DCASA Western Cape EXPO
DCASA (Debt Counsellors Association of South Africa) are hosting an EXPO for Credit Providers and Debt Counsellors today in Cape Town. Debt Counsellors of all associations have been invited to attend and spend some time talking to the various credit providers such as FNB, Old Mutual, Nedbank etc.
The EXPO is set out differently from many other events which have been previously hosted at the Parow Golf Club. Normally meetings here have been held around one large table with the chairperson directing the discussion. Today Debt Counsellors are encouraged to mingle and meet various important industry contacts throughout the venue. Display tables have been set up where DCs and CPs can sit and chat, discuss issues, challenges and particular cases that are on their mind.
At 10am local DCASA NEC representative Eugene Cillier opened the EXPO with a speech to over 50 attendees. He welcomed members of other associations as well as the various credit providers. He referred back to times past when some meetings (where credit providers and Debt Counsellors had met) had got a bit heated. He said that today would once again demonstrate how far the industry has come and how DCs and CPs are now looking for ways to work together.
He referred to how credit providers have been really making efforts to cooperate and assist Debt Counsellors. The audience gave those creditors who had come to the EXPO a round of applause. After some cunning puns involving various credit providers slogans he handed over to Annora Mostert.
Annora Mostert (local DCASA Chairperson) thanked all the creditors and those with displays for all their nice gifts and promotional material. Annora then spoke about how the NCR’s recent circulars have created some uncertainty in the industry. She also discussed how cooperation and good relationships are vital for the industry to excel. The focus of the EXPO, she says, is on making suggestions and trying to find common ground between CPs and DCs.
Mohammed Asmal (representing Nedbank) spoke next. After amusing the audience with tales of how he and his luggage ended up in two different cities he got more serious and spoke about how Credit Providers see the importance and need to reach DCs in all areas of the country. Nedbank have looked at ways to maintain the progress that has been made thus far from industry initiative that the NCR now no longer recognise. This was briefly discussed and he invited DCs to visit Nedbank’s display and discuss this in more detail.
He stated that Nedbank appreciate feedback from DCs and they want to hear more from DCs about possible steps they can take to improve their service. He discussed how he calls his own call centre (in what he calls mystery shopping) to see how swiftly his department responds. Nedbank are confident and Mohammed challenged DCs attending the EXPO to call the Nedbank Debt Review number displayed and ask for him, as he makes himself available to assist. He finished his speech by expressing how happy he was to attend today.
Mpho Thekiso of FNB joined Annora in discussing annual reviews and the use of after care fees. Annora pointed to the fact that the NCR have not provided a lot of clarity of the annual review (especially since it is not discussed in the NCA). It was pointed out that Debt review does not stop once a court order is granted. Credit Providers want to see consumers rehabilitated as soon as possible. Annual reviews play part in this and can allow for a shortened repayment term when more funds become available.
Annual reviews can help reduce the differences in bookkeeping between figures provided by the PDAs and CPs. Annual reviews help keep track of insurance premiums on credit and that should consumer begin to earn less steps can be taken to mitigate this.
BASA members distinguish between 3 different types of agreements:
1)Debt rearrangement agreement (a voluntary type agreement),
2) A temporary agreement before an order is granted (which they will implement so long while negotiations continue), they will ask Debt Counsellors to update the CoB figures before the court order is granted.
3) An agreement after a court order is granted (the finalised agreement as per the magistrates decision). This could also include when things change and the order gets amended.
They handle each type slightly differently.
Annora mentioned that some credit providers are not implementing the court orders within 10 days, as per the regulations. This begins to effect other creditors when extra funds or less funds become available and the DC can’t make changes fast enough while fighting with the lazy creditors about the balances.
Mpho discussed FNB’s decisions regarding past debt restructuring orders and how they have gained more experience and are now reconsidering some of the amounts offered. They want to see consumers rehabilitated faster. To do so they want more money from consumers to speed the repayment process. She discussed DCRS and some of the issues with limitations the systems has. They would like to see older proposals put through the DCRS and see if they cant be solved faster however at the moment this is not possible. She also mentioned that they are looking at ways to deal with all the differences between PDA and CP balances.
Next the audience had a chance to mingle and talk to one another and visit the stands.