Review Removal?
TITLE: Alternatives to Debt Review Removal If You Don't Qualify | NDRC | META: If you don't qualify for debt review removal, alternatives include continuing debt review, amending the plan, debt settlement negotiation, or voluntary sequestration.
If NDRC's free assessment finds that you do not currently meet the criteria for debt review removal, typically because you cannot demonstrate sufficient income to resume original contractual payments, there are several alternatives.
Continue under debt review and accelerate payments
If your income allows even slightly higher monthly payments, increasing your debt review instalment accelerates the repayment period and brings you closer to qualifying for a Clearance Certificate under Section 71. NDRC can request an amendment to your current plan to allow higher payments.
Debt counselling plan amendment
If your financial circumstances have changed, whether income has increased or decreased, your debt counsellor can submit an amended restructuring proposal to creditors. This can result in revised terms that better suit your current situation.
Debt settlement negotiation
For consumers who are close to qualifying, negotiating reduced settlement amounts with individual creditors before applying for removal can reduce total outstanding amounts to a more manageable level. This requires careful handling and should not be done without professional guidance.
Voluntary sequestration
For consumers with significant debt and no realistic prospect of repayment even under debt review, voluntary sequestration is a formal legal process that can provide a clean start. It has serious implications including restrictions on holding directorships and inability to obtain credit, and rehabilitation takes years. It should only be considered as a last resort and with qualified legal advice.
NDRC discusses all of these options during the free assessment when removal is not yet appropriate. Our goal is to find the best path to your financial rehabilitation, not to sell you a removal service you do not yet qualify for.