Contact a DebtSorted consultant who will explain the process and costs and send you the application form with a list of the documents we require for the process.
After receiving your application we shall do an assessment to check whether you are over-indebted (once your monthly debt obligations and living expenses are taken from your income there is a negative figure). At this stage we will do a credit check and advise if there are any other additional accounts you did not include. If over-indebted we will continue to step 3. If not over-indebted we will advise you of our other options.
We will notify all your credit providers, the NCR and the credit bureaus of your successful application for debt review. The credit providers will adjust their systems to show you are under debt review.
We will go through your budget and advise on the many areas (insurances, bank fees, groceries & many more) where you can save money, which will enable you to pay off your debts in the shortest period possible.
The credit providers are required to send us information regarding your accounts including the outstanding balance, interest rate and the monthly repayment. Once we have this or at a certain time we update all the information into our in-house debt management system.
Your consultant will send you the agreed budget which outlines the amount available to your credit providers (rehabilitation amount), as well as the list of creditors included in the debt obligation list. You must go through this carefully and if you agree sign it and send it back to the consultant. The consultant will give you details of the amount you have to pay, where to pay the amount and on which date. The Payment Distribution Agency (PDA) shall pay the specified amounts to each credit provider.
DebtSorted will calculate the amounts for each credit provider and will send proposals to each credit provider outlining your agreed budget, the number of creditors included and a repayment plan for each credit provider.
The Credit Providers may accept the proposals and if all do, DebtSorted will obtain a consent order which will then be forwarded to all the credit providers. If one or more of the Credit Providers does not accept the proposed repayment plan, DebtSorted will submit an application to court for the magistrate to make a final decision.
You are required to make the agreed monthly payment each month to the Payment Distribution Agency (PDA) for the duration of the debt review. Each year DebtSorted will review your budget as part of our service.
Once all your debt is repaid, DebtSorted will issue you with a clearance certificate which we will send to all your credit providers, the NCR and the credit bureaus. Within 5 business days your credit record will be clear.