SA Goes Into Lockdown This Friday
SA President Cyril Ramaphosa announced that the country will enter a 21 day lockdown starting at midnight 26th March 2020.
The banking industry is considered an essential service and so Debt Counsellors who are able to work from home and assist clients over the internet and phone will be able to conduct business on behalf of financially stressed individuals.
In the months ahead there will be many provisions made for consumers under financial strain due to the lockdown and also drop in revenue caused by Covid-19. Debt Counsellors around the country are preparing to be extra busy assisting consumers to deal with the tough days ahead.
Debt Review Consumers
Many consumers are worried about making their debt review payments in the face of falling income and the pending lockdown. Credit providers are fortunately coming to the party with relief measures in the months ahead (be sure to regularly check our news feed for updates on specific banks). The industry is actively engaged in negotiations at the highest level to provide consumers with relief (both new clients and existing ones).
Debt Relief Fund For Small Businesses
The Department of Small Business Development is also establishing a debt relief fund to help to soften the blow of the coming lockdown.
Khumbudzo Ntshavheni (small business minister) has said that the fund will help provide SMME’s with relief with regard to their existing debt obligations.
She has also said that “For SMMEs to be eligible for assistance under the debt relief fund, the applicant must demonstrate the direct link of the impact or the potential impact of Covid-19 on business operations”. Which makes sense. The fund will help companies get raw material, pay staff and running costs based on the businesses existing cash flow patterns prior to the Covid-19 Pandemic. So business owners should prepare their financials to be able to sufficiently demonstrate that.
To enrol on the SMME South Africa platform in advance click here.