What do debt consolidation services cost?

If, like many South Africans, you are currently feeling the effects of the curtailed economy and wondering how you’re going to keep up with your debt repayments in months to come, you may be considering debt consolidation services.

At Libertine Consultants, we understand that this is not an easy decision to make. When you choose to apply for debt consolidation, you are admitting to yourself and the world at large that you need help to manage your finances, and this can be very tough. However, we’re here to tell you that it is perhaps the bravest thing you can do.

date: 18/08/2020Author:

Making this decision will be the first step towards regaining control of your finances and ensuring a prosperous future for yourself and your family. Once your debt is under control, you can go on to make sound financial decisions that will pave the pay for a far less stressful lifestyle in years to come.

This brings us to the question of cost. After all, when you’re trying to keep your expenses in check, the last thing you want to do is add to your mounting debt in order to sort out your finances.


Happily, we have some good news in this regard. Debt consolidation, also referred to as debt counselling or debt review, is governed by the National Credit Act, and South Africa’s credit act is one of the most progressive in the world. It was written to protect the consumer.

As such, all debt review fees are charged in accordance with the guidelines set by the National Credit Regulator, including: • A R50.00 application fee. • A fee equal to your first monthly instalment (subject to a maximum amount of R9000 and determined after deducting your monthly expenses from your monthly income). • An after-care fee of 5% of your instalment for a period of 2 years, 3% thereafter.

There are usually also legal fees involved. These have to be disclosed to you upfront and will be deducted from your second monthly instalment.


Once you go under debt review all payments to creditors are legally ceased for up to 60 business days. The debt counsellor’s fees and any legal costs that may be incurred are deducted from your first and second monthly instalments; your creditors receive payment from the third month onward.

As you can tell, the debt consolidation process has not been tailored to punish overindebted consumers – it’s been created to help. If you have any more questions about the costs of our debt services, or how it works in general, please feel free to get in touch with a Libertine Consultants representative. We’ll be happy to answer any questions you may have.

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