Acts 20 vs35 “Its more Blessed to give than Receive” NCR DC 165

Stress Tips –

DEBT / FINANCIAL Management in Tough Economic Times

WHO IS IN

CONTROL:

Get your FINANCES

back

New Credit Industry Rules- DEBT COUNSELLING FEES & PROCESS

Financial Awareness in

the WORKPLACE

STAY MOTIVATED

NCR - Regulator gives Advice

BANKING SOLUTIONS

For U

Content

CONTACT

INFORMATION

______________ www.ubuntudr.co.za

2nd Floor, Mathomo House

132 Fox Street Tel: 011 331 6825 Fax: 011 331 6848 Email: pr@ubuntudr.co.za PO Box 53232 Troyeville 2139

National Debt Awareness

Continuing our Debt Awareness and Educational drives within communities and the workplace since 2009.

Payment Agency

Regulated – as per the NCR Debt Counsellors are not permitted to receive Consumers Money, only a PDA(Payment Agency) may distribute

SAYING NO

To unnecessary credit- Tips and Guidelines on how to live within your means

NEW PROCESS

Extensive research was done by the Regulator – New Codes of Conduct is now being implemented along with new Debt Counselling Fees as of the 1 August 2011

Ubank is gearing up to expand and grow its business in line with its mandate and is already South -Africas 9th biggest registered bank

Growing With U

STRESS TIPS -

Debt Awareness Education & Training

2

We offer relief solutions to employees by addressing the key issues of Financial Awareness and Management through these challenging financial times; we are pleased to advise that we do not offer LOANS to your employees. The debt relief process was introduced in the National Credit Act that now regulates the Credit industry. Along with the Debt Relief Process known as Debt Counselling, we render a solution process for employees dealing with financial pressure as well as those who are NOT ,by guiding them with financial and money management –

Due to the current financial crisis within our economy, the most affected are consumers due to escalation of basic household commodities. Along with this added pressure, these consumers / employees are expected to operate effectively within the working environment. Most Government departments and private sectors have been inundated with non productive staff or employees due to financial restraints, thus creating challenges by means of Absenteeism, Salary advances and Company Loans. We therefore propose and request an opportunity to present to both the Employer and your employees through the EAP Department (Employee Assist Program) –

EMPLOYER, EMPLOYEE & CONSUMER WELLNESS

Purpose and Outcome of the (Ubuntu Debt Rehabilitation) presentation within the Wellness Program is to achieve the following: •Personal Financial Awareness •Making the Right (financial) choices •Consumer Rights within the National Credit Act The overview of the presentation to achieve the purpose consists of the following points: •National Credit Act – Statistics in brief •Accessing Credit •Family Finance

•Financial Stress Management (Debt Management) within our current economical situation

•Debt Free Lifestyle

•Debt Relief Mechanism – Debt Review (Counselling)

EMPLOYEE – EAP WELLNESS GROUPS For Presentations / Community Projects:

pr@ubuntudr.co.za 011 331 - 6825

National Credit Regulator Consumer Advice – Code of Conduct / DC Fees

3

COMPARISON BETWEEN CURRENT DC FEE GUIDELINES AND APPROVED DC FEE GUIDELINES

DEBT COUNSELLIG FEE GUIDELINES Current Fees Approved Fees

1. A Debt Counsellor may receive the following fees in respect of consumers who have applied for debt counselling: 1.1. An application fee, limited to the amount prescribed in terms of Schedule 2 (2) of the Act, recoverable directly from the consumer upon receiving an application for debt review;

R 50 R 50

1.2. A rejection fee of R300.00 (excluding VAT) in respect of consumers whose applications have been rejected in terms of section 86(7)(a);

R300 (excl VAT) R300 (excl VAT)

1.3. A restructuring fee of the lesser of the first instalment of the debt re-arrangement plan in respect of a consumer whose applications have been accepted in terms of 86(7) (b) or 86(7) (c). Maximum allowable fee for a Single Application (Once off) R3000 (excl VAT) R6000 (excl VAT) Joint Application (Once off) R4000 (excl VAT) R6000 (excl VAT) 1.3.1. 100% of the fee is payable at the first instalment. Yes Yes (no change)

1.4. Should a Debt Counsellor fail to submit proposals to Credit Providers or refer the matter to a Tribunal or a within 60 business days from date of the debt review application the Debt Counsellor has to refund 100% of the fee paid by the consumer (excluding the application fee).

100% 100%

1.5. A monthly after-care fee payable to the DC 5% up to a max of R300 (excl VAT) for the first 24 months, thereafter reducing to 3% to a max of R300 (excl VAT).

5% up to a max of R400 (excl VAT) for the first 24 months, thereafter reducing to 3% to a max of R400 (excl VAT).

1.5.1. Payment of the monthly after-care fee is to commence in the 2nd month after the amount in 1.3.1 above has been paid.

Yes Yes (no change)

1.6. Should the consumer withdraw from the process after completing stages 1.3 above, a fee equal to 75% of the restructuring fee as per 1.3 above is payable by the consumer.

Yes Yes (no change)

1.7. Legal Fees To be disclosed upfront and recovered from the Consumer and agreed to in writing

A legal fee for a consent order of R750. Any additional legal fees to be negotiated separately with the consumer and the DC must be able to produce pro-forma invoices.

Effective from 1 August 2011.

A code of conduct between credit providers and debt counsellors is expected to significantly improve the debt counselling process and possibly puts South Africa at the forefront globally in dealing with over-indebtedness.

The codes of conduct seek to streamline the debt counselling process by standardizing the content of debt proposals and payment plans; establishing an ombudsman scheme to resolve disputes; and providing clear guidelines for debt counsellors to determine whether consumers are able to afford to take on more debt.

The National Debt Review Committee (NDRC)

By subscribing to this Code of Conduct Debt Counsellors support the provisions of the National Credit Act 34 of 2005 (NCA) aimed at preventing over-indebtedness and assisting over-indebted consumers. Further acknowledging that it is necessary to implement a range of voluntary measures that are complementary to the provisions of the NCA, in order to ensure as many debt review cases as possible are brought to a successful conclusion. DC’S commit to implementing the provisions of this Code and any processes adopted as rules under it to give effect to these objectives. DC’S have to accept the Code as binding in respect of the statutory Debt Review Process and voluntary enhancements identified in the NCR Task Team recommendations and The National debt Review Committee (NDRC)

National Credit Regulator Consumer Advice – DC Duties

4

1. Application process: Client interview and assessment

Evaluation of affordability

Discussion of debt review process

Processing of debt review files

Obtaining Certificates of Balance

Sending Form 17.2 to all credit providers

Arrange for PDA loadings to ensure correct timeous repayment

2. Proposal preparation and completion: Proposal preparation

Dealing with proposal responses

4 The aftercare service involves: Updating PDA with revised payment plan and final payment plan once approved by Court . Updating the NCR Debt Help on progress of debt review Follow up on non-payment to Credit Providers and Debt Counsellors for aftercare and legal fees Dealing with suspensions of accounts payable to Credit Providers including incorrect PDA data Dealing with letters of demand and termination received from Credit Providers Obtaining of settlement amounts if the client is in a position to settle a debt Monitoring and reminding the parties of progress on debt review application and Court date Appearance at Court when the application is heard if required by Magistrate Annual review for financial position of client as well as any dramatic change in financial circumstance that will impact the clients ability to repay as per accepted repayment plan and Court Order. Obtaining proof of final repayment from all Credit Providers and the issuing of a Clearance Certificate (Form 19) Updating Credit Bureaus that debt has been repaid via NCR Debt Help Withdrawal of client from debt review – notification of Credit Providers and updating of NCR Debt Help.

Required Duties & Process: Debt Counsellor – Debt Review

3. Legal preparation:

Produce documents as per specific court requirements

Affidavits, commissioner of oaths

Queries from credit providers and attorneys

Court appearance

Notify credit providers through Form 17.2C after granting of consent order Update NCR Debt Help System

After Care does not include: Any legal action (Magistrate or High Court) or legal fees other than the debt review application Any rescission of Judgments and/or Garnishee Orders Any legal action by Credit Providers during the debt review resulting from non-payments by the client Any counselling outside of the financial counselling as part of the Debt Review

Contact Details : Switchboard: 011 554 2600 127 - 15th Road Toll Share: 0860 627 627 Randjespark 0860 NCR NCR Midrand If you have any queries, complaints@ncr.org.za

UBUNTU DR

Team

5

NEW OFFICE PREMISES AS PER NCR

Upon signing the new Code of Conduct, all Debt Counsellors have to display the new Window Decal.

2nd Floor, Mathomo House 132 Fox Street Tel: 011 331 6825 Fax: 011 331 6848

Being a – Registered NPO,

Ubuntu Training &

Development’s key objective is

to effectively assist its sister

company Ubuntu Debt

Rehabilitation (NCR DC165) with

educational relief programs for

consumers to understand the

importance of Self Responsibility

and keeping their Financial Credibility.

Community Development Project

CHARITY BEGINS AT HOME

Money, Money, Money Guideline – Who is in CONTROL

6

Accept who you are/ what you have / where you currently are and work towards a where you wish to see yourself. Set realistic and achievable goals for yourself – Save towards what you either need or want and PAY CASH!

Content with simplicity Feel no obligation to keep up with ANYONE (Jones) to buy the latest gadgetry just to impress. When we feel obliged to buy the latest models or brand names just to impress other people, it opens the floodgates for reckless spending.

“SPEND ON WISDOM, NOT IMPULSE” – Proverbs

The SOUTH AFRICAN way of doing things relating to Credit / Finances is: Buy now and Pay Later! We truly need to change that mentality when dealing with our financial decisions. With current costs of living escalating, we truly need to be more aware of how we spend our Money. Reckless Spending comes with negative repercussions within homes and families. THINK TWICE

FAMILY FINANCE

It's usually a bad idea when one spouse takes charge of all the finances. No matter how you divide financial responsibilities, schedule a monthly “finance planning date" so that you are both aware of financial issues. A one man band always play discord. Giving an allowance

to a child can provide many benefits besides an income.

Good communication will keep your Home and Family relationships healthy. Protect your children from feeling your anxiety. Young children in particular will have no understanding of the financial situation and may become unnecessarily fearful. Reassure when appropriate, discuss your financial problems calmly and critically with older children.

THOUGHT: If 7 million consumers are over-indebted, what impact does that have on the Younger generation if their parents are over-indebted?

SAY NO Study the Risks involved before agreeing! Have you considered WHAT IF things should go wrong – keeping in mind that you are not in control of how the economy performs: Fuel, Foreign market performances and Unemployment that impact our daily lives. Here are some TIPS to guide you when making those decisions;

• No to Unplanned and senseless Credit.

• No to Unsolicited Credit offer.

• No to Impulse Credit access – RETAIL THERAPY

• No to Unplanned & Uncontrolled purchases .

• Never buy something you did not intend to get.

• Do not carry your credit/debit card for no reason.

• Where possible dispose of any extra credit cards.

• Learn to say No to what you do not want.

DEBT FREE LIFESTYLE Rule No.1- live within your means. Rule No. 2- Be financially disciplined. Go for a NEED rather than a WANT. Take charge of your finances Set goals and be committed to fulfilling them. STOP the borrowing habit. Develop a Finance, Spending and savings plan

Change your lifestyle

Call Centre/Customer Care 086000 8322 E-mail to Customer Relations Management at: customercare@ubank.co.za

Payment Distribution Suppliers / Affiliates

7

Commenced in 2007 and approved by the National Credit Regulator, the NPDA is mandated to collect debt review clients funds and distribute these funds to the creditors, based on a revised payment plan as compiled by the Debt Counselor. Today the majority of registered NCR debt counselors trust our effective PDA system to effect payments to creditors and debt counselors. 0861 628 628

www.dcmgroup.co.za

It is estimated our PDA system will distribute more than R1Bn to various creditors and debt counselors during 2010. Part of the Tradebridge group of companies we always strive to deliver all our stakeholders with impeccable service and will continue to equip your practice with the ultimate business solution. For more information on South-Africa’s leading Payment Distribution Agency, please contact us directly

UBUNTU – Now offering motor and household insurance

We know the financial situation of the everyday man on the street is going from bad to worse, the prices of bare necessities are increasing astronomically and our salaries aren’t. Ubuntu has noticed that the first thing a client stops paying is his insurance as it is thought of as a grudge purchase and it is not needed, IT IS NEEDED! Having insurance allows you to be in control should something happen to your vehicle or home. Your insurance will cover your damages and get you on your way as soon as possible with little or no impact to your finances. We priced just right – We don't just provide an “apples for apples” whereby we materially just improve upon the current premium we assess the risk and the client’s needs and what the client can afford in this economical climate. •Motor only insurance •Motor Fleets •The automotive industries •Tow truck insurance •Taxi insurance •Multimark III commercial insurance •Combined domestic insurance

Contact: Warren Jean – Pierre 011 331-6825 / 072 173 7636 Wjean-pierre@ubuntudr.co.za

– your debts are covered in the event of Death or Disability.

KELLY (Industrial) group partners to effectively assist over indebted staff.

More about U We’ve evolved to bring you products that suit your lifestyle and your everyday banking needs. From savings accounts and personal loans to transactional accounts, we’re giving you the choice and the options that you need from your bank. Growing with U ubank is expanding its reach into wider markets to bring the bank to you. We know where we’ve come from but, more importantly, we know where we are going and we’d like U and your community to join us on this journey.

ubank offers you: uLend Life is full of surprises, and sometimes that means you need a little bit extra. uSpend You’re smart with your money and you need it to start working for you. uSave Saving your money is the greatest gift you can give yourself. ubank has an account to help you make the most of your money. uSecure ubank's Funeral Plan options give you the peace of mind that you or your family will have one less thing to worry about.

“Top up 75” airtime package

At Ubuntu

MEDIA ACTIVITY Spotlight / Consumer Projects

8

CONSUMER AWARENESS PROJECTS

Based on the current Statistics, we have extensively embarked on community awareness projects

PHYSICAL

Headaches/Fatigue/Hypertension/

EMOTIONAL

Irritable/Negativity/Nervous/Indecisive

BEHAVIORAL

Drug/alcohol abuse/ Social

withdrawal/Aggressiveness/Sexual problems

TAKE NOTE OF THESE ABOVE SYMPTOMS: Spouse, Family, Colleagues and Friends

ALEX - UNITED

Ubuntu in Alexandra – Although Soccer was the main feature for the evening, UBUNTU was invited to create awareness to Alex residents.

SAPS – Community Awareness E Cape Unemployment UIF Lines are on

the rise!

MOTIVATION Stay Focused – You Can Make It

CONTACT

For any suggestions of recommendations regarding UBUNTU News Please forward to: pr@ubuntudr.co.za 011 331 6825

Ubuntu Media Centre ©

9

LOOK TWICE FOR A BETTER PRICE Draw-up a Monthly Budget Include - Home and Vehicle Insurance Faithfully Apply the budget Save money for home appliances Have monthly Saving plan for a holiday. Save for your birthday, Christmas and special occasions For a rainy day. There is life After Christmas

Hope – That is all You need

“I have learned how good it is to manage my money and understand my rights”

“I came in darkness. Like a man from the wilderness, I have gained so much that I can even be able to impart knowledge to my colleagues on interest issues and buying cash or hire purchase, because now I will take the time to make a purchase decision”

Customer Education @

www.ubuntudr.co.za