Debt Review Removal in Cape Town
Seeking to remove debt review from your credit profile? In need of a skilled and credible professional for debt review removal in Cape Town? Your search ends with The National Debt Review Center! Discover why they are the leading experts in debt review removal in Cape Town, and learn about the exceptional services they offer.
By The National Debt Review Center discussing Debt Review Removal in Cape Town.
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What is Debt Review Removal?
Debt review removal refers to the process of officially clearing your credit record of the debt review status. When someone is under debt review, it means they have sought assistance from a debt counsellor to restructure their debts because they were unable to meet their financial obligations. This status is noted on their credit profile.
However, once a person has successfully paid off their restructured debts or their financial situation has improved to the extent that they can handle their debts without the aid of debt review, they may wish to have the debt review listing removed from their credit record. This process is known as debt review removal.
Debt review removal is important because having a debt review status on your credit profile can impact your ability to access new credit. Lenders are not allowed to grant credit to a consumer listed under debt review in terms of The National Credit Act.
By removing the debt review status, an individual can restore their creditworthiness in the eyes of potential lenders and regain access to the credit market.
How do you Apply for Debt Review Removal in Cape Town?
To apply for debt review removal in Cape Town, complete the free online application for assessment form below. This application for debt review removal form will help us assess your financial situation and eligibility for debt review removal.
How much does it cost to be removed from Debt Review?
The cost of debt review removal through The National Debt Review Center is set at R8550.00 vat exclusive, with an option to pay this amount over 2 or 3 months. It’s important to note that debt review removal fees can vary, as they are not regulated in the same way as the debt review fee structure. Some law firms and debt counsellors may charge fees ranging from R4000.00 to R12,000.00 for this service.
How long does it take to be Removed from Debt Review?
The process of being removed from debt review typically takes between 3 to 6 months, although this duration can extend if there are complications and delays. The process includes preparing and submitting a court application, which cannot realistically be completed in less than 1-2 months. After the court order is obtained, the NCR will require to verify the court documents which usually take 7-14 days and the credit bureaus will need a minimum of 21 business days to update the consumer’s credit report to reflect that they are no longer under debt review, as per the National Credit Act 34 of 2005.
The Debt Review Removal Process
- Completing the Online Application Form: The client initiates the process by either booking an appointment or completing an online application form. The application form can either be filled out online or downloaded and submitted after completion.
- Assessment of the Application: After receiving the application, it is thoroughly assessed to determine the likelihood of a successful debt review removal. This involves reviewing the client’s current financial status, debt review history and other contributing factors.
- Preparation of Legal Pack and Documentation Gathering: Once the application is deemed potentially successful, a legal pack is prepared. This involves gathering all necessary documentation from relevant stakeholders, which may include previous debt counsellors, credit providers, client and other legal entities.
- Submission to Court: The complete application/legal pack, is then submitted to a court. The purpose is to obtain a court order declaring that the client is no longer over-indebted.
- Court Order Granting: If the court finds the application valid and the client meets all criteria, it grants an order stating the client is no longer over-indebted or rejection thereof of the previous application.
- Submission to the National Credit Regulator (NCR): Once the court order is granted, the documentation is submitted to the NCR for updates and verification.
- Update by NCR and Notification to Credit Bureaus: After the NCR updates their records to reflect the client’s new status, we notify all credit bureaus of the change.
- Confirmation of Credit Record Update: The client’s credit record is updated by the credit bureaus to remove the debt review status, thus restoring their creditworthiness.
- Final Step – Regaining Creditworthiness: With the removal of the debt review status from their credit report, the client is able to regain creditworthiness, facilitating access to credit and financial services without the constraints of the debt review status.
Top 9 Frequently Asked Questions about Debt Review Removal in Cape Town- Answered
1. What documents are you going to need to assess my debt review removal application?
- ID Copy
- Payslip or proof of income
- 3 Months Bank Statement
- Marriage Certificate if Married in-Community of Property or ANC contract if married out of community of property
- Proof of Address
- Complete NDRC Application Form
- Previous Debt Counsellor Documents (This will include but not limited to, application form & application documents, proposal, 17.w if applicable, 17.7, legal pack & court order if applicable).
- NDRC POA and other important documents.
2. Can debt review be removed?
- Yes, debt review can be removed under certain conditions. The process of debt review removal involves several steps, and it is typically done if your financial situation has improved significantly.
3. How much does it cost to get out of debt review?
- The cost of debt review removal through The National Debt Review Center is set at R8550.00 vat exclusive, with an option to pay this amount over 2 or 3 months.
4. How do I get my name removed from debt review?
- The client initiates the process by either booking an appointment or completing an online application form. The application form can either be filled out online or downloaded and submitted after completion.
5. How can I remove my debt review status for free?
- Yes, it is feasible to remove your debt review status without incurring additional costs if you opt to self-represent in court and are capable of independently compiling all necessary documentation from the relevant parties involved. This approach requires a comprehensive understanding of the legal process and diligent coordination to ensure all required documents are accurately collected and presented.
(You can remove your debt review status by yourself without paying anyone, but you’ll need to handle your own court case and get all the necessary papers. This means you’ll have to understand the court process and make sure you collect all the right documents from the right people).
6. How many years does it take to removed from debt review?
- 3-6 Months if you contact The National Debt Review Center.
7. Is it easy to get out of debt review?
- Exiting debt review is not a straightforward process, it involves a complex and demanding legal procedure that requires a comprehensive set of documents, which are often not easy to obtain. Additionally, a thorough understanding of South African consumer laws and court procedures is essential. This means that successfully navigating out of debt review demands considerable effort and expertise in legal and financial matters.
8. Can I remove my name under debt review if have not finished paying my debt?
- Yes, it is possible to remove your name from under debt review even if you have not finished paying your debt. However, this process requires specific conditions to be met and it’s important to approach it with professional guidance from The National Debt Review Center.
The removal process involves legal considerations and an understanding of South African consumer legislation and court procedures. The National Debt Review Center can help you navigate these complexities and gather the necessary documentation. It’s crucial to ensure that your case is handled correctly to avoid any potential legal or financial complications.
9. Even after I have cleared all my debts under debt review, my credit report still shows that I am under debt review. How can I get this status removed from my credit report?
- If you have fully paid off all the debts included in your debt review but the debt review status still appears on your credit report, you should first obtain a clearance certificate from your debt counsellor. This certificate is evidence that you have settled your debts. (in some cases it confirms that you are only left with your home loan and considered no longer over indebted).
- Once you have this certificate, your debt counsellor should forward it to the credit bureaus. If your credit report does not reflect the update after a reasonable period, you can directly contact the credit bureaus, provide them with the clearance certificate, and request an update of your credit status or request your debt counsellor to resend the certificate.
- Be aware that updating your credit report can take 21 business days, as credit bureaus follow their own procedures and schedules for such updates. If you face any challenges or delays in this process, consider contacting your debt counsellor prior seeking advice from another legal professional or debt counsellor.