When to use Debt Mediation
Debt mediation is suitable for you, if you would like to pay off your debts in a structured, efficient manner, but are not over-indebted or close to becoming over-indebted.
It involves agreeing to an informal arrangement with one of your credit providers at a time, with a debt mediator negotiating on your behalf to have your debts restructured.
You will still be able to take out credit, however, should your credit providers reject the new repayment arrangements you will not be protected from legal action being taken against you. This is why it is inadvisable to opt for debt mediation, if you are in a very dire financial situation.
However, if you have simply fallen behind on one or two payments, debt mediation may just be the best debt solution for you.
What makes debt mediation an attractive option?
- It will prevent you from becoming blacklisted, if you have not already been blacklisted.
- Arrangements will be negotiated with your credit provider to have your instalments reduced.
- If you are not over-indebted, your debts will be restructured according to industry rules, without having to go into court.
- We will help you to develop an affordable, realistic monthly budget so that you can settle your debts in the shortest amount of time possible.
- Once you have reached the end of the agreed upon debt repayment term, you will be in full control of your finances.
- We will negotiate with your credit providers for you, so you don’t have to deal with them.
- We’ll attempt to have your monthly repayments reduced, provided your credit provider is in agreement.
- We’ll try to save you money and up your disposable income where we can.
We will assist you with receiving a clearance certificate, once you have settled all your debts.
