DODGY DEBIT ORDERS

Dodgy debit orders are on the rise with reportedly 120 000 of 31 million debit orders (0.4 %) of which are disputed, according to the Payments Association of SA. The reason why these dodgy debit orders go on for so long is that many people fail to regularly and thoroughly check their bank statements every month. This is due to the time it takes and also because many South Africans do not have access to internet or use internet banking which would make checking a bit of an easier task. Also, these dodgy debit orders are often quite a small amount- not enough to really raise suspicion or concern.The modus operandi of many of these companies running these dodgy debit order operations is that they are subscribed to a ‘middle-man’ debit order collection company to whom they submit these accounts to be debited. Often, these companies are small call-centres who already have the details of many customers on file and call them offering services, airtime etc. and unless the customer explicitly states ‘no’ then they log the customer as having said ‘yes’ and hence forward through your details to debit order collection agencies.

In some instances, people are logged as saying ‘yes’ even when they have explicitly said ‘no’- this could be because of unscrupulous call-center agents who get paid commission per ‘yes’ they receive from each customer.Another common factor of these dodgy debit order companies is that they tend to target lower-income earners which could be due to many not knowing their rights and also not being able to pursue possibly expensive legal action against these companies- especially over a few hundred rands.

There has been some speculation as to where these unscrupulous companies obtain such sensitive information. A victim who delved deeper into the case of these dodgy debit orders says he was told by an Absa employee his account details had been compromised by another staff member, but Absa disputes this. A spokesperson for the bank said: “Absa respectfully disclaims the allegations that client information was leaked internally.” A quick search on the site ‘Hello Peter’ shows many complaints related to a specific debit order collection company. The replies are all exactly the same with a short apology and a promise to refund the money which was debited ‘by mistake’. These are only a few of the cases. What about all the other dodgy debit orders that have slipped under the radar? Who is collecting all this money?Many people who have approached their banks about the dodgy debit orders have said they were told by their bank to contact these companies directly- many of whom did not turn up on Google search results or who had numbers that ‘did not exist’.In this day and age, fraud is rife. Make sure you check your bank statements regularly and do not give out sensitive information to strangers.
Sources:

1. http://www.citypress.co.za/business/beware-debit-order-fraud/

2. Hellopeter.com

3. http://www.iol.co.za/capetimes/watch-out-for-dodgy-debit-orders-1.1686846#.VBgVn_mSxqg

4. http://carteblanche.dstv.com/debit-order-fraud/

Major benefits of having a debt counselor

If you are in financial distress, having a debt counselor will be incredibly beneficial to you. The benefits of debt counseling are huge, because your debt counselor acts as a bridge between you and those who you owe money

Your debt counselor becomes a mediator between creditors and yourself. Debt counselor has the skill to negotiate on your behalf and also communicate with your creditor, on your behalf. In other words your debt counselor becomes a buffer between you and your creditors. Creditor deal with thousands of South Africans each day that are overly in debt. When they deal with debt counselors, most creditors become more open to negotiating payment plans. Creditors respect debt counselors, because debt counselors have professional negotiation skills.

Your own personal Financial Adviser

Most of us think that financial advisers are only for people who have money to invest. This isn’t true- the debt review process provides you with a financial adviser in the form of a debt counselor. Debt counselors will look at your finances. They will then custom design a payment plan for you. Your debt counselor becomes your personal financial adviser.

Reduced Interest

The most damaging thing about debt is the high interest that keeps accumulating. Interest is such a powerful things and people don’t realize just how damaging interest can be. Interest is the very reason why your finance has reached the point where you need to consider debt counseling. Your overall interest amount will reduce drastically because your debt counselor will structure your payment in such a way, that it priority the payment from high interest to low interest creditors.

Contact Pay plan solution for more information. We are able to assist you with the entire debt counseling process. Our debt counselors are professional people, with many years’ experience in debt counseling. Visit us : http://payplansolutions.co.za

How to Lower Your Credit Card Interest Rate

While paying down headache debts first is one strategy, another one is the debt snowball which focuses on paying off small debts quickly. Doing so gives you a felling of traction and the motivation to repay all of your debt. The increase in rates of debt loan affects a lot of peoples. It is surprisingly easy to lower your interest rates with your credit card companies. You may scamper into difficulties if you have a history of overdue payments, but you may be able to work out something with the credit cards. If you are struggling history of late payment, but you may able to leave out the credit card companies anyway. It is important to be persistent. The credit card company wants to continue to make money off of your account, so generally they will not bring your interest rate down to zero. But they prevent you from transferring all of your debt to lower interest credit cards so they will decrease your interest rate if you ask.

Tips:

Ø  Don’t give up if you don’t straight away lower interest rate. You should keep trying about once a month to lower your rates. It does take a little time, but it will worth it.

Ø Always make you payment in full on time. Credit cards can raise your interest rates if you fail to pay another on time. It is very important to consistently pay your creditors on time for that reason.

Ø Reduce your spending to maximize your debt repayment capability.

Ø Calculate the minimum payments for allow your debt.

Ø Always speak in a respectful manner. Be polite when you ask for them to lower your interest rate.

As long as you continue to make you payments on time and stay below your credit limit. The best debt solutions require a good repayment plan which makes more money available as a capital sum, with less being lost to interest and fees. If one looks at any longer term loan statement one is often forced into I the harsh realization that more than half of each month’s payment goes towards interest and cost. Clearly the reply to paying off debt earlier lies in a well-structured Debt help plan. After that you have any problem then visit us our expertise help you in any condition. For your first free assessment, fill in your contact details and one of our associates will be in touch with you shortly to give you more information visit us :http://payplansolutions.co.za

http://www.youtube.com/watch?v=a8u_cbQiXAI

Look for a Debt Advice

With a little dedication and prior planning, it is possible to reduce your debts on your own. Payplansolutions.co.za shows you the tricks of the trade and the fastest way to reduce your debts on your own.

Banks

Your bank will also offer you financial help and advice as a part of their bank services. But always remember that your bank has its own position. Your account manager may be able to help you look at how you should manage your finance. They may also work out a payment plan to extend your overdraft or renegotiate your account terms. If you are not satisfied with the services of your bank then it may be time to switch.

Debt Counselors

Although most debt counselor work with individuals to solve their debt problems but some specialise in business debt management. There are a number of charities who offer free debt counselling. Some commercial organizations offer Debt Counselling and debt management for a fee. However, as with many financial services, it is best to consider all the options once before making final decision.

Where to find advice on insolvency

If the value of your assets are less than your debts and your business can no longer pay your business debts, then your business is ‘insolvent’ which can lead to:

·         Bankruptcy

·         Receivership: Your Creditors will petition the court for receivership.

·         Administration: If you are unable to pay your debts then your creditor may appoint an administrator to manage your finances.

·         A winding up order: This will cause your business to cease to exist.

·         An individual voluntary arrangement between you and your creditors.

·         A Debt relief order

·         A fast track voluntary arrangement

When and How to seek an advice on debt

It is always very stressful to handle financial problems as a business. If your debt problems are too much and you can’t improve your financial situation yourself, there is often help and advice available to help you. You may borrow money to deal with your financial problems in short term but always consider the risks fully as it can be dangerous in the long term, you could end up paying more. Always be careful when seeking advice or finance, such as:

1. Avoid illegal loan: they are not licensed and often charge high interest rate. To check that the lender is licensed, you can search the Consumer Credit Register with the OFT.

2. Always check the credentials of an organization before you contact with them. You should also check that an organization is accredited by the Financial Services Authority and establish what kind of advice through internet or telephone research.

3. Search around for the best deal and try to seek free advice first.

Professional Advisers

Professional advisers provide good financial and debt management advice. If you already use an accountant, they may be able to help. And if you do not work with one, then find an accountant who specializes in your industry or financial problems.

How to Pay Off your Bills Fast

For some consumers create a budget plan to pay off their bills on their own is an overwhelming task. So they seek the help of a debt counselling company. Through debt counseling plan, the company will work with you to consolidate your debt into one single payment. A reputable company will offer multiple consolidation plans and share advantages or disadvantages of each with you. In addition to helping you in the best way, a solid company will also provide financial guidance, education and support as you make your way to get out of debt. To achieve success yourself, work only with trustworthy companies who have solid histories of getting their consumers out of debt. Begin your research by Debt Counselling. 

Because of the economy, millions of people are looking for Debt Help. If you are one of those millions, the best way to get rid of these debt problems is to work with professional debt consolidation provider. Debt consolidation can be a great tool for people with their bad credit to help them get their finances back on track. Nobody enjoys paying bills, but if everyday demands are increased, the bills are mounting up in a pile and you are juggling the debt with new expenses arriving every day. So it is time to take control to paying bills should not be taken lightly.  

Impact of Credit Crunch

Dealing with Credit Crunch

Unfortunately, unaffordable lifestyles and unwise decisions are reasons to slide into debt. Sometimes debt come unexpectedly when life takes a turn for the worst expensive bills. People with debt often feel ashamed and scared for their future. The threat of a court summoning can throw up all problems with relationship, work performance and even mental health. Whilst debt counselling services are useful for sorting out the paperwork and practicalities of debt, but it also aims to get to the crux of the problem by underlying the causes and any resulting personal issues. You may be encouraged by your debt counselor to think about how you get into debt in the first place and Is there anything about yourself and your life you need to change? How can you escape yourself from repeating these mistakes and how can you plan for a happier life?

The purpose of debt review is to achieve a voluntary debt re-arrangement or a debt re-arrangement by the Magistrate’s Court. The role of debt counselor does not end in itself but part of an on-going process. The notice of termination of the debt review is not required to be given to the Magistrate’s Court but only to the consumer, debt counselor and NCR, the proceedings are governed by the rules of Magistrates’ Courts which makes adequate provision for the service of process and notices.   

How develop an effective plan of action

If you are having trouble keeping up with your bills, you may be eligible to enroll in a debt management plan. DMP is a systematic way to pay down your outstanding loan through monthly payments to your Debt Counselling company which will distribute these funds to your creditors. By adopting this program, you may benefit from waived finance charges and after your payments completion, we will also help you in reestablish credit.

Getting started

Confidential consultations with a professional counselor are available weekly for your convenience. No matter where you live, we always ready to help you. We offer our counseling services by phone. During your confidential hour long session, we will go over your income, living expenses and your debts in detail and will offer some suggestions for dealing with your debt issues.

Schedule an Appointment

Our National help line number is 0861626859 and Call us at 0215540708 today 8:00 am to 4:00 pm or email us at payplansolution@gmail.com and we will call you back to schedule the appointment. Please do not email any important information regarding your account numbers.