Why debt counselling is your best retirement plan

Did you know: 89% of South Africans plan to continue working or work part-time due to a lack of retirement savings. If you want to retire debt-free, instead of using your hard-earned retirement savings to pay up your debt, you could go under debt counselling at Meerkat. 

What is debt counselling?

Debt counselling is a debt relief programme that was introduced by The National Credit Act (NCA). It's regulated by The National Credit Regulator (NCR). This programme is intended to help over-indebted consumers who are struggling to pay back their debt. 

How can debt counselling be your retirement plan?

Instead of using your hard-earned retirement savings, and potentially leaving yourself vulnerable, you can go under debt counselling to help you get on top of your debt. 

How does debt counselling work in South Africa?

A Debt Counsellor will first assess your financial situation. They will do this by conducting a financial assessment based on your income, expenses and debt repayments. If you are found to be over-indebted (unable to manage your debts), they will then put together a repayment plan that can reduce your monthly debt repayments by up to 50%! This is possible because they will approach your creditors for a reduction of your interest rates on your loans, this could end up saving you on your total debt amount that you have to repay.

So, instead of using your retirement savings you can now, more comfortably, pay back your debt each month. 

Debt counselling case study 

Most of Johan's salary was going towards financing his debt. This is when he applied for the City Press/ Absa Money Makeover Challenge. Johan would soon be a retiree, and before this happened, he wanted to settle all his debt. However, even with major spending cuts Johan would not be able to achieve his goal. This is when his financial advisor during the challenge advised him to go under debt review (debt counselling). 

Thanks to debt counselling at Meerkat, Johan experienced a remarkable reduction in his monthly debt instalment by an impressive 45%. Additionally, the average interest rate for his debt plummeted from a staggering 21.56% to an incredibly low 0.09%. With the help of debt counselling at Meerkat, Johan is on track to achieve complete financial freedom by June 2028!

Are you a soon-to-be retiree, feeling overwhelmed and unsure about how you will manage to pay off all your debt before entering this new phase of your life? Don't worry, we understand the challenges you are facing, and just like we did with Johan, we are here to help you too!

At Meerkat, our debt counselling services have been specifically designed to assist individuals like you who are nearing retirement but are burdened with excessive debt. We believe that everyone deserves to enjoy their retirement without the stress of financial obligations hanging over their heads.

If you find yourself in a similar situation to Johan, feeling uncertain about your ability to pay off your debt before retirement, don't hesitate to reach out to us. Just as we did with Johan, we are dedicated to helping you achieve your goal of a debt-free retirement. Let us guide you towards a brighter financial future, where you can enjoy the well-deserved peace of mind during your golden years.

Who is Meerkat?

Meerkat is a financial wellness company committed to empowering South African consumers to maximize their financial potential. We specialize in negotiating debt repayments, offering affordable insurance solutions, and assisting you in building an emergency fund for a secure future. Experience the Meerkat difference by filling out the contact form on our website and receiving a complimentary callback from our dedicated team today.

Why Meerkat?

We've been voted as one of the Top 10 Large Debt Counsellors across the country. 

We've already helped thousands of South Africans become debt-free. 

When you are a debt review client of ours, we can help you set-up an emergency savings fund so that once you've completed the debt review programme, you won't have to unnecessarily rely on debt again. You can stay debt-free!

Meerkat is a registered Debt Counsellor NCRDC 2613. MyMeerkat FSP is an authorised financial services provider (FSP 50979).