Exclusion of home loans 'not the answer', say counsellors
Excluding your home loan from debt review is not the answer to prevent you from losing your home if you're over-indebted, Paul Slot, president of the Debt Counsellors' Association of South Africa (Dcasa), says.
Slot says that, instead, consideration should be given to:
"This would extend the home loan period by 20 percent, and any court would accept this as a reasonable repayment," Slot says.
"This helps you restructure your budget and gives credit providers peace of mind that the maximum amount is being made available for repayments."
Slot says if all of these proposals were implemented by all parties involved, it would result in a "win-win" for both consumers and credit providers and offer a solution that does not jeopardise the rights of other credit providers to be repaid.
The Independent
Posted at 07:32AM Nov 12, 2012 by Editor in Market | Comments[1]