Debt Counselling

Debt Counselling is a counselling process undertaken by a person who is facing huge financial losses and is in great debt trap.  During the stage of heavy debt the individual and his family undergo a lot of crises- financial, psychological and social. At times this leads to depression and suicide. The mental health counsellor provides support and psycho therapy to overcome lo confidence, depression and anxiety. However it may also be a formal legal process that provides for a consumer to be declared over indebted and for the debt counsellor (appointed by debt recovery court or tribunal) to negotiate a restructured payment plan and obtain a court order confirming the new repayment plan.