Under Debt Review in South Africa and Need a Loan
Are you under debt review and need a loan? At Quick Consolidation Loans (QCL), we understand that South Africa’s economy is going through quite a couple of changes. As a result many find themselves in a position where they are unable to make ends meet. This is why there is a need for a consolidation loan, personal loans, and payday loans.
If you have a bad credit record and need a loan or you simply need debt consolidation, we want you to look at all the options available to you. It’s best start at the very beginning and start to assess how you are spending your money. Learning how to budget better should be your first step to fulfilling your financial obligations. Try our budget calculator to kickstart this process.
If you are still considering a loan while under debt review, here is everything you need to know.
If you are under debt review and need a loan, think about this:
- According to the National Credit Act (NCA), if you are under debt review, you should be barred from getting another loan. The credit bureau will flag your credit profile as “under debt review”.
- This flag means that at the affordability assessment level of your application, credit providers will reject your application.
- If a credit provider approves your application even though you are flagged as “under debt review”, they are guilty of reckless lending. This is a punishable offence with the National Credit Regulator (NCR).
Reckless lending includes:
- A credit provider entering into an agreement where the consumer doesn’t understand the risks involved, obligations or costs of a particular agreement.
- A consumer is unable to meet their debt repayments as a result of a credit agreement. This is evidence that a thorough affordability assessment was not done, and the NCR can and will label the agreement as reckless.
If you are under debt review and you are looking for a loan, it would be best to assess why you are under debt review in the first place. It is also good to understand that debt review is a debt rehabilitation process. The process was introduced to help over-indebted South Africans get out of debt and keep their assets protected.
If, however, you are not under debt review and in need of a consolidation loan, fill out our contact form today. One of our expert consultants will happily give you a call back!
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We will be able to offer advice on the suitability of debt consolidation to your specific financial situation, as there are instances where it would prove unsuitable. Our consultants will be able to help you with regards to secured and unsecured debt consolidation, and advice as to which would be most favorable to your outstanding debts. Operating on a national basis, we can also provide you with debt counseling or a debt review in South Africa. As mentioned, debt consolidation could save you on monthly payments and interest rates, which has made it a viable option for many. To find out if debt consolidation in South Africa is an option for you, contact Quick Consolidation Loans today.