Nobody likes to be bothered, especially when it comes in the form of random, unsolicited phone calls, emails or texts. In today’s world, it’s easy for your data to get shared, bought or even stolen through some or other online log in, signup or T&C. Worse, is when the product or service that is being marketed has nothing to do with you at all. You shouldn’t be offered cheaper vehicle insurance when you don’t even have a car.
One type that has been popping up a lot in the South African market is messages about loans and debt. These tempt consumers by using wording such as “Get out of debt fast” or “Pay 60% less”. For consumers that are in deep financial trouble, these messages may be seen as the lifeline they’ve been waiting for.
Who Is Sending Out These Messages?
These messages are generally sent by debt counsellors or financial advisors. A debt counsellor is a person/company who assist over-indebted consumers out of debt by offering them debt solutions such as debt counseling. Debt counsellors send these messages to try and get new clients onto their books.
Here’s Why You Should Be Careful Of These Messages
Often, deals or offers that seem too good to be true, are often just that. Companies try to scam consumers into long-term agreements that are unfavorable and may not be suited for that individual. While debt counseling can be a fantastic solution, it is very important that consumers choose the correct debt counsellor to do the job.
The National Credit Regulator (NCR) does not approve of the unsolicited sending of messages to prospective clients. Consumers who are struggling with debt should approach the help of a debt counsellor on their own terms.
Bear These Points In Mind If You Are Considering Debt Counseling
- Make sure that the debt counsellor is registered with the NCR. You can check that here
- The debt counsellor should stick to all the NCR debt counseling fee guidelines
- They should also use a registered Payment Distribution Agency as listed here
- Check that they use the DCRS system which reduces interest rates and saves you money
- Ensure that the debt counsellor has a decent client base
- Ask the debt counsellor about their court process
The answers to these questions should help you determine if the company is reputable. Beware of any chancers who are unable to answer these questions or try to dodge them.
Contact Vantage Debt Management to find out more about the process as well as other solutions that we offer.