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Thread: Can you Fire your Debt Counselling Company and still stay under Debt Review?

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    Question Can you Fire your Debt Counselling Company and still stay under Debt Review?

    Scenario:
    A person has been under debt review for a couple of years with a Debt Councillor company

    (This was voluntarily without missing any payments to any creditors when they saw that they would run into problems.)

    So all the legal work and court requirements and court orders and new interest rates have been met.


    Would it be possible for them to cancel the Debt Councillor Company service without cancelling the Debt Review protection?

    The reason for this is that they are paying the Debt Councillor company R500 per month admin fee and an additional R500 per month for the Fee they charge to take a single payment from their bank account and split the payment into 5 EFT payments to their creditors.


    They would prefer to stay under Debt Review with the protection it offers until all the debt is settled, They don't have a problem with that side or not being able to make new Debt.

    However they would prefer to pay the additional R1,000 per month (which the debt Councillors are charging them as a fee) towards settling their Debt sooner


    I have looked online and can't find the answer to this question, I find a lot of answers to cancel the complete debt review process, which they don't want to do; they only want to cancel the debt councilor company service

  2. #2
    Diamond Member adrianh's Avatar
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    Read these links:

    http://www.legalrights.co.za/how-to-...t-counselling/

    http://www.legalrights.co.za/wp-cont...guidelines.pdf

    I think that the Debt Councillor would have locked the person into a contract so that they can't get around paying the remainder of the admin fees. I think that the debt Councillor would argue that the fees have to be paid in full (just like exiting a cellphone contract) because the total fee was amortized over the full period of their planned service (again - like the price of the phone in the case of a cellphone contract) - The buggers know that they are sucking blood from a stone and they would make very sure that they get all the blood that they planned for - This is just my opinion.
    “Why, sometimes I've believed as many as six impossible things before breakfast.”
    ― Lewis Carroll, Alice in Wonderland

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