Civil Litigation and Debt Collection

 

 

Do not ignore the problem and hope it goes away. It won't. The good thing about a negative credit report is that it can be fixed. Find out what is considered bad and good for your credit and how to recover from your credit mistakes.

Order your credit report and review it carefully. Make a list of your debts and prioritise them from most important to least important. Cut out all unnecessary expenses and use the extra cash to pay off your debts one by one. Negotiate or consolidate your debt by talking to your credit/service providers about a rate reduction.

Never ignore letters of demands or summonses to appear in court for non-payment. Phone the credit/service provider and try and adapt your repayment plan. Stick to your plan and be disciplined—do not spend what you can’t afford to repay and look at your Credit Report monthly to track your improvement.

A notice is a legal action that has been taken against you after you have failed to pay a debt or outstanding account. Notices include administration orders, provisional sequestrations, sequestrations and rehabilitation orders. Administration orders remain on your profile for 5 years, rehabilitation orders remain for 5 years and sequestrations remain for 5 years if no rehabilitation order is granted.

When a consumer cannot afford to pay their debts, they have the right to approach a debt counsellor for assistance. (see National Credit Act) The counsellor will help the consumer to restructure or rearrange their debt payments if the consumer is deemed to be overindebted-this arrangement can be made an order of court.

Debt counsellors must be registered with the National Credit Regulator and charge for their services. Interest will also continue to be applied to the debt.

Consumers should sure that they understand exactly what will happen under counselling and should know upfront what the fees or charges will be.Once a consumer has signed for debt counselling, this is noted on the credit bureau’s consumer profile and he/she is not allowed to obtain further credit until the counselling process is finalized or withdrawn.

It is a 3 digit number that is created representing your overall credit behavior. It includes score ranges that will help you understand your score.

A consumer credit report will be updated with new information provided over time by credit/service providers. Your TransUnion Credit Score is calculated based on the latest information contained in a credit report at the time the score is requested, so a score generated a month ago will probably be the same as one calculated today.

If you find yourself unable to manage your debt, you may apply for an administration order in the Magistrates Court if your debt does not exceed R50 000. The magistrate examines your financial position and appoints an administrator to whom you make regular payments.

These payments are divided proportionately among the various stores and banks to which you may owe money. An administration order remains on your credit report for a period of 5 years or until it has been rescinded.

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Civil Litigation and Debt Collection

Civil litigation and debt collection are legal processes used to resolve disputes, enforce rights, and recover money owed. Whether you're involved in a contractual disagreement, facing non-payment from a client, or need to take formal legal action, it's essential to work with attorneys who understand both the strategy and procedure involved.

Our civil litigation attorneys assist with a wide range of legal disputes in both the Magistrate’s and High Courts, offering practical advice and representation tailored to your specific matter. For clients dealing with outstanding debts, our debt collection attorneys provide efficient, legally compliant recovery services across South Africa. From issuing letters of demand to enforcing court judgments, we help clients take decisive legal steps when informal efforts have failed.

Debt Collection Attorneys - Civil Litigation Attorneys

Civil Litigation

Civil litigation is the legal process used to resolve disputes between individuals, businesses, or other entities through the courts. These disputes may involve financial loss, property issues, breach of contract, defamation, or any matter where one party seeks to enforce a right or claim damages. Unlike criminal proceedings, civil litigation cases are brought by private parties, and the outcome typically involves compensation, the enforcement of obligations, or the protection of legal rights.

Civil Litigation Services

We provide professional legal services in South Africa across a wide range of civil disputes, including:

  • Contractual disputes and breach of agreement
  • Property-related disputes, including eviction and boundary issues
  • Defamation and reputational harm claims
  • Enforcement of legal rights and obligations
  • Financial claims and damages
  • Interdicts and urgent relief applications
  • Disputes involving individuals, companies, or body corporates
Key Features of Civil Litigation
Court Jurisdictions
  • Magistrates Court: Handles claims up to R200,000.
  • High Court: Deals with claims exceeding R400,000.
The Litigation Process
  • Pre-Trial:Drafting pleadings, filing documents, and exploring settlement options.
  • Trial:Presenting evidence and arguments in court with legal representation.
  • Post-Trial:Enforcing court orders through actions like asset attachment or wage garnishment.

Civil litigation often intersects with debt recovery when creditors seek legal remedies to secure payments.

Debt Collection

Legal debt collection is the formal process of recovering money owed by individuals or businesses using the support of attorneys and the courts. When internal efforts to collect payment fail, or when debtors become uncooperative, pursuing the matter through legal channels protects your rights and ensures that recovery is handled efficiently and lawfully.

Unlike informal reminders or third-party agencies, working with debt collection attorneys allows you to take structured legal action. This can include sending demand letters, initiating proceedings, and enforcing court judgments through asset seizure or garnishee orders.

Debt Collection Services

We offer legal debt collection services throughout South Africa for clients across a range of sectors. These often involve:

Every matter is assessed on its merits before any legal steps are taken. Our approach to debt recovery in South Africa is results-driven, compliant, and tailored to each client’s needs.

Debt Collection Process
Section 129 Notice
  • A mandatory notice sent to debtors before legal action, informing them of their default and encouraging alternative solutions like debt counseling.
Summons
  • If payment remains unresolved, a summons is issued, requiring the debtor to respond or appear in court.
Default Judgment
  • Creditors may seek a court judgment if the debtor does not respond, validating the debt claim.
Post-Judgment Enforcement
  • Asset Seizure: A sheriff may attach and sell assets to settle the debt.
  • Emolument Attachment Orders: (EAO) With the debtor’s consent, a portion of their income is deducted for repayment.

Litigation for Debt Recovery

When informal debt collection efforts are unsuccessful, litigation becomes a powerful option to recover debt legally. Through the court system, creditors can obtain a judgment against the debtor — unlocking tools such as emoluments attachment orders (wage garnishment), asset attachment, or sale in execution to enforce payment. Legal action may also deter further delay or avoidance, particularly when a debtor is deliberately non-compliant.

Debtor and Creditor Rights
Debtor’s Rights
  • To receive proper notice, such as a Section 129 Notice, before legal action.
  • To challenge claims in court.
  • To negotiate repayment plans or seek debt restructuring.
Creditor’s Responsibilities
  • To comply with the National Credit Act and follow all legal procedures.
  • To issue accurate notices and conduct ethical debt collection practices.
  • To respect the debtor’s rights throughout the process.

Why Choose Our Legal Services?

Debt recovery and civil litigation require precision, urgency, and strategic execution. At VDM Attorneys, we combine in-depth legal expertise with a pragmatic, results-oriented approach to ensure our clients receive clear guidance and effective representation from start to finish.

Clients choose us because:

  • We act quickly and decisively when disputes or non-payment arise, preventing unnecessary escalation or financial loss.
  • Our litigation and debt collection processes are fully compliant, ensuring all action taken stands up to legal scrutiny and avoids reputational risk.
  • We focus on outcomes, not unnecessary litigation — balancing assertive legal action with opportunities for early resolution where appropriate.
  • We keep you informed, with honest advice, realistic expectations, and full transparency around timelines and costs.
  • Every matter is handled with professional care and tailored strategy — whether it involves a complex litigated claim or a single unpaid invoice.

Choosing VDM Attorneys Help You Resolve Your Legal Matters

Whether you’re pursuing a claim or defending one, our legal team is ready to assist. We are committed to delivering professional and efficient legal services to achieve the best outcomes for our clients.

Contact us at VDM Attorneeys to schedule a consultation and take the first step in resolving your civil litigation or debt collection issues.