Debtfree DIGI Magazine - May 2016

It is possible to move existing consumers on debit orders to stop orders successfully. An NPDA
medium sized debt counselling client recently converted over 80% of their consumers on debit
orders to stop orders. According to the NPDA stop orders have a 92% collection rate.
It is key that debt counsellors pay attention to sustainable collection mechanisms. For example,
a debt counsellor that signs up five new clients per month, will at the end of 12 months, provided
there has been no churn, increase his or her business revenue by 50% with no additional work.
The DCM Partnership Programmes introduced in conjunction with the NPDA supports Debt
Counsellors by providing the right mix of tools that address key business drivers, such as the
conversion rate of new clients, and the access to proven collection methods. The NPDA through
its association with Debt Control Management (DCM) can offer salary deductions to close to 500
000 employees.
By using proven collection methods, like salary deductions and stop orders, debt counsellors
can lower their risk of payment repudiation while maximising their revenue potential with no
additional cost or effort.
IN A NUTSHELL is brought you by the DCM Business Partnership Programme, designed to
support debt counsellors and consumers during the debt review process, in collaboration with
the National Payment Distribution Agency (NPDA). For help, contact the NPDA on 0861 628 628.
If you have suggestions for topics that you would like covered in future, please email info@dcmgroup.co.za
The NPDA was recognised as the industry winner for PAYMENT DISTRIBUTION and Care Premier as the industry
winner for DEBT COUNSELLING SOFTWARE at the Debt Review Awards 2015.