperless office and this is where Maximus comes in. Maximus produces and stores all documents necessary to do the Debt Review. These documents need never be printed except for the Courts. Good news is that Maximus will also cater for digital signatures pretty soon. This means that consumers will be able to sign docuemnts without them ever having been printed â&#x20AC;&#x201C; and that signature is admissible in Court! A digitally signed document cannot be tampered with and the signature is as good if not better than an ink on paper one. Storage is not a problem as Maximus stores all documents automatically and securely in the cloud.

Maximus always stays on the forefront of technology to help Debt Counsellors work quicker, smatter and better. Till next time Max

Next month we look at the information you need to run a successful practice.

Contact Maximus on 011 451 0041

Die Republiek van

SKYT AFRICA ‘N maand is verby en danksy julle ondersteuning en positiewe kommentaar is ons nog steeds aan die gang. As daar spel foute was blameer die redakteur, ek werk nog aan sy Afrikaans – sorry Zak! Nou ja ek het laas verkondig dat daar altyd n humoristiese aspek in die meeste dinge in die lewe is maar die politieke woeling rondom onse Minister van Finansies sal enige regdenkende persoon skyt bang maak. Ons normale mense verdien nie geld in $ nie en ons het ook niks om uit te voer om $ te verdien nie so dit is moeilik om iets snaaks in hierdie situasie te sien. Dit is mos nie snaaks om kaalvoet in nat hondebollie te trap nie behalwe vir die person wat dit waarneem. Ai, Afrika is mos nie vir sissies nie maar dit voel of ek aan ‘n bang babelaas ly.

Die eerste langnaweek is verby en vir die van ons wat met Jantuisbly se karretjie gereis het weens finansies, of ‘n gebrek daaraan, moes maar toe kyk hoe die ander helfde met 4X4’s gepak met bergfietse, quads, karavane, motorbote en wat nog al verby ons flits. Ons oppad werktoe, hulle oppad na waar ookal hulle vet beursies hulle kon neem. Is ek suurgat? Nee maar dit voel net bleddie onregverdig, miskien doen hulle dit op hul kredietkaarte, pasop, is al wat ek kan vermaan, moenie dat jou volgende opdraande skuldbult is nie!

Komende April het nog vakansiedae en in baie huishoudings gaan daar kinders wees wat moan dat Jannie , die skoolvriend, weg is met vakansie en ons moet verveeld by die huis sit, daar is nie n maatjie om mee te speel nie, dis nie fair nie. Is daar n kits oplossing? Ongelukkig nie maar as die son skyn en daar is nog ‘n geldjie om ‘n braai te hou is die Kaap nog Hollands. Al het die braai gekrimp

na hamburger patties dan noem ons dit maar n barbeque en verbeel ons dat ons in die US of A is, miskien nie perfek nie maar dit is nie nodig dat ons ‘n doodskleed oor ons gemoedere trek nie. As vleis nie op die spyskaart is nie kry n ou pan en laat die kinders help om pannekoek te maak, ja sommer op ‘n vuurtjie.Luister musiek, vertel die kinders van die ou dae en deel jou drome.

Groete van die Republiek van Skyt Akfrika. Ons gesels met julle ondersteuning volgende maand weer. Christo Hattingh Kyk gerus my LinkedIn profile: https://www.linkedin.com/in/christo-hattingh-351a52130/ * Seriously please do let us know if you found this article to be funny/offensive/amusing/interesting feedback@debtfreedigi.co.za

Debt Counsellors Associations Announcement Board

Regional Meetings Kwa-Zulu Natal: Western Cape: Gauteng: Freestate: Eastern Cape:

19/05/17 23/05/17 23/05/17 12/05/17 21/07/17

Check out this huge banner that someone draped over the N1 highway in Joburg: http://ewn.co.za/2017/01/09/fnb-customertakes-fight-with-bank-to-the-streets

The Date of the DCASA Annual Conference is Wednesday the 16th August 2017

www.dcasa.co.za

1. The Executive committee will hold its first meeting by end of March 2017 2. The main focus in 2017 is on ensuring that all BDCF members comply with all legislation, regulations and conditions of registration. 3. Our communication channels will be strengthened to enhance accessibility by members. 4. Special projects will be launched around April in areas such as Incapacitation or death of DCs, usage of PDAs by consumers, as well as fees. 5. Members and supporters will be fully engaged when the projects are launched to ensure maximum input and participation.

www.bdcf.co.za

www.newera.org.za

Want to attend an AllProDC meeting in your area next month? We will be discussing professionalism, new DC fees and possible amendments to the Act. Let us know: bernidene@csdebtcounselling.co.za www.allprodc.org

march

NEWSLETTER Regional Meetings At the recent AGM it was highlighted how important it is for our members to get to meet face to face (in addition to meeting online and chatting on Facebook). It allows for an exchange of experience and offers the chance for members to discuss regional issues that are particular to their area. We invite members to offer to host a regional meeting at their facilities. Those wishing to host a meeting can email: bernidene@csdebtcounselling.co.za who will then be able to notify local members and find a convenient date. DC Fees and Amendments to the NCA As yet it seems that the NCR still intend to find an Actuary to review the 3 possible fee structures that were proposed after their recent research. AS yet the possible fee structure has not been made available for comment. We invite members to discuss this topic on the facebook page and at their regional meetings. We also ask that members continue to discuss possible amendments to the NCA which will improve the debt review process or bring clarity to the process. We would like to compile all the suggestions from our members to present to the relevant parties in the near future. Membership Debt Counselling is a very complicated professional process that needs to be well managed. The Alliance of Professional Debt Counsellors want to ensure that members are up to standard and offer professional services as our name reflects. This topic will be on the agenda for regional meetings. We urge all members to maintain a high level of customer service and professionalism. If you are a professional Debt Counsellor who would like representation and the benefit of resource sharing then please contact our association secretary on bernidene@csdebtcounselling.co.za

www.allprodc.org

FACEBOOK: www.facebook.com/AllProDC / TWITTER: www.twitter.com/AllProDC

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‘’ I was pleasantly surprised by our experience and changeover to Finwise. The new system is intuitive and easy to understand.‘’ Debt Counsellor Eastern Cape ‘’ I’ve found the Finwise system to be very useful. I’m new in the debt counselling field, I managed to find my way around the system as it is very user-friendly. The training manuals provided are also helpful and informative.’’ Debt Counsellor Gauteng

BUSINESS SUCCESS - THE “GO-GETTER” APPROACH Various things like good financial management and quality products are vital to run a successful business. Human capital, however, is the driving force in any business and can make or break a business. Looking at successful businesses, they are high energy and the staff are passionate, motivated and believe in the business objectives. The ‘’go-getters’’ see opportunities in every situation and when interacting with clients, they instill trust with the positive image they deliver about the organizations they work for. Persons with a ‘’can do’’ attitude are needed in all walks of life, the ones who say yes to change because change means growth. What kind of business leader or person are you? Challenge yourself to be a go-getter with a can do attitude and align your company with businesses practicing the same good conduct. Some Qualities of the ‘’Go-Getter’’ • The go-getter attitude does not hesitate; he/she thinks, when do I start? • The go-getter attitude does not ponder whether he/she can, they know they can get it done with collaboration and action. • The go-getter believes in him/herself, and the company. He/she believes in the times ahead and wants to be a key part of it. • The go-getter sees continual change as a recurrent opportunity. • The go-getter only knows one way of doing and living: with bravery, self-assurance, passion and integrity. Why settle for less? DC Partner is positively orientated towards change, growth, industry development, product enhancement and delivering high quality customer service. Article by: Petro de Beer

Say yes to change, say yes to a company with a ‘’Can do Approach ‘’ and a ‘’Go-Getter team’’!

Head Office 59 Victoria Street, George Telephone 044 873 4530 Fax 086 246 2450

www.dcpartner.co.za

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JOBS

apply for your dream job now Join the Meerkat Team An exciting place to work! Meerkat are looking for:

Frontline Sales Agents to join our energetic team.

This is a great opportunity to become part of a fast-paced, high growth and professional debt counselling environment. We offer a consistent hot lead flow as well as an aggressive remuneration model. If you are looking for a company with an entrepreneurial spirit at its heart, and are keen to join a dynamic, hardworking but fun team contact us. We would love to hear from you! Mail us on info@meerkat.co.za www.meerkat.co.za/careers/

MyMeerkat (PTY) Ltd. Meerkat is an authorised financial services provider (FSP 46535)

DEBT COUNSELLING COMMUNITY SUPPORT

Debt Review Is A Marathon Not A Sprint Would you sponsor R100 if our DCCS runner could finish the Two Oceans Marathon? We put in the blood, sweat and tears and you put in R100 but ONLY IF OUR RUNNER MAKES IT.

DEBT COUNSELLING COMMUNITY SUPPORT

We then use those funds to support DCCS projects and help those vulnerable debt review clients who are in desperate need of assistance to stay in the process. To sponsor contact: bernidene@dccsupport.co.za

Check out our website for pictures, stories and more and as always if you would like to get involved in one of our projects (like our back to school project for Jan) then we ask that you simply email admin@dccsupport.co.za

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