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Johannesburg - Over 70% of debt mediation cases resulted in a positive outcome for consumers in the first quarter of this year, the National Debt Mediation Association (NDMA) said on Tuesday.
"Each consumer’s case is unique and requires a different solution, and the ability of the NDMA to provide expert advice and guidance has benefited consumers immensely," CEO Magauta Mphahlele said in a statement.
In 72% of mediated cases, the NDMA ruled in favour of consumers.
The rulings included redress in various forms, such as legal action being stopped, assets being saved, or excessive legal fees being refunded.
The NDMA closed 863 cases in the first quarter of the year, up from 679 in the last quarter of 2012.
Mphahlele said the NDMA is developing a sophisticated understanding of the problems consumers faced, including not having resources such as time and money to resolve their problems.
"It is very important that consumers are provided with the skills and information to help them avoid future debt, understand their rights and responsibilities, as well as know where to go to access redress."
The NDMA also resolved 63% of disputes involving the banking sector within 20 business days.
Mphahlele said the World Bank recently praised the NDMA's contribution to consumer education.
The campaign used various media, including a story line in the television drama Scandal, to educate consumers about managing debt and finance.
