DO WE want debt to be part of our culture and the heritage we pass on to our children and our children’s children?
The debt trap has become a part of daily Mzansi life and too many are stuck deep in it.
SunMoney spoke to Tshepiso Marope, the director of MCD Debt. He said debt has unfortunately become our heritage.
“The problem has been highlighted by the high levels of indebtedness that have risen sharply across all South African income groups.”
Marope said Gauteng, which is Mzansi’s wealthiest province, is also leading the way in levels of crippling debt.
About four in 10 Gauteng residents or households are struggling just to maintain their debt.
“While households which earn more money are more likely to also be in debt because of car and home loans, what is more serious is the sharp rise in debt from 2015 to 2018 among lower income groups.
“If you are struggling just to pay off the interest being added to your debt or if aren’t even coping with that, you need to think about debt consolidation.”
Matthys Potgieter, spokesman and debt expert at DebtSafe, the debt consolidation specialists, said Mzansi is sinking into a culture of debt and it is destroying families and the country’s economy.
“No one wants to admit that they are trapped by their spending but the financial reality is, that debt is part of Mzansi culture and it is getting worse. T
“This is not a comforting trend or positive economic strategy.
“People need to made aware of and educated about handling money and the ways they can strategically but slowly dig their way out of financial problems.
“No matter how badly it feels now, a proactive move to fix your finances helps make sure you leave behind a better legacy than crushing personal debt.”
For more information about debt problems and solutions, contact DebtSafe 011 484 0415 or 060 320 4085.
