09 Jul Use Our Calculator to Plan Debt Repayments
What if there was a way to plan and budget your debt repayments without consulting a financial advisor, debt counsellor, or using complex formulae? True North Debt has used its years of experience to create a credit counsellor-accredited debt repayment calculator.
CLICK HERE TO USE OUR DEBT REPAYMENT CALCULATOR
It takes into account your income, debt repayments, and expenses to create an overview of what your debt repayments could look like if you partner with a debt counsellor. It’s important to note that the calculator’s output may not be as precise as that of a debt counsellor’s. Nevertheless, it’s a useful tool, one that could you save you hours of research and head-scratching. Read on to learn about how the calculator works, what information it needs from you, and how you can use it to your advantage.
How to Use The Debt Repayment Calculator
First, click on the big red calculator button at the top right of the screen.
Use Our Calculator to Plan Debt Repayments
What if there was a way to plan and budget your debt repayments without consulting a financial advisor, debt counsellor, or using complex formulae? True North Debt has used its years of experience to create a credit counsellor-accredited debt repayment calculator.
It takes into account your income, debt repayments, and expenses to create an overview of what your debt repayments could look like if you partner with a debt counsellor. It’s important to note that the calculator’s output may not be as precise as that of a debt counsellor’s. Nevertheless, it’s a useful tool, one that could you save you hours of research and head-scratching. Read on to learn about how the calculator works, what information it needs from you, and how you can use it to your advantage.
How to Use The Debt Repayment Calculator
First, click on the big red calculator button at the top right of the screen.
You’ll be redirected to a page that asks for the following:
Your Contact Details
We ask for your contact details to provide you with an exact explanation of how much you could save with the calculator. Remember, the calculator is only good for providing an estimate and uses a formula. It doesn’t take into account extra nuances, like whether your income is regular, your employment is permanent, and the like.
Your full name, email address and phone number are sufficient.
Your Income
Providing details of your income is important because it helps when figuring out repayment capacity and affordability. Of course, a higher income directly correlates with faster repayments and being debt-free more quickly. You should provide details of income from your employment or work and other income from side hustles or allowances.
Your Expenses
Understanding the details of your debt repayment expenses is crucial to working out how much you could save on debt repayments. We’ll need to chat about other caveats in your finances, like living expenses, to provide you with a comprehensive debt repayment plan.
Some of the details the calculator requests include:
Bond Instalments
This is how much you pay on a mortgage each month. It’s influenced by interest rate, the principal cost, and sometimes, levies.
Vehicle Instalments
Vehicle instalments are your monthly repayments on your auto loan. This does not include service plans, insurance, or petrol expenses.
Furniture
In this example, Joe (the overindebted consumer) overspent at Weylandts after he needed to furnish his house at the beginning of the year.
Personal Loan Instalments
Joe has taken out multiple personal loans with FNB, ABSA, and microlending institutions. Unfortunately, he has fallen behind on repayments and needs to take out more loans each month.
Clothing Account Instalments
The consumer needed to dress smartly for his new job, so he spent a lot on credit at Woolworths, Old Khaki, Nike, and Solomons. He also likes to keep up with trends, and so has spent a lot on clothing lately.
Credit Card Instalments
Joe pays his living expenses, like petrol, utilities, groceries, insurance, and health insurance on credit. He has been living off of credit for the last few months.
His total monthly debt expenses add up to R27 800. He has less than R3000 to live on and is a true example of what it means to be overindebted. With debt counselling, he saves R11 195.
CLICK HERE TO USE OUR DEBT REPAYMENT CALCULATOR
If your story is similar to Joe’s, contact True North Debt. Let’s get you back in the financial driver’s seat.