How unsolicited calls could trap you in debt review

THE National Automobile Dealers’ Association (NADA) is warning South African consumers about a growing financial scam involving unsolicited offers for debt relief.

- WILLEM VAN DE PUTTE

The schemes are designed to unknowingly enrol individuals into a formal debt review programme, making them ineligible for future vehicle finance.

How the scam works

“South Africans are increasingly receiving unsolicited calls from organisa-tions offering debt relief services.

By participating in a brief survey and answering a series of questions with a simple ‘yes,’ consumers may find themselves enrolled in a debt review programme without providing explicit consent,” said Brandon Cohen, the NADA Chairperson.

Debt spiral

Debt review plays a significant role in assisting consumers who find themselves in a debt-spiral.