Debt Review Fees

At True North Debt, we are upfront with you about the costs of how Debt Review works. The NCR (National Credit Regulator) sets out a prescribed fee structure for the maximum fees NCR-approved debt counsellors may ask. This page outlines True North Debt’s fee structure and what to expect upon payment.

True North Debt’s Fee Structure

Application Fee – A fee of R50 is due upfront and in full for completing and submitting Form 16, where you list your debt, income, and expenses.

Administration Fee – An administration fee of R300 per Debt Review application is also due upfront and in full. This fee includes:

  • Our consultation with you is where we break down the details of the Debt Review process and explain the associated fees.
  • The process after Form 17.1: we notify your creditors that you’ve applied for Debt Review.
  • Overseeing any Debt Review Rejections (17.2 [W] rejection) and notifying you of the rejection.
  • Entering your details on the NCR Debt Help System and updating the system.
  • Compliance with Regulation 25, whereby we will provide you with a rejection letter should you not be found over-indebted.

Next, let’s discuss our restructuring fees for debt help and discovering true financial freedom.

Debt Restructuring Fees

Debt Review Restructuring Fee – This fee can either be equal to the distributing amount or else is a fee that does not exceed R8,000 (single person) or R9,000 (person married in community of property), for services relating to Form 17.2 (b) process, which include the following:

  • Preparing and submitting the final proposal
  • Loading the plan on the Payment Distribution Agencies profile
  • Negotiating with credit providers
  • Submission of your final proposal and repayment plan
  • Supplying the attorney with your Debt Review documents to draft the court application
  • Making updates to the Debt Help System (DHS)
  • Managing your transfer requests
  • Instructing the attorney to draft the court application/collate and file the NCT application
  • Consumer withdrawal according to Form 17.2 (W) process

Reckless Lending Fee – A reckless lending fee assessment of R1,500 per Debt Review application is due after the second month of assessment completion to cover the account investigation costs, supplying the documentation to the attorney, and drafting an affidavit based on the outcome (regulated by the NCR).

After Care Fee –This fee won’t exceed R450 excluding VAT or equal to 5% of the distributable amount and must be paid every month from the second month after services. Aftercare fees cover:

  • The form 17.2(c) process
  • Reviewing your finances
  • Seeing to payment queries
  • The clearance process, including securing paid-up letters (one of the benefits of debt review)
  • Consumer Withdrawal (Form 17.2 [W] process)
  • DHS Updates

Let’s outline payable court fees.

Court Fees

National Consumer Tribunal Submission Fee – A fee of R500 (excluding the NCT Filing Fees) must be paid after the second month of the structuring process, to cover the NCT (National Court Tribunal) application submission cost.

Attorney Fee – This is the amount you will agree to upfront with the attorney when you apply for Debt Review. It covers the drafting of the court application and court attendance.

One of our Debt Counsellors will negotiate a legal fee aligned with your disposable income wherever possible. This amount is due if one or more of your creditors don’t accept the repayment plan, the attorney drafts a court application, or the attorney has attended the court application hearing.

If you have a question about our fee structure or the debt review process, contact True North Debt. We’re glad to be of assistance.

Contact us today for a professional and result-driven Debt Review service that is suited to your specific financial needs.

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The True North Debt debt review fee structure and process