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How credit reports assist Debt Counsellors

Credit reports are essential for Debt Counsellors because they allow the Counsellor to gather vital information to help provide a consumer with the best possible payment option for their debt. Credit reports are a sure way to have access to all the information a Debt Counsellor will need.  

When a consumer contacts a Debt Counsellor to apply for debt review, it is a difficult road awaiting the consumer, this is because of heightened stress and worry. With the credit report, the counsellor can gather all the necessary information to make the process as smooth and stress-free as possible for the consumer.   

But what other benefits does a credit report hold for a Debt counsellor? Let’s take a closer look: 

1. Evaluating the ratio of debt to income  

A Debt Counsellor needs to be able to identify the amount of income a person receives and how much debt the consumer has. A credit report provides detailed information that is vital for the understanding of the amount of debt a person is in. The report provides information on the following information:  

  • existing debts — including credit card, retail, & telecommunication account balances.
  • loan
  • mortgages 

This assists the Debt Counsellor in determining the debt-to-income ratio accurately and allows them to calculate the consumer’s ability to manage their current debt. This is a vital part of the journey, to assist a consumer to get their debt settled as quickly as possible.  

2. Identifying debt patterns 

It is important for a Debt Counsellor to identify a consumer’s debt pattern; this is because having that insight will assist a counsellor in developing a personalised strategic plan to assist the person in debt. It also allows them to give relevant and informative advice to the consumer.  

With a credit report, the counsellor will be able to spot any patterns in the consumer’s borrowing and repayment habits. Showing the type of debt the person has, the number of accounts and how frequently they pay back their debt.  

3. Monitoring compliance  

It is important for Debt Counsellors to monitor a consumer’s compliance and progress. Getting a credit report frequently will allow the counsellor to check if the consumer is staying committed to the agreed-on payment plan to each of the credit facilities.  

If the credit report shows that the consumer is falling short or struggling to stick to the payment plan, the counsellor will be able to pick up on this quickly to rectify the solution as soon as possible, with additional advice or debt management programmes.  

Now here’s where Datanamix comes in:  

We can provide Debt counsellors with information on consumers that allows for detailed affordability determination and comprehensive financial health assessments in real-time — and remain 100% compliant.

With the Datanamix Consumer credit report, you will have access to the following data assets:  

  • Identity Information  
  • Credit Score  
  • Employment Data  
  • 24-Month Payment Profile  
  • Credit Account Status  
  • Adverse Information  
  • Deeds  
  • Principle Links  
  • Addresses  
  • Contact Information  

Download a sample report here and be sure to book a demo

Check out some of our other valued solutions for Debt Counsellors: 

ID Verification 

Mobile verification  

CIPC Director Search Report 

REFERENCES: 

Datanamix Credit Reporthttps://www.datanamix.com/wp-content/uploads/2023/05/Datanamix-Consumer-Credit-Report.pdf  

ID Verification https://www.datanamix.com/id-verification/  

Mobile verification https://www.datanamix.com/datanamix-phoneid-score/  

CIPC Director Search Reporthttps://www.datanamix.com/cipc-director-verification/  

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Disclaimer: The information in this BLOG is provided for general informational purposes only and is the opinion of the author only. No information contained in this blog should be construed as legal advice from pbVerify or the individual author, nor is it intended to be a substitute for legal counsel on any subject matter. No reader of this blog should act or refrain from acting on the basis of any information included in, or accessible through, this blog without seeking the appropriate legal or other professional advice on the particular facts and circumstances at issue.