last updated September 2010 - you can also download this info in all the posts below in document format from this link = http://afyb.co.cc , well do that after you READ IT first ! :))
From the NCR Form 42 (Quaterly Report to be submitted by Debt
Counsellor to NCR), we see the following "debt types" with
their short codes (this table is ASLO in the BASA Training manual)
DEBT TYPE | CODE | MAX TERM FROM ORIG. DATE | NEW TERM MUST NEVER EXCEED |
Micro Lender | ML | Orig Term x 3 | |
Bank - Credit Card | BC | 60 months | 60 months |
Bank - Bond | BB | 360 months | 240 months |
Bank - Overdraft | BO | 60 months | 60 months |
Bank - Vehicle | BV | Orig Term x 1.5 | 84 months |
Retailer - Furniture | RF | 60 months | 60 months |
Retailer - Clothing | RC | 60 months | 60 months |
Retailer - Other | RO | 60 months | 60 months |
Legal Firm / Collections | L | 60 months | 60 months |
Other | O | 60 months | 60 months |
From the BASA Training, based on its "debt type", we see what the
maximum term for each restructured debt should be
Interest may be reduced if :
· Home loans don’t solve within 240 months from date of proposal, with a maximum term of 360 months from original contract date
· Vehicle loans do not solve within the original contract term x 1,5 or a maximum term of 84 months from the contract date
· Short terms loans, loans repayable in less than 12 months, don’t solve within the original contract term x 3 from the contract date.
· Other agreements do not solve within 60 months from the proposal date.
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· The interest rate reduction is done by taking the agreement with the highest rate and reducing it to the same rate as the next highest agreement
· If a solution is found then the reduction stops there, if not then both of those agreements are reduced to the next highest and so on
· If no resolution is reached at this point the debt counsellor may formulate the proposal in any way that is appropriate.
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