SECTION 129Section 129 in processWe have issued a section 129 letter of demand to the debtor. We must give the debtor this document in line with legislation. This allows the debtor to make a settlement or instalment arrangement or to raise a dispute. The debtor is granted 21 days to respond. As soon as the letter is issued, we phone the debtor to make payment arrangements to speed up the collection process.
Document and data managementWe have issued a section 129 letter of demand to the debtor. The matter has been referred to document management for additional information or documentation in the interim.

PROMISE TO PAY (PTP)Instalment arrangementThe debtor has made an instalment or a settlement arrangement to settle the account.
Discount requestedThe debtor has asked for a discount or settlement amount. We are communicating with you to approve or reject the offer made.
Slow payerThe debtor is paying monthly instalments, but the payment amounts are small relative to the outstanding capital amount. We will try to recover the capital as soon as possible but factors such as the debtor’s financial situation influence the affordability of instalment arrangements. We will maintain a positive relationship with the debtor throughout the down-payment period and will try our best to increase instalments.
Irregular payerThe debtor has an instalment arrangement, but does not keep to any fixed payment pattern. We are trying to make fixed instalment arrangements but debtor behaviour is sometimes unpredictable. Maintaining a positive relationship with the debtor is key towards collection when dealing with an irregular payer.

PAYMENT DEFAULTPayment DefaultThe debtor has made an instalment arrangement with us and has not made payment as promised. When a debtor breaches a payment arrangement, we make contact immediately to follow up on payment. Rapid reaction to payment defaults is key to increase the probability of procuring a defaulted payment. Should the debtor remain in default, credit bureau listing or legal action is a necessary recourse to be considered. The account is then again managed in terms of the Section 129 processs.

DEFENDED MATTER (DISPUTE)Awaiting written disputeThe debtor has informed us that the account is in dispute. We have instructed the debtor to state the dispute in writing to solve the dispute. We grant a grace period of 10 days to receive a written dispute, in line with legislation.
Dispute overdueThe debtor has not submitted the dispute in writing within the grace period of 10 days. We are actively following up to ascertain the dispute. Should the debtor continue to fail to present the dispute, credit bureau listing or legal action is a necessary recourse to be considered.
Dispute resolution processWe have received a written dispute from the debtor and we are resolving the dispute with the help of our legal team. Should we require additional help with resolving the dispute, we will contact your designated contact person to help us.

TRACINGNew trace requestWe have not been able to make positive contact with the debtor with the details you have given us, or we require additional information that might assist the collection process. We have submitted a trace request to the top credit and information bureaus in the country to give us updated contact details.
Details updated from traceWe have received positive trace results from the credit and information bureaus with updated debtor information. We are trying to make contact again.
UntracableWe mark a status as untraceable in the following circumstances:

1. We cannot contact the debtor with the details you provided.
2. We didn’t receive new details from the credit and information bureau trace.
3. We cannot contact the debtor with the updated credit and information bureau details.
4. Other tracing platforms and strategies do not contain useful contact information.

DELINQUINT PAYERHospitalisationThe debtor is not making payments because they are in hospital. We are maintaining contact with the debtor and/or close relatives to administer the case and procure payment.
Foreign debtorThe debtor is a foreigner. Procuring payment from foreigners is usually more difficult for a variety of factors, eg. language barriers or the debtor leaving the country.
PensionerThe debtor is a pensioner and cannot make payments mainly due to financial restraints. Generally, SASSA pensioners are common in this category. We continue to attempt to procure payment from the debtors in this class, and when we procure payments, the status of the account will change to “Instalment arrangement”.
UnemployedThe debtor is unemployed. We stay in touch with the debtor on a cyclical basis to enquire about any employment status updates.
Business closedThe debtor’s business is not operational. Generally, smaller to medium companies do not undergo liquidation processes and it is therefore difficult to determine their status.

LIQUIDATION AND SEQUISTRATIONUnverifiedThe debtor states they are in the liquidation/ sequestration process. We are awaiting confirmation from the liquidators/sequestrators about the estate.
VerifiedWe have received verification from the liquidators/sequestrators that the debtor is under liquidation/sequestration. We have to determine if it would be viable to submit a claim against the insolvent estate.

DEBT REVIEWInstalment arrangementThe debtor is under debt review and we are receiving monthly instalments from the debt review practitioner.
UnverifiedThe debtor informed us they are under debt review and we are awaiting the debt review documentation from the debt review practitioner.
VerifiedWe have submitted a claim with the debt review practitioner and we awaiting are payments according to the approved payment schedules.

DECEASEDUnverifiedWe have made contact with a next of kin of the debtor, which claims that the debtor is deceased. We have requested the death certificate.
VerifiedWe have received the death certificate from the next of kin. We are contacting the executor of the estate to validate the viability of a claim.
In some instances we cannot get hold of the next of kin and have to rely on a trace result to verify death.
Claim submittedWe have submitted a claim against the deceased estate.
Insolvent estateThe executor of the estate has confirmed that the estate is insolvent. We will refer the case back to you.

LITIGATIONLegal actionThe matter has been referred to an attorney to proceed with further legal action against the debtor on your instruction.

REFER BACK TO CLIENTSettledThe matter has been settled by means of payment or compromise.
UntraceableThe debtor is uncontactable by means of the information we got from you and/or updated credit and information bureau details.
PrescribedThe account has been prescribed under the Prescription Act. This happens automatically three years after the sale or service date.
WithdrawnYou have withdrawn the account.
Recommended write-offThe debtor failed and/or refused to make payment on the account. Further legal action is not viable due to any of the following reasons:

1. Low claim amount
2. Untraceable debtor
3. Unable to verify sufficient assets
4. You have decided not to proceed with legal action