The Debt Review process is designed to help people manage their debt in a structured way. This process is meant to help you regain financial stability without the overwhelming burden of debt.

Here’s a simplified explanation of how it works:

1. Contact a Debt Counsellor: Reach out to a registered debt counsellor. They will assess your financial situation to determine if you qualify for debt review.
2. Financial Assessment: Provide information about your income, expenses, and debts. The counsellor uses this to figure out how much you can realistically afford to pay each month.
3. Application for Debt Review: If you qualify, the counsellor formally places you under debt review and informs your creditors.
4. Negotiating with Creditors: The counsellor negotiates with your creditors to restructure your debts. This often includes lowering monthly payments or extending repayment terms.
5. Repayment Plan: A new repayment plan is created, tailored to your financial circumstances. Once approved by creditors, you start making payments according to this plan.
6. Legal Protection: Once under debt review, you’re protected from legal action by creditors as long as you stick to the agreed repayment plan.
7. Monitoring and Support: Your counsellor will monitor your progress and provide ongoing support to help you stay on track until you’ve repaid your debts.
8. Completion: Once all your debts have been paid off, you’ll be issued a clearance certificate, removing you from debt review.

 

For more detailed information, you can explore the resources available on the National Credit Regulator’s website: