Debt Relief – More than Relief from Debt

Many South Africans have made use of debt counselling and debt review. Debt review is a
highly effective way in which over indebted consumers can take control of their finances
and become debt free.
First introduced by the National Credit Act in 2007, debt review has assisted many South
Africans since. According to statistics by Veri Cred, published at the end of June 2021,
717 495 South Africans were under debt review.
While this is indeed a large number of people, it is also an indication of how many people
are receiving further assistance with their financial education.

Financial education?

Debt review is not just about debt repayment. While this is the primary goal, it also plays an
important role in educating the person undergoing debt review.
When a person undergoes debt review, he learns about financial planning. The debt
counsellor assigned to him assists by speaking on his behalf to all his creditors. He also has
to make changes to his lifestyle so that he can meet the more affordable monthly payments
as required by the debt review process.
The debt counsellor provides the necessary information the person needs to ensure that a
new budget is drawn up. The lessons learnt during this process, with practice, become
second nature.

Budgets. Careful planning. Less spending

A large proportion of people needing assistance through debt review do not fully
understand the benefits of planning their finances. Very often, people pay no mind to
saving, or planning for the future.
One of the great things about debt review is the long term planning that is part of the
process. When a person needs to confront spending habits, draw up a new budget and
relearn spending habits, he also learns a better way to manage his money.

Debt review has been a helping hand to large number of over indebted consumers. The
lessons learnt through this process are as important as the process itself.
Lifelong learning is for everyone. Debt review can play an important part in learning new
habits for better financial planning.

Need to find out more about debt review and its benefits? Speak to a friendly consultant at
One Debt today