R5,000.00 (incl VAT)
WHEN DO YOU NEED IT
1. If you have an outstanding debt on an account and the credit provider or bank has not been in contact with you for more than 3 years, to request payment.
2. If you have not signed any acknowledgment of debt, in respect of the outstanding debt on an account.
3. If the credit provider or bank has not issued summons against you, in respect of the outstanding debt on an account.
4. If the credit provider or bank has not taken a judgment against you, in respect of the outstanding debt on an account.
NOTE: For certain debts the Prescription period is longer than 3 years:
1. Debt secured by a mortgage bond – 30 years;
2. Debt in respect of a court judgment – 30 years;
3. Debt relating to a negotiable instrument (for example, a cheque or promissory note) – 6 years;
4. Debt in respect of tax or levies under any law – 30 years etc.
WHY YOU NEED IT
1. If a credit provider or bank has failed or neglected to enforce its legal rights under a credit agreement, in respect of which you have an outstanding debt, for an uninterrupted period of 3 years – the debt in respect of the credit agreement or loan is considered to have prescribed.
2. If a court declares that a debt has prescribed, it is extinguished (i.e. you will not be liable for the debt or required to make monthly payments on the account or settle any outstanding balance).
3. The credit provider or bank, will not have any legal enforcement rights in respect of the agreement. As such, they cannot blacklist you or take a judgment against you.
4. Missed or late payments and arrears lower your credit score and creditworthiness and is a major reason for finance being declined by banks.
5. The account and all record of its non-payment will be removed from your credit report.
6. By removing prescribed debt from your credit profile, you will automatically improve your affordability – show a higher disposable income. This will greatly improve your chances for a new loan and/or higher value.
7. This will dramatically improve your credit score, creditworthiness and affordability.
WHAT WE DO
1. We assess the credit facility or loan to determine if it has prescribed.
2. If we establish that it has prescribed, we bring a formal application in court to have the account declared prescribed and extinguished:
a) We will prepare all legal documents, file and serve them;
b) We will appear in court on your behalf and argue the merits of your application;
c) We will obtain a court order declaring the debt prescribed;
d) We will lodge this with all 4 credit bureau and have the account removed from your credit record.
3. This will automatically stop any further legal action by the credit provider or bank, like an emolument attachment order e.g. garnishee of your salary or repossession of your assets.
4. In 79% of cases, we are successful in having debts declared prescribed.