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Getting deeper and deeper into debt

A Fin24 user started off by owing R1 500 and seems to have reached a dead end street. He writes:

I was in debt with MTN for R1 500 and they handed me over to their lawyer. To date I have already paid the lawyer more than R15 000.

The lawyer just in formed me that I am still R10 000 in arrears. What do you think about that?

I cannot rent a place to stay. I cannot buy a car. Even the debt review company robbed me out of R22 000 and I nearly lost my car and my house.

Renee Marais, an independent debt counsellor ((NCRDC1780), responds.

Please contact the Law Society of your province to speak to one of their advisors regarding the practice of this lawyer.

There are specific fees that are prescribed and a law regulating the professional services of lawyers. They will be able to assist you with more information.

The lawyer must provide a detailed account to show what the bill for the creditor was as well as his own services, with specific amounts allocated.

The Law Society will provide you with a form to fill in with your complaint.

It is advisable for you to provide the MTN statements and proof of settlement as well as any other communication between you and the lawyer therein for them to investigate the matter.

About the debt counselling firm, please report this matter to the National Credit Regulator on 0860 627 627 as they will assist you with investigating the debt counsellor responsible for your possible financial loss.

- Fin24

Do you have a pressing financial question? Post it on our Money Clinic section and we will get an expert to answer your query.

Disclaimer: Fin24 cannot be held liable for any investment decisions made based on the advice given by independent financial service providers.

Under the ECT Act and to the fullest extent possible under the applicable law, Fin24 disclaims all responsibility or liability for any damages whatsoever resulting from the use of this site in any manner.  

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