Debtfree Magazine October 2018

SOUTH AFRICA’S DEBT COUNSELLING MAGAZINE

PAYING FEES IS

SAVING YOU MONEY October 2018 www.debtfreedigi.co.za

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Summer is here with a vengeance, who can even remember what it felt like to be cold? It is amazing how quickly your day-to-day can change. One minute you are trying to decide what winter jacket to wear and the next you are wondering if you can get away with slip slops at work.

It is somewhat like the transition from having access to lots of credit, and then the taps being suddenly turned off when you reach all your credit limits. One minute everyone is friendly, offering you more and more credit and the next they are threatening to send you a summons and dispatch the sheriff of the court to your house!

For those who make the choice to enter into debt review before things get too bad, there is a very short time period to enter the right mindset. The challenge being that it is a HUGE change and we are seldom given the tools needed to handle the shift from a “credit” lifestyle to only cash.

This can lead to some unfortunate challenges (many of which relate to

spending less) and many consumers begin to blame debt review for the big changes taking place in their life.

Of course, spending money they did not have (using credit) was the actual problem, and the consequence is unfortunately, having to pay back the money or face the collections fallout from credit providers.

The Debt Review process however, involves paying various parties fees which you never had to pay before, since you didn’t need their services.

In this month’s issue, we consider how paying these fees forms part of saving money. Sound confusing?

Check out the article and see how that works. We also have news, review and advice throughout this issue.

Now that the weather is warmer, some of us dig into the back of the cupboard or into that suitcase and take out those summer items. Those shorts, sandals, those thin summers tops which would never work in winter. We begin to adjust to the changes in the environment around us. Give us another month and we won’t even be moaning about it anymore. Humans are adaptable,

we can handle change, especially when we have no choice.

If you have entered debt review, then make no mistake, you were running out of viable options to save your financial situation. So, give it a moment, don’t be in a rush to blame debt review or your Debt Counsellor for your woes. Hopefully they will help you make the changes you need to get those debt repayments going every single month. Hopefully you will figure out how to stick to your new budget and ‘cash’ lifestyle. If you do, then in a few months you won’t even think about your debt review too much. It will just be part of your life (for a few years anyway).

Change can be stressful…or it could be fun, it often depends on your mindset. Just imagine how weird the transition back to using credit is going to be when you finally become debt free.

Cover Picture Credit: https://www.freepik.com

FROM THE

E D I T O R

THE GREAT BANK HEIST

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PAYING FEES SAVES MONEY

THOSE WHO NEVER PAY

SERVICE DIRECTORY

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C O N T E N T S

THE

GREAT

BANK HEIST Reserve Bank Report Into Billions Stolen at VBS Mutual Bank

THE

GREAT

BANK HEIST

‘More than forty years ago the most daring heist in South Africa’s banking history took place. A group of industrious thieves, led by the elusive Mister Nightingale, skillfully tunneled their way some twenty-one meters underground into the vault of the Standard Bank in Krugersdorp. The bold bank robbers withdrew the princely sum of R400 000. They disappeared with the loot and no arrests were ever made.

I have, for the past five months, investigated the sorry affairs of the VBS Mutual Bank. My report will reveal that the perpetrators of the heist at VBS made away with almost R2 billion. And they certainly did not put in anything like the hard work and effort of Mister Nightingale and his team. I trust that, in this case, arrests will be made.’ ~ Advocate Terry Motau

RESERVE BANK REPORT SHOWED VBS TO BE CORRUPT & ROTTEN VBS Mutual Bank got into serious trouble for illegally taking deposits from Municipalities. This initiated serious scrutiny into the bank’s situation and soon VBS began to run into cash flow problems when anxious consumers tried to withdraw their savings. Soon afterwards the bank was placed into emergency curatorship in an effort to try to salvage the situation. The speed of the collapse brought to mind how African Bank folded so swiftly when things fell apart there.

The bank did not have the needed funds to give consumers their money, and it was revealed that there had been some very serious ‘financial irregularities‘ going on for some time. Fortunately for the depositors (many of whom had life savings tied up in the bank) Nedbank sprang to their rescue and assisted these consumers as did government who offered to cover as much as R100 000 per retail depositor.

An investigation was launched and it was found that millions and millions of Rand were missing from the bank. The bank had been systematically plundered for personal gain for ages, and huge amounts of funds were missing. All sorts of illegal and unethical behavior was soon revealed.

The SA Reserve Bank then called for an audit of the full extent of the situation and report into what went wrong. The detailed 139 page report

by Advocate Terry Motau has the catchy but shocking title: The Great Bank Heist. The report reveals rampant corruption, looting and illegal activity.

THE GREAT BANK HEIST Advocate Terry Motau’s report says, in part, that VBS simply cannot and should not be saved. One excerpt reads: ‘It is corrupt and rotten to the core’.

It appears that, at least, 53 people in the bank, almost all of whom filled some sort of management position benefitted, as over R1.9 Billion was looted from the coffers. Discussing the level of corruption the report states that there is ‘hardly a person in its employ in any position of authority who is not, in some way or other complicit’.

The shocking report shows that favored clients who had no deposits or realistic ability to repay regularly received access to large lines of credit.

It also shows that the bank issued payments to individuals in exchange for large deposits from state entities and municipalities. If these clients brought in these large deposits, they received payments or large lines of credit which were then never paid back. In many cases the credit limit was just extended again and again.

VBS are famous for being the bank to bail out the former President Zuma when he had to “pay back the money“. This caught the media’s eye as they were unsure how the former President was going to be able to repay the loan based on his Presidential income. Very unusually the former President was granted the loan and given access to the funds about 9

‘It is corrupt and rotten to the core’.

months before signing any papers. This may also indicate that this credit was granted recklessly and he could potentially apply to the NCT to have the loan written off.

It seems the ties to the Zuma family do not end with this famous Nkandla loan. According to the report, a former VBS CEO, Andile Ramavhunga says that he oversaw payment of R1.5 Million to the “Dudu Myeni Foundation” so as to get a state-owned rail agency to deposit R1 Billion with the bank.

A little ‘tit for tat’ exchange. The foundation referenced appears to actually be the former President’s foundation (which famously paid out over R4 million in emoluments to Chairperson Dudu Myeni between 2013 and 2017).

Other politicians and family were also seemingly beneficiaries of the bank such as EFF leader Julius Malema’s Cousin who received around R6 Million according to the Mail & Guardian. The brother of the deputy leader of the EFF (Mr Shivambu) has also been accused of receiving around R16 Million from VBS as well. The Deputy leader, Mr Shivambu is now fielding off his own accusations that he too received R10 million. This has sparked fun and games at parliament where members of opposition parties have begun to heckle Mr. Shivambu to “pay back the money”.

Royalty also seem to be implicated in the report, as the Venda King seems to have received around R17 Million from the bank in the looting process.

Previously accusations were made that President Zuma only received his sudden questionable Nkandla loan after supporting the then future King in his ultimately successful bid for the throne.

THE FALL OUT The report has sparked public outrage and disillusionment with both the bank and many politicians.

As the web of deceit is slowly removed from around VBS, no doubt more shocking stories will come to light in the months ahead. It is also possible that soon arrests and legal action will begin, although it is very uncommon for bankers to be arrested.

In the wake of the 2008 global economic collapse, where many bankers from institutions across the globe were implicated in all sorts of dodgy and illegal shenanigans which costs hundreds of thousands of consumers their livelihoods and pensions and plunged the world economy into freefall, only one high profile individual was ever arrested.

PAYING FEES IS

SAVING YOU MONEY

PAYING FEES CAN SAVE YOU MONEY All of us understand that we have to pay for goods. If you go to the shop and want some apples then you understand that you must pay the supplier for those apples. We also understand that most services come with a cost. For example, you may pay someone to fix a broken appliance, when the work is done you pay them and take your (hopefully repaired) appliance back home.

Paying professionals for their services is also something that makes sense to us. If you go to the doctor they will bill you, we understand that. If you go to the gym and have a personal trainer, you will have to pay them for the work they do trying to get you into shape.

Debt review is much the same. There are professionals and service providers who offer professional services during the process which consumers can make use of. For most, these will include at least, the services of (1) a Debt Counsellor (2) an Attorney and (3) a Payment Distribution Agency (or PDA for short).

The Debt Counsellor will, among other things, help review the consumer’s situation, help them adjust their monthly spending habits, make payment proposals to credit providers and help organize the monthly repayment plan.

The Attorney will take the repayment plan and responses to the proposals to court and ask the court to make the plan into a court order.

The PDA may help provide some of the software needed by the Debt Counsellor and attorney. They will assist consumers to make the right payment on the right day to the right credit provider into the right account. They will also provide the consumer with a record of these payments.

Government has never as yet set out the exact fees that can be charged for different aspects of the process (other than a mention of R50). Instead Debt Counsellor Associations and the National Credit Regulator have issued guidelines which they feel are fair to consumers and professionals alike. Law Societies also have guides on fees which attorneys follow.

Let’s have a quick look at how the fees work and then we can talk about if paying these fees is worth it and how they can save you money.

PAYING FEES CAN SAVE YOU MONEY

WHERE DO YOU GET MONEY TO PAY FOR DEBT REVIEW?

One of the best aspects of debt review is how you do not have to pay any big fees upfront.

When a consumer applies for help, their financial situation is reviewed within a short time period. Their Debt Counsellor works with them on their monthly budget, and looks at what they can realistically afford to live on (with some big lifestyle changes).

Once the Debt Counsellor knows how much they need for monthly household spending, they can simply do some simple math and deduct this figure from the consumer’s income. This produces an amount which can be used to repay debts on an ongoing basis every month.

This is where things get technical and tricky, but the Debt Counsellor works out a plan over time that is as fair to all the credit providers as is practical.

They may even use computer software to calculate a repayment plan which they know all the consumers credit providers will probably accept.

Then they propose this repayment plan both to the credit providers and ultimately a court.

It is from this adjusted monthly debt repayment amount (which the consumer definitely has available) that any and all fees will come during the process.

It doesn’t come out of the consumer’s monthly living costs and it doesn’t get paid up front.

Don’t let debt be your legacy.

Debt leaves a mark on all of us. And if we don’t manage it, it can pass from us to our children.

But if you call us today we can help you. We have already helped 50 000 South Africans just like you.

We can significantly reduce the monthly payments on the money you owe, so you can pay off your debt and live your daily life stress free. What is your financial freedom worth to you and your family?

Call 087 237 7874 today and together we can take control of your debt.

DebtBusters voted SA’s BEST National Debt Counsellor at the SA Debt Review Awards 2014, 2016, 2017 & 2018

DebtBusters employs NCR registered debt counsellors | www.debtbusters.co.za

PAYING FEES CAN SAVE YOU MONEY

INITIAL PROFESSIONAL FEES Traditionally, the bulk of the Debt Counsellors professional fees come out of the consumer’s initial adjusted debt repayment figure.

The first time the consumer switches to this newly reduced monthly debt repayment plan, the fees will be deducted from that payment. (Note: the court will probably not have made the proposal into an official order yet, so the final recurring monthly figure may later change slightly) The following month, most consumers will have some of their new look adjusted monthly debt repayment amount allocated towards their legal costs or attorneys professional fees. It could happen that these fees are set one side in a trust account or something similar (due to wording of the current NCR fee guideline). These are the two larger normal professional fees and happen once-off as the process is starting. There are however, other smaller recurring fees that happen monthly.

PAYING FEES CAN SAVE YOU MONEY

MONTHLY PROFESSIONAL FEES If you have a cell phone contract or something similar, then you will be familiar with paying a monthly fee for ongoing services.

Each month you pay for the services of your service provider. If you don’t pay then, you can realistically expect them to stop providing you access to the network or their services.

Debt review has a similar concept. Since consumers need the ongoing help of Debt Counsellors to help organize payments, update them on their review and progress at court, negotiate with credit providers when things change or disputes arise and to review their situation and adjust things when appropriate, funds need to be set aside for these ongoing services.

Something like a retainer fee system is in use. A small amount is set aside out of the consumer’s monthly debt repayment towards these costs.

The consumer will also pay a monthly fee to their nominated Payment Distribution Agency (PDA). These fees enable the PDA to operate and distribute funds. Over time, the amounts that must be paid to the consumer’s various credit providers will shift and change, small adjustments often have to be made to ensure that the credit providers receive the agreed amount.

Some credit providers are very picky and if the exact amount, to the cent, is not received on the agreed day, they can use this as an excuse to get out of the reduced repayment plan and try to sue the consumer for much larger amounts again. So, the correct distribution of the funds (and being able to prove these payments have been made) is vital.

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Picture Credit: Alekksall | www.freepik.com

PAYING FEES CAN SAVE YOU MONEY

BUT FEES COST ME MONEY! It is true that professional fees, even though they come out of the debt repayment, do cost. Some consumers would like to save on as many fees as possible.

They feel that if they are paying the Debt Counsellor R100 a month for 5 years while paying off their debt, that adds up to R6000. They wonder: wouldn’t it be better to rather not make use of a Debt Counsellor and use that R6000 over 5 years to pay towards their debt?

They may wonder if they could handle the payment side of things themselves, and avoid paying the PDA fees each month.

While that may seem true at first, in reality, it is not that simple.

PAYING FEES CAN SAVE YOU MONEY

YOU CAN’T GET THE SAME REDUCED PAYMENTS OUTSIDE OF DEBT REVIEW No doubt, before you entered debt review you tried to ask your credit providers for more time to repay or, to repay less than they were demanding each month.

After all they were all clamoring at the same time to get paid and all don’t care about what you owe other credit providers. You probably had limited success.

Debt Counsellors can make use of the process to get consumers hugely reduced monthly repayments through the negotiation process. They work with credit providers daily, and understand what repayment amounts and agreements can be reached with different credit providers (they are not all the same). Credit providers know that they are being treated fairly and that the consumer is not hiding funds or income.

Using DCRS for example, (a debt repayment calculation software calculator from credit providers) consumers can often have interest rates on unsecured credit, lowered all the way to zero percent. If you suggest that to your credit providers outside of debt review, they will simply laugh at you.

Picture Credit: Alekksall | www.freepik.com

Picture Credit: Alekksall | www.freepik.com

PAYING FEES CAN SAVE YOU MONEY

SAVINGS When in debt review many consumers benefit from the Debt Counsellor organizing that they do not have to pay monthly account fees and charges.

Most consumers have at least 7 accounts. If a consumer only has 7 accounts and the credit providers were charging them R70 per account each month, then that adds up to R490 saving each month. Compare that with the professional fees on the ‘average’ case (based on the available debt repayment amount) and most consumer pay only R110 a month for professional fees.

Then you can consider all the other savings on late payment fees and penalties and additional interest etc.

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086 111 6197

HELP NEW MOMS & BABIES Being in Debt Review and Pregnant can be daunting prospect due to the sudden extra unexpected costs. It can even threaten to ruin your debt review. DCCS want to help pregnant Debt Review moms with a special gift hamper to help them deal with the extra costs.

Each Hamper consists of nappies, creams, soaps, wipes, clothing and a receiving blanket. Would you like to donate a pack to help a pregnant debt review mom?

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DEBT COUNSELLING COMMUNITY SUPPORT

PAYING FEES CAN SAVE YOU MONEY

CAN YOU DO IT YOURSELF? So could you (1) work out a new repayment plan (2) go to court and (3) handle monthly payments yourself?

If you are not a Debt Counsellor you have to deal with the commission driven collections departments and attorneys and they are much less accommodating.

Debt review can be done via a court. It is, in fact, not a Debt Counsellor who restructures the debt but rather a Magistrate (or Judge). So, rather than paying an attorney, a consumer may say they want to prepare court documents themselves and go to court and represent themselves. Do you think that is a good idea? Do you know what documents are needed and when and where to submit them?

You can make monthly repayments on the various debts in debt review, but do you know if the account numbers and references have changed because of the review? Are you good at reading the Debt Counsellor’s changing cascading repayment amounts, and sticking to them each month so that credit providers don’t use ’incorrect payment figures’ as an excuse to take you to court again?

Debt Review departments at credit providers ONLY DEAL WITH NCR registered Debt Counsellors!

KIM ARMFIELD

AND ASSOCIATES

DEBT REVIEW | CREDIT LAW | LITIGATION CONTRACTS | FAMILY LAW | WILLS & ESTATES Tel: 021 949 1758 | 084 702 3760 info@legalwc.co.za | w w w.capeat torney.co.za

PAYING FEES CAN SAVE YOU MONEY

ONCE THE REVIEW IS ALREADY GOING Some consumers are happy to pay the initial professional fees to the Debt Counsellor and Attorneys.

They may even be happy to pay the PDA fees for a while, but later start to wonder if they can’t change things up and handle everything themselves since the process is already up and running smoothly.

They may tell the Debt Counsellor that they no longer need their monthly services and that they will handle payments rather than use a PDA. Many consumers do this and hope for the best. It could even save them as much as R250 a month for example.

It is however much like telling your mobile network that you will no longer be paying them for their services since your contract is all sorted out now and your phone is working well.

It is important however to consider some challenges that result and how this might not save you a cent in the long run.

WHEN YOU NEED THE DEBT COUNSELLORS HELP AGAIN If the consumer runs into difficulty with a credit provider and is struggling to get the matter resolved, they may want to return to their (former) Debt Counsellor.

The Debt Counsellor is then (as per the current guideline) able to ask the consumer for the fees for the months since they last paid their monthly aftercare fees, before assisting them. Sort of like how a mobile network may require you to catch up missing month’s payments before they allow you to use the network again.

These fees will then be used to handle the situation that has arisen.

GETTING A CLEAR ANCE CERTIFICATE The same can be true for when consumers pay their own debts for many years (sticking to the debt restructuring court order amounts) and finish paying up their debts.

One of the things they would like is to have all record of the review removed from their credit record. They will then require a Clearance Certificate from a Debt Counsellor which is currently a rather long and irritating process due to how the credit bureaus ignore the legal requirements. If they return to their former Debt Counsellor, they are currently, entitled to ask the consumer to catch up all the missed payments before assisting them. So, no saving there.

If they try to go to a new Debt Counsellor, they may be asked to pay similar fees to cover all the work involved (it won’t be free). This means no saving on the consumer’s part and having to run through the process unaided.

Another thing that happens is that consumers often end up over paying on their debts without realizing it because no one is able to help them reconcile the payments and statements during the process. This can result in you unnecessarily paying out extra money.

PAYING FEES CAN SAVE YOU MONEY

WHEN CREDIT PROVIDERS TERMINATE If a consumer, who is not using a PDA, makes incorrect payments or uses the wrong reference code or a similar mistake at some point during the years of repaying the debt, they may find that credit providers try to end the process and hand them over to collections attorneys again.

If the consumer is able to somehow get hold of the right person to talk to about not doing this, they will need to prove all their payments over time. This will require that they have kept an excellent record of payments.

Without the services of a PDA they may find they are unable to produce all requested proof of payments.

Another aspect to consider is setting up debit orders and such. These cost funds and can quickly add up. Many consumers have between 7 and 12 credit accounts when entering debt review. Consider the banking fees alone on 12 different changing debt repayments rather than one single payment from consumer to PDA (who then handle the rest).

Picture Credit: Alekksall | www.freepik.com

Picture Credit: Alekksall | www.freepik.com

PAYING FEES CAN SAVE YOU MONEY

AVOIDING FEES COULD COST YOU THOUSANDS It would be a pity to save a few hundred rand in fees and then run into problems which could cost you your car or house.

It is important to weigh up the risk to benefit ratio of having professionals in your corner, who handle financial matters every day vs trying to save a few rand on your own.

When consumers stop paying for the help of a Debt Counsellor, then later need their assistance, they will be liable to pay catch-up fees anyway, so this simply exposes the consumer to risk without benefit.

Taking over payments on your debts may seem appealing, but creates additional banking costs and takes a lot of time and effort. If dispute arise, you may not be as organized as you think and may be unable to prove that you made the right payments at the right time. You may be forced to hire expensive attorneys to go to court to try save your assets. Since PDA’s carry insurance for payment mishaps and you do not, it is important to decide if saving their small fee is actually a true saving in any way.

PAYING FEES CAN SAVE YOU MONEY

YOU GET WHAT YOU PAY FOR When choosing what service provider or professional to make use of, we will naturally consider their fees. We won’t blindly just choose the first professional who comes along.

We do, however, understand that when you pay a professional (like a doctor or dentist or attorney) then you are getting the benefit of all their experience, knowledge and facilities. This is why we are prepared to pay.

We also know that some professionals are more experienced and may charge more than others. The right help at the right prices is a winning formula.

When entering debt review we can expect that when dealing with professional Debt Counsellors we will pay them for their time, effort, expertise and services, that’s normal. Because we want good service we pay fees, if you don’t get the level of service you require, then demand it (don’t just stop paying!!).

Avoiding a few small fees that are built into the process, can be extremely dangerous and probably won’t save us a cent in the long run. Even if you feel that they are not doing anything for you right now, don’t be quick to stop payments. Consider: if you have a mobile phone contract and decide not to use the phone this month (so, it is not ‘doing’ anything for you) that doesn’t mean that the network doesn’t still have staff to pay, towers to maintain and other costs which will benefit you if you do suddenly decide to use your phone this month. It will certainly benefit you that they are still in business next month when you do use your phone again.

Paying professional fees is actually saving you hundreds of Rands in fees every month. If you pay nothing, then you can be sure you will get exactly what you pay for.

THOSE WHO NEVER PAY There are many consumers who start the debt review process but never actually follow through. For some debt counsellors, this is as many as one in five consumers who sign up. These consumers are shown on credit bureaus as having applied, but never make any debt review payments. Why? When a consumer applies for debt review, it begins a legal process as set out in the law. It also means that Debt Counsellors and credit providers start doing a lot of extra work on behalf of the consumer. Because the National Credit Act requires that Debt Counsellors and Credit Providers hurry to help sort out the consumer’s situation, a lot of work is done for the consumer in a very short period of time. This is why when the consumer later doesn’t cooperate and pay according to the Debt Counsellors proposal (including professional fees) which they are presented with, this places great strain on already busy Debt Counsellors and credit providers. It is a huge drain on finances and staff resources.

THOSE WHO NEVER PAY

FRUSTR ATED CONSUMERS CONTACTING THE NCR Many consumers who talk to someone on the phone about debt review later realize they have been captured on the NCR database and credit bureaus as having applied for debt review.

This is one of the areas where the NCR receives the most enquiries and complaints in regard to debt review (this and the NCR debt help system not actually removing consumers from debt review on the credit bureaus).

These consumers are then cut off from credit or see the listing as negatively affecting their work or housing prospects and are desperate to get the listing removed at the credit bureaus. When they can’t remember which Debt Counsellor or firm they were dealing with, they contact the NCR.

THOSE WHO NEVER PAY

THE NCR AND CREDIT BUREAUS The NCR (and National Credit Act) make it obligatory to inform the various credit bureaus when a consumer applies for a debt review.

A ‘debt review’ is not ‘debt restructuring’ but is the part of the process where the Debt Counsellor figures out if the consumer is over indebted or not (has more debt than they can repay at the end of the month and still cover their living costs).

The results of the debt review can be (1) the person has too much debt, needs help and should not receive further credit (which credit providers will be able to figure out anyway) or (2) that the person is not over indebted but can afford to repay their debt if they adjust a few things with their lifestyle and credit usage.

For the casually curious consumer who wants to get a better picture of their debt status and financial options, this makes applying for an evaluation dangerous. The Debt Counsellor may capture them on the NCR database and the NCR in turn will notify the credit bureaus, and this may mean the consumer’s access to credit is impeded. These consumers may simply be enquiring about debt review, but do have other options available or other plans underway to deal with their debts.

KIM ARMFIELD

AND ASSOCIATES

When debt review clients don’t pay they put your entire practice at risk!

We make sure you get paid for the work you’ve already done!

Tel: 021 949 1758 | 084 702 3760 info@legalwc.co.za | w w w.capeat torney.co.za

THOSE WHO NEVER PAY

COMMITTING ON THE PHONE‌BY MISTAKE? Debt review promoters who contact a consumer (or who are contacted by a consumer) may draw the persons credit bureau report without the consumers permission, and could go so far as to capture the individual on the NCR Database even though the person is not 100% sure they want to proceed.

When sales people are motivated by commissions based on sign ups, this is guaranteed to happen in any industry. Debt Counsellors need to ensure that only those who truly want to sort out their debt through debt review should be captured on the system.

As sales staff have tried to make it easy for people to commit to the process by removing extra steps (the more steps the less likely we all are to commit to something) this also has had the effect of not allowing many consumers time to fully contemplate if it is what they are willing to commit to.

THOSE WHO NEVER PAY

I DIDN’T REALISE‌ It could be that the person does not fully realize what they are agreeing to. They may give verbal agreement that they would like to pay less towards their debt each month, and that they are interested but it is impossible to clearly explain all the ins and outs of debt review and debt restructuring during a very short phone call.

Consumers may speak to a marketing sales person, a junior consultant or even a Debt Counsellor and initially feel that debt review is indeed right for them. They may however not consult with other members of their household, who would also need to get on board and support the debt review process. If these other people in the house later tell the person not to go ahead, they may simply cut off contact with the Debt Counsellor thinking this will halt the process.

THOSE WHO NEVER PAY

THOSE WHO DECIDE NOT TO GO AHEAD BECAUSE IT WILL REMOVE THEIR ACCESS TO CREDIT Over indebted consumers won’t qualify for credit if they eventually do try to take on more debt, but most have the mindset that more credit is always the answer to their existing hefty debt issues.

When they realize that debt review means no more credit (until your debts are settled) they panic and simply do not pay, thinking this will make the debt review status at the credit bureau go away and restore their access to credit. WRONG! Their debt review status doesn’t simply magically disappear because they stop paying.

THOSE WHO NEVER PAY

A BIG COMMITMENT There are also those who fail to realize how serious debt review is. For the majority of applicants, Debt review is a 3 to 5 year commitment to working on their spending habits and sorting out their finances.

It involves big lifestyle changes.

Initially some consumers find the idea of debt review (with its reduced debt repayments and savings on fees and charges) exciting, but within a few days they simply change their minds and they no longer want to pay off their debts through debt review. This is a type of “buyer’s remorse”, a fear of commitment and resistance to change.

THOSE WHO NEVER PAY

GIVE THEM TIME It takes time to get used to the new normal.

When asking consumers to commit to a lengthy process which will change the way they plan, shop, think, spend, budget, eat, socialize, adjusts their lifestyle, reduces the amount of luxuries they have enjoyed and forces them to focus on getting rid of debt, it is definitely wise to allow the consumer time to make an educated and unhurried commitment.

THOSE WHO NEVER PAY

LESS SALES True, giving consumers more time to potentially back out of starting a debt review may mean that many consumers will not sign up. It could cut sign-ups by 20% or more.

It will however also cut down on all the extra pointless work which is obstructing things at credit providers, Debt Counsellors, PDAs and attorneys. Rather than see a potential drop off by 20% of uncommitted or uninformed consumers, imagine debt review companies and credit providers who have freed up an additional 20% of their time and energy to address and care for their current clients.

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NEWS RECKLESS LENDING - NCR CALL FOR COMMENT The NCR have decided to remove any financial incentive to Debt Counsellors to check if credit providers are granting consumers reckless credit which they cannot afford. This was announced in a recent industry circular which proposed removing the fee to investigate reckless credit (which was only recently introduced by the NCR). The NCR have however called for comments on the topic and those who wish can submit a comment by the 31st of October 2018 to dcinfo@ncr.co.za

UBANK IN TROUBLE OVER RECKLESS LENDING MATTER Ubank gave Mr Mojalefa four loans to the tune of R 225 727.

This eventually meant that Mr Mojalefa had to make debt repayments of R9563 each month out of his salary as a mine worker. This would prove to be difficult since he only earned R6 792 each month.

When Ubank gave Mr Mojalefa so much credit that he could not possibly repay based on his income this was reckless.

Fortunately for Mr Mojalefa, he was able to reach out to a Debt Counsellor (and Alternative Dispute Resolution Agent) who suggested talking to the Ombud for Banking Services about what had happened (interestingly this matter was not referred to the NCR for investigation or the National

NEW FINANCE MINISTER

Consumer Tribunal for a ruling).

Given the overwhelmingly simple math involved, the Banking Ombud told Ubank to write off the debts. Ubank say that the multiple loans were mistakenly given to Mr Mojalefa due to a system error which they have since addressed.

Following the Resignation of Finance Minister Nhlanhla Nene, Mr Tito Mboweni, the former Reserve Bank Governor, has stepped into the position.

Mr Nene left the post under a cloud, in the face of strong public pressure over state capture allegations. He had met several times with the Gupta family at their home while he served as Deputy Minister (and later Finance Minister).

Mr Mboweni has extensive financial experience and was first appointed as labour minister in 1994. He served as Reserve Bank Governor from 1999 until 2009. He has since been busy in the private sector working with such companies as Goldman Sachs. He was immediately thrown into the deep end and asked to present the country’s Mid Term Budget this month.

MID TERM BUDGET SPEECH The Rand which had jumped earlier in the month, after Presidential promises of financial stimulus, dived in the wake of the Mid Term Budget Speech which presented a realistic view of local economic growth and pointed to more national debt to come in the next few years. The speech by newly appointed Finance Minister Tito Mboweni tried to be optimistic while dealing with some of the hard issues at hand which is going to see the country experience some really tough times ahead.

Minister Mboweni described the economy as currently being at a “crossroads”. Major areas of budget spending will include health and education where an amount of around R5.9 trillion is allocated and R911 Billion on “social development”.

R203 Billion will go towards

the military and related costs.

An amount of R5 Billion has been set aside to help save SAA and another R1.5 Billion for SA Express. The Post Office will be getting R2.9 Billion to try to keep it afloat as it takes on its new role handing social service grant payments. It was announced that no additional taxes are planned for 2019 unless the “economic environment” calls for it. Recent changes at SARS mean that finally, many refunds which should have been handed out and were not will now be distributed. But SARS has been collecting less than expected and the economy has not been doing well. Treasury had previously predicted a 1.5% growth (GDP) but this has now been reviewed down by 50% to a much more modest 0.7%. National debt is set to increase to 58.5% of GDP by 2022 (that’s an extra 3% over what it is now). Also because National debt is often in foreign currency a weaker Rand can have a negative effect. Recently, the Rand has been doing poorly and this accounts for 70% of the anticipated R48 Billion increase in debt.

PROFESSIONAL DEBT COUNSELLING ATTORNEYS TEL: 021 872 1968 1 1 M A R K E T S T R E E T, PA A R L w w w. s t e y n c o e t z e e . c o . z a

DEBT COUNSELLOR FORM 42 REPORTS DUE Debt Counsellors have until the 15th of November to prepare and send in their thirdquarter statistical reports to the NCR. The reports must cover the period of 1 July to 20th September.

NCR DEBTHELP WOES Several Debt Counsellors are reporting issues with the NCRDebtHelp System since it was recently updated.

The System is used by Debt Counsellors to update the NCR as to who has applied for help and how far along they are in the process. Some Debt Counsellors report a glitch which allowed them to see private statistics of other Debt Counsellors. Others say they are receiving requests for transfers of clients who they never helped in the first place.

One Debt Counsellor reportedly found an additional 3000 clients allocated to her profile suddenly.

STUCK

U S I N G

ANCIENT

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DCASA AGM DATE ANNOUNCED The Debt Counsellors Association of South Africa (DCASA)is numerically the largest association of Debt Counsellors in South Africa. Each year DCASA get together to hold their Annual General Meeting (AGM) as per the requirements of their Constitution.

The AGM provides a chance for association members who are in good standing to vote in regard to a number of Association matters including the composition of the National Executive Committee. Those who are in good standing and are not able to attend will be able to submit their votes via proxy (if they fill in the applicable paperwork).

At the AGM, the association’s President will give a report

on the last year of DCASA activity and the financial side of things will also be covered in a consideration of the audited financial statements.

The AGM will be held in Kempton Park in Gauteng at the Kempton Park Golf Club on the 13th of November 2018 and starts at 10am.

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Die Republiek van

SKYT AFRICA Hi Almal, Ek het gewag vir ons nuut aangestelde Minister van Finansies Tito Mboweni se begrotingstoespraak voordat ek hierdie artikel kon finaliseer gevolglik wil die Redakteur my ore afdraai. Soos menigte wou ek weet in welke rigting Tito gaan beweeg. Die detail van sy toespraak was nie so seer vir my belangrik nie maar sy boodskap en sy denkrigting. Dit is te verstane dat hy nie die boeke gaan laat klop in die volgende jaar en moontlik nie die volgende twee jaar nie, die Staat se skuldvlakke is daarvoor te hoog en die ekonomie te traag maar sou hy in die regte rigting beweeg?

My Oupa het altyd, wanneer dinge die heeltyd skeefloop tong in die kies n denkbeeldige Bybelversie aangehaal, Moses 3 vers 3, die Vader weet so kan dit nie aangaan nie. Alhoewel dit skertsend was is die bedoeling daaragter baie duidelik, iets moet daadwerklik gedoen word en bleddie gou. Ek wil my verstout deur te sĂŞ Tito het ook al hierdie aanhaling gehoor.

Die geplundery, diefstal, bedrog en onbevoegdheid kry nou n einde, halleluja! Erkenning dat daar fout is en n plan om dit regtestel. Dit in opsigself is n positiewe stap, die uitvoering daarvan gaan bepalend wees.

Maklik gaan dit nie wees nie maar ek hou duime vas.

Op n kleiner skaal is dit seker die kruispad wat menigte verbruiker wat finansieel swaar trek ook by staan. Is jou skuldvlakke van so n aard dat jou boeke nie klop nie? Is jy eerlik met jouself en gesin deur te erken dat daar n probleem is? Besef jy dat dinge nie so kan aangaan nie? Skuld is n swaar las wat bitter moeilik alleen gedra kan word, roep die hulp van kundiges in sodat hulle jou kan help beplan en raad gee en moenie wag totdat die trein heeltemal ontspoor het nie.

Een van die snaakste en tog tragiese woorde wat die afgelope tyd gespreek was, was die van die IT hoof van SARS. “Please protect me from yourself”.

Ongelooflik maar waar, dit het my egter aan die volgende laat dink. Please protect me from myself – indien jy nie die regte besluite gaan neem nie en daadwerklik met n plan rakende jou finansies optree nie gaan daar geen oplossing wees nie, beskerm jouself teen jou eie swak besluite.

So van SARS gepraat, dien tog die opgawe in. Die Staatskas is leeg en hulle gaan genade toon nie.

Groete, Christo 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

DON’T WORK WITH AN OUT DATED VERSION OF THE ACT

UPDATED 2017

We are happy to announce that the Amended National Credit Act booklet is now available via our shop.

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Listen to a great interview with Toby Chance MP, Shadow Minister for Small Business Development in SA. Toby is introducing new legislation that creates an Ombudsman for small businesses

Debt Counsellors Collective The NCR has confirmed that the Debt Counsellors Collective has been granted a seat at the Credit Industry Forum. We will be able to represent members there in the future so be sure to sign up for the Collective: alanm@moneyclinic.co.za

https://soundcloud.com/scottcundill/toby-chance-mp-and-the-neweconomic-rights-alliance

Please send your comments on the proposed removal of reckless lending fee to the NCR before the end of Oct 2018 www.allprodc.org

DC Quarterly Reports are due by Nov 15th.

www.bdcf.co.za

Notice is hereby given that an Annual General Meeting of members of DCASA will be held on

NDCA continues to actively

November 13th, 2018 at 10h00, at Kempton Park Golf Club

CIF, and looks forward

for the purpose of attending to the annual business of the association. www.dcasa.co.za

participate in industry forums, including the to the implementation of proposed DCRS rule changes

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Corporate Rebels offer an online eLearning course on the CPA. The course takes you progressively through the Act, section by section. All the materials you need for the course are provided for download with one or two easy clicks. Review questions throughout the course help make the main points stand out and help you retain the information. Because the course is conducted online, it can easily be done on a mobile device and can be done from the comfort of your home or elsewhere. Since the online dashboard constantly saves your place, you can always log off or back in whenever you want and continue without losing your spot.

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INDUSTRY EVENTS DCASA Meetings With the end of the year coming, local DCASA regional branches across the country are meeting for the final time this year. At the Western Cape Regional Meeting (sponsored by DC Partner PDA) those who had not had the chance to attend the DCASA Annual Conference, which was held in Gauteng, were able to get a taste of some of the presentations and information which had been shared. There were also updates on the Credit Industry Forum, a look at the year ahead (it is predicted to be a tough year for consumers). The group discussions covered a range of topical matters from the NCR Debt Help system to dealing with individual credit providers. The upcoming DCASA AGM will be held during November in Kempton Park.

Capitec DC Conference Capitec Bank held a Conference with Debt Counsellors in Stellenbosch during the month. The conference gave the Capitec team and local Debt Counsellors the chance to meet and chat face to face (as opposed to via email as is so common).

Attendees got to enjoy refreshments and even some educational entertainment from the Silent Conductor who tried to get the audience in sync. Client retention and common processes were topics covered during the day and all who attended say they greatly enjoyed the event.

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PENNY WISE Cathy Foster Debt Counsellor – NCRDC1977 Penny Wise Debt Counselling Tel: (011) 679 1540 Fax: 086 719 3378 Mobile: 083 298 4467 Email: cathy@pennywise.co.za www.pennywise.co.za

Credit Matters South Africa’s Leading Debt Counsellors 14th Floor, The Pinnacle Cnr Strand & Burg St Cape Town Tel: 086 111 6197 Fax: 021 425 6292 info@creditmatters.co.za

GAUTENG

Armani Debt Counselling Take the First Step to Financial Freedom Tania Dekker Tel: 011 849 3654 / 7659 www.armanigroup.co.za

Dynamix Debt Counselling TLC Alida Christie NCRDC2324 Office 1, 34 Beefwoodstreet, Vanderbijlpark, 1911 Tel: 079 520 4369 Tel: 016 100 8020 tlcdebt@mweb.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

NCRDC197 Tel: 011 660 9970 Fax: 086 540 5017 KRUGERSDORP e-mail: nicky@nvdmdc.co.za www.nvdmdc.co.za

Creators In Financial Wellbeing NCRDC677 You Are Not Alone We’ll handle your creditors so you don’t have to!

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All Debt Solutions Fast tracking your financial freedom Tel: 0861 255 3328 / 021-557 9981 Email: info@allds.co.za www.alldebtsolutions.co.za https://www.facebook.com/ alldebtsolutions

“Helping you the SMART way” 0860 061 008 info@smartdebtadvisors.co.za www.smartdebtadvisors.co.za

CCDC Consumer Care Is our Priority.

Tel: 018 462 4263 / 073 624 6949 Email: info@ccdc.co.za www.ccdc.co.za

DEBT NO MORE - NCRDC1973 Christelle du Toit Tel: 016 423 6301 Cell: 083 321 6731 FAX: 086 219 3306 Email: debtnomore@jjckruger.co.za

www.jpawfin.co.za

GAUTENG

MV Business Empowerment 9 River Road Morning Hill Bedfordview (next to Eastgate mall) Tel: 083 490 3339 velaphi@infitech.co.za

Suite 7 Gladstone Court 103 Smiso Nkwanyana [Goble] Road Morningside Durban Tel: 031 303 1004 Mobile: 076 835 2810 Email: jbechoo@jb-attorneys.co.za

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Tel: 010 005 5326 Cell: 083 748 4426 FAX: 086 571 7003 www.dpalegal.co.za

South Africa’s largest and most trusted, multi-award winning Debt Counsellor.

National Debt Advisors Fighting For Consumer Justice Tel: 021 007 1688 www.nationaldebtadvisors.co.za

KWAZULUNATAL

Debt Review Specialists 23 Coronation Road Mithanagar Tongaat 4399 Tel: 071 222 9481 Tel: 032 944 3446 admin@kmadebt.co.za www.kmadebt.co.za

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DEBT FREE, STRESS FREE AND LIVE BETTER 084 367 1236 info@bmhdebtsolutions.co.za www.bmhdebtsolutions.co.za 17 Arbee Drive, MP Centre Office 09, Tongaat,4400 Registered Debt Counsellor NCRDC2662

Credit Matters South Africa’s Leading Debt Counsellors 14th Floor, The Pinnacle Cnr Strand & Burg St Cape Town Tel: 086 111 6197 Fax: 021 425 6292 info@creditmatters.co.za

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Credit Matters South Africa’s Leading Debt Counsellors 14th Floor, The Pinnacle Cnr Strand & Burg St Cape Town Tel: 086 111 6197 Fax: 021 425 6292 info@creditmatters.co.za

LIMPOPO National Debt Advisors Fighting For Consumer Justice Tel: 021 007 1688 www.nationaldebtadvisors.co.za

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SMS Salary Management Services Annerien de Jager Registered Debt Counsellor NCRDC0075 015 307 2772 info@smslimpopo.co.za

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MPUMALANGA GMC Debt Solutions 52 Kerk Street Lydenburg Tel: 087 802 7054 Tel: 087 151 1034 www.gmcdebtsolutions.co.za

Romi Oliphant Debt Counselling Service 013 650 0116

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Credit Matters South Africa’s Leading Debt Counsellors 14th Floor, The Pinnacle Cnr Strand & Burg St Cape Town Tel: 086 111 6197 Fax: 021 425 6292 info@creditmatters.co.za

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Credit Matters South Africa’s Leading Debt Counsellors 14th Floor, The Pinnacle Cnr Strand & Burg St Cape Town Tel: 086 111 6197 Fax: 021 425 6292 info@creditmatters.co.za

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Credit Matters South Africa’s Leading Debt Counsellors 14th Floor, The Pinnacle Cnr Strand & Burg St Cape Town Tel: 086 111 6197 Fax: 021 425 6292 info@creditmatters.co.za

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CONSOLIDEBT Heidie Knorr NCRDC209 Paarl, Worcester, Wellington, Ceres, Piketberg, Clanwilliam, Vredendal Tel: 021 863 2754 / 082 380 4401 consolidebt@vodamail.co.za

CHOOSE YOUR FINANCIAL FREEDOM TODAY Tel: 021 204 8001 • Email: dc@ffsdc.co.za

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ISISEKO DEBT HELP Get Your Life back on track TEL: 087 230 0223 FAX: 086 551 1649 EMAIL: makanti@isiseko.co.za WEB: www.isiseko.co.za

Credit Matters South Africa’s Leading Debt Counsellors 14th Floor, The Pinnacle Cnr Strand & Burg St Cape Town Tel: 086 111 6197 Fax: 021 425 6292 info@creditmatters.co.za

NCRDC1142 No 2 Golden Isle Building 281 Durban Road, Oakdale, Bellville, 7535 Tel: 086 111 3749 Email: help@zerodebt.co.za www.zerodebt.co.za

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CONSUMER DEBT SUPPORT Annienne Nel NCRDC2452 Kairo’s House, 22 Fairfield Southstreet, Parow, 7550 Office: 021 930 5791 Cell: 082 641 2328 Fax: 086 563 3264 e-mail: info@debtcentre.co.za www.debtcentre.co.za

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RIGHT STEP TO A DEBT FREE LIFE. 086 111 2274 081 785 3724 info@logicaldebtsolutions.co.za www.logicaldebtsolutions.co.za

SUPPORT SERVICES

011 451 0041 0860 072 768 www.dcmax.co.za

COMING SOON

lana Van Herwaarde, DC Operation Centre (PTY) Tel: 0867227405 Email: info@dcoperations.co.za www.dcoperations.co.za

TRAINING

DEBT 086 126 6562 debt@one.za.com www.one.za.com

INSURANCE

LEGAL

Liddles & Associates “It always seems impossible until it is done” N. Mandela (T) 021 930 5790 (F) 0866070940 (E) frontdesk@liddles.co.za www.liddles.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

RM Brown and Associates 16th Floor, The Pinnacle Cnr Strand & Burg St Cape Town Tel: 021 202 1111, f: 021 425 0875 Email: roger@rmbrown.co.za

Your Debt Counselling Attorneys Johannesburg | Cape Town Andre Van Zyl 021 494 4862 Kim Armfield Attorney & Family Law Mediator Address: Unit 1B, FinansHuis, 7 Voortrekker Road, Bellville Tel: 021 949 1758 / 021 945 2526 Office cell: 084 8588 284 kim@legalwc.co.za

info@bassonvanzyl.com

www.bassonvanzyl.com

CREDIT BUREAUS

Xpert Decision Systems (XDS) South African information bureau.

Cape Town | Johannesburg +27 11 645 9100 info@xds.co.za www.xds.co.za

PAYMENT DISTRIBUTION AGENCIES

DC Partner 044 873 4530

COLLECTNET +27 12 140 0602

Hyphen PDA 011 303 0060

NPDA 0861 628 628

SYSTEM PROVIDERS

FINWISE - INNOVATIVE DEBT M

Tel: 011 451 0041 Tel: 0860 072 768 www.maxpayments.co.za

Debt Review Software Tel: 016 004 0031

South Africa’s premier debt management solution www.finwise.biz

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‘’ I was pleasantly surprised by our experien new system is intuitive and e Debt counsellor Eas

CAPITEC CONTACT DETAILS

Form 17’s Proposals Court documents General Queries Refund Requests / Cancellation of Debit Orders Complaints Insurance Certificates Sharecall Contact Number

ccsforms17@capitecbank.co.za ccsproposals@capitecbank.co.za ccsdebtrevieworders@capitecbank.co.za ccsdebtreviewqueries@capitecbank.co.za ccsrefundrequests@capitecbank.co.za ComplaintManagement@capitecbank.co.za coming soon 086 066 7783 - Select Option 2

ESCALATION PROCESS COMING SOON

Turnaround Time

Debt Review DepartmentEmail Address

Contact Details Standard Bank Debt Review Debt Review Call Center:

0861 111 525 or 0861 111 402

Debt Review Documents*:

DRApplications@standardbank.co.za

Debt Review Service requests:

debtreviewservices@standardbank.co.za

5 days

Debt Review payment queries:

DRPayments@standardbank.co.za

7 days

Debt Review administrative requests**:

DebtReviewAdmin@standardbank.co.za

5 days

Debt Review complaints and escalations:

debtreviewcomplaints@standardbank.co.za

5 days

Reckless Lending Allegations

recklesslendingallegations@standardbank.co.za

*Debt Review documents: Form 17.1; Form 17.2; Proposals; Court Applications; Court Orders **Debt Review Admin related requests: debit order cancellations; statement requests ; refunds; paid up letters; account closure instructions; settlement balances; or outstanding balances

Other Standard Bank areas Credit Card

086120 1000

Diners Club

0113588400 / 0860346377

Vehicle Asset Finance Recoveries

0861102347

Vehicle Asset Finance Collections

0861102347

Home Loans Pre Legal

0860102270

Home Loans Customer Service

0860123001

Standard Bank Insurance

0860123911

Deceased Estates

0861001868

Department

Call Centre

Email address / Contact number

0861 005 901

TAT

Absa En

For your convenience we now offe in these departments are subject m could delay the resolution of your q Option 1: Updated balances, s Option 2: Any COB related qu Option 3: Any proposal relate Option 4: Any termination rel 5 Business Days

Pr

5 Business Days

M

DCCOBQueries@absa.co.za

5 Business Days

M

Debitordercancellations@absa.co.za

5 Business Days

M

DCRCAssessment@absa.co.za

10 Business Days

M

DCProposalquery@absa.co.za

10 Business Days

M

DRProposals@absa.co.za

10 Business Days

Pr

Courtapp@absa.co.za

5 Business Days

Al

DRTerminations@absa.co.za

10 Business Days

M

17.4@absa.co.za

10 Business Days

M

Clearance

DCClearanceCertificate@absa.co.za

5 Business Days

M

KYC

DCKYC@absa.co.za

For return of KYC forms.

Debtreviewqueries@absa.co.za

10 Business Days

En

Debtreviewmanager@absa.co.za

5 Business Days

Es

DRCob@absa.co.za DCTransfer@absa.co.za Certificate of balance

Proposal

Legal

Termination

Service 2 |

Presentation title

Function

unity to call our contact centre and be transferred to specific departments. Note that our consultants s and will best be able to assist you for a swift resolution. Please note; choosing the incorrect option

settlements, refunds and general enquiries

Function

a Debt Review ntry Points

er the opportunity to call our contact centre and be transferred to specific departments. Note that our consultants matter experts and will best be able to assist you for a swift resolution. Please note; choosing the incorrect option query. statements, settlements, refunds and general enquiries he 17.1 application. ueries ed queries lated queries

bt counsellor swaps and system changes.

rocessing of the 17.1 application.

B escalated queries and follow-ups.

Manage all debt counsellor swaps and system changes.

bit order cancellation requests.

Manage all COB escalated queries and follow-ups.

ss lending allegations.

Manage all debit order cancellation requests.

oposal escalated queries and follow-ups.

Manage reckless lending allegations.

he following documents: 17.2, proposals, proof of Insurance, 17.3 & supporting documentation.

Manage all proposal escalated queries and follow-ups.

rocessing of the following 17.2, proposals, proof of Insurance, 17.3 & supporting documentation. ments to be provided todocuments: this department for review.

ll legal documents to be provided to this department for review. mination queries, reinstatement requests and follow-ups.

Manage all termination queries, reinstatement requests and follow-ups.

untary termination requests.

Manage all voluntary termination requests.

arance-related queries and requests.

Manage all clearance-related queries and requests.

Types of queries managed by this department: Account closure Types of queries managed by this department: Account closure confirmation/request.

Balance confirmations/query. Account status confirmation/request. Balance confirmations/query. Account status confirmation.

Statement request.

Paid upupletter Refund confirmation.

Statement request.

Paid letterrequest. request. Refund request.

All relevant operational queries totobebereferred to operational operational request.

All relevant operational queries referred to nt for all point query-related matters. matters. scalation for all query-related mentioned above. queuesqueues mentioned above. all query-related matters.

ntry point for all query-related matters.

SECRET CONFIDENTIALINTERNAL INTERNAL ONLY SECRET CONFIDENTIAL ONLY

First National Bank – a division of FirstRand Bank Limited. An Authorised Financial Services and Credit Provider (NCRCP20). Reg. No. 1929/001225/06.

DC Query Process DC Query Process

www.nedbank.co.za

17.1, 17.2, Proposals, General correspondence: debtcounselling@africanbank.co.za To register for Legal Web Access: lwac@africanbank.co.za Reckless Lending investigations: RLA@africanbank.co.za

ESCALATION PROCESS DETAILS COMING SOON