In a recent eNCA interview, Annaline van der Poel, Chief Operating Officer at Debt Rescue, painted a sobering picture of household finances in South Africa. Based on their latest national consumer survey, families are being forced to make impossible choices, with many unable to afford both electricity and food.
Van der Poel revealed that 79% of respondents have switched to prepaid electricity in an effort to control their usage, but even this hasn’t been enough: 86% admitted they’ve cut back on groceries and transport just to keep the lights on.
The 12.7% electricity tariff hike in April has only worsened the pressure, making electricity feel like a luxury in many homes.
She explained that while budgeting can offer some relief, for many it’s no longer enough. That’s where debt review comes in, a regulated legal process under the National Credit Act that provides protection and structure to those who are over-indebted.
Van der Poel clarified that debt review is not just for unsecured credit like clothing accounts and credit cards — it also covers secured debt such as home loans and vehicle finance.
This means clients can legally restructure their total debt without the risk of losing their homes or cars, provided payments remain consistent. “We assess your income, essential living costs, and your total debt. If you can’t meet your minimum repayments, you likely qualify for debt review,” she said.
She also addressed a common misconception that you need to earn a certain income to qualify. “There’s no minimum or maximum salary requirement,” she confirmed. What matters is whether you are over-indebted. As long as you have an income, Debt Rescue can work out a restructured, affordable repayment plan on your behalf.
Once a client has paid off all their debts (excluding a bond, which must be up to date), they are issued a clearance certificate. This allows them to re-enter the credit market. “We’ve helped thousands of South Africans complete this process,” she said.
Watch the full interview on eNCA to understand how Debt Rescue can help you.
