INFLATION, INTEREST RATES DRIVE DEMAND FOR DEBT MANAGEMENT

Faced with rising interest rates and high inflation, many more South Africans are seeking help to manage their growing debt, with demand for debt-management services increasing significantly during Q1 2023. This was one of the findings from Debtbusters’ Q1 2023 Debt Index, a quarterly review of data drawn from debt-counselling applications. The research shows that demand for debt counselling grew by 40% compared to the same period in 2022, while there was a massive 92% increase in subscribers for its online debtmanagement tools. Benay Sager, head of Debtbusters, says he expects the trend to continue for the rest of the year.