Frequently Asked Questions About Debt Counselling, Answered

At a time when financial pressure is a reality for many South Africans, debt counselling has become an essential resource. Here AfriSkuld answers the most common questions.

What is Debt Counselling?

Debt counselling is a formal process designed to assist individuals who struggle to pay their debts. A registered debt counsellor negotiates with creditors to create an affordable repayment plan.

How Does AfriSkuld Help?

AfriSkuld focuses on developing manageable payment plans and offers debt consolidation services, combining multiple debts into a single payment at reduced interest rates.

How Long Does the Process Take?

The debt counselling timeline varies according to individual circumstances and may range from several months to 60 months.

What is the Difference Between Debt Counselling and Insolvency?

These differ significantly: debt counselling establishes repayment plans without asset liquidation, while insolvency involves selling assets to settle debts.

Can I Take on New Debt During Debt Counselling?

No – individuals cannot incur new debt while enrolled, as this contradicts the debt-freedom objective. Upon successful completion, credit records are cleared and borrowing becomes possible again.

How Do I Know if I Qualify?

Those feeling overwhelmed by debt or struggling with monthly payments may benefit from this service. Contact AfriSkuld for a free, obligation-free assessment to determine whether debt counselling is right for your situation.