Will debt counselling impact future employment opportunities?
However, this shouldn’t be so. “Because when the debt counselling process was introduced in South Africa, many employers did not have the correct understanding of how it actually worked. However, today, signing up for debt counselling should not have any impact on your current job or on future employment opportunities and prospects,” DebtBusters explained.
In most occupations, it is typically important that you are able to show that you can manage your personal finances efficiently for example if you are advising others on money management and financial products. ““Most employers will feel that if you cannot manage your own money properly; you will not be able to give other individuals sufficient financial advice,” DebtBusters highlighted.
Your ability to manage your finances also just speaks to a general sense of accountability and discipline, which are typically qualities that employers look for in an employee.
“When you do not meet your debt repayments and fail to address your debt problem, you will accrue defaults and judgements against your name. Judgements and defaults will show that you are further failing to address your debt problems and take responsibility for your actions. Employers are most likely to view this in a negative light,” added DebtBusters.
But should you be in the job market, and in applying for jobs the prospective employer runs a credit check on you, and notices that you are under debt counselling, it should not have an impact on your chance of getting the job. Ultimately it is important to remember that debt counselling is a voluntary process and in signing up you are taking the responsible step to better manage your finances.
Until next time,
The MoneyShop.co.za Team