Enkrates Financial Solutions specializes in formal debt rearrangement and debt counselling and is registered with the National Credit Regulatory (NCR) as a debt counsellor.

What is debt counselling?

Debt Counselling is a formal process whereby a registered Debt Counsellor negotiates consumer’s debt repayments on his behalf.
The debt counselling process is regulated by the National Credit Regulatory (NCR), under the National Credit Act.

Why debt counselling?

Debt counselling assists consumers with a formal negotiation process in order to pay of current debts. A debt counsellor negotiates debt repayments in regards to the term and interest applicable on all agreements.

The purpose of a debt counselling process is to:

a) Relieve the pressure associated with the debt
b) Protect assets
c) Debt repayment via a single payment per month

The purpose of debt counselling is to pay the debt off!!

Who qualifies for debt counselling?

The National Credit Act stipulates that a consumer who is over-indebted qualifies for debt counselling.

What is over-indebted?

Over-indebted is defined when a consumers expenses (including debt repayments) are more than his/her income. In other words, your budget does not work!

When are you over-indebted?

a)When you use one credit card to pay another
b) When you use your credit card to buy groceries due to lack of funds
c) When you receive phone calls to pay arrears amounts
d) When you receive sms’ to pay arrears amounts
e) When you receive letters to pay arrears amount
f) When you receive legal letters
g) If you are worried about your finances

When is the best time to apply for debt counselling?

If you answer yes at any of the above! Do not delay, apply NOW! The longer you delay, the longer it takes to pay off the debt.

How much does it cost?

If you qualify for debt counselling you are already over extended in terms of your budget, so to pay a debt counsellor may seem out of the question? Fortunately the National Credit Act makes provision for payment during a consumer’s debt review application for the debt counselling fees.

The fee structure can be confirmed by the National Credit Regulatory (NCR) on their website www.ncr.org.za

The most important aspect of the fees applicable is that it should NOT affect the consumer’s cash flow or budget in any way!

For a full explanation of the fee structure, please click here and we will contact you.

How long does debt counselling last?

Debt counselling is not a process determined by time, but rather by the consumer’s ability to pay his normal premiums and still have money left. In other words, once a consumer reaches the point where his/her income is sufficient to pay normal monthly expenses as well as original premiums to all creditors. At this point the consumer will receive a clearance certificate that will enable the consumer to apply for credit again.

Will I be able to access any credit or credit facilities during debt counselling?

All credit and credit facilities will be frozen. No credit will be granted to a consumer on debt counselling.