The City’s debt rehab programme has been extended to June 30.
The City of Johannesburg has approved a further extension of the Debt Rehabilitation Programme in its council meeting on February 24. According to MMC for Finance Julie Suddaby, the intervention is designed to assist financially distressed ratepayers and defaulting customers to bring their arrears municipal accounts up to date.
Under the programme, successful applicants will receive a 50% immediate debt write-off and the balance of the debt will be divided into thirds of which one third will be written off each year for three years – the duration of the Debt Rehabilitation Programme. Suddaby added, “The debt remains written off provided the customer complies with all the conditions of the programme. Residential customers, small businesses, faith-based organisations or places of worship [such as churches, mosques, synagogues] and non-profit organisations are all eligible to apply.”
Ward 86 councillor Chantelle Fourie-Shawe has urged residents to take advantage of the programme as it is the City’s way of providing relief to those who need it most. She said, “This programme is a helping hand given to residents who have been especially hard hit by the effects of the pandemic. Although we know the City needs to recoup lost revenue from residents and businesses who do not pay what they owe, we also need to acknowledge the dire situation many now find themselves in. The reopening of the Debt Rehabilitation Programme is an attempt to meet ratepayers in the middle.”
Suddaby added, for residential customers, the market value of the property and all properties owned by the applicants must not exceed R1.5 million. Businesses, churches and non-profit organisations would have to provide financial statements showing they are not generating revenue of more than R3 million per annum. To qualify for the 50% immediate write-off, the account holder’s balance must be in arrears for more than 90 days when the application is submitted. The combined gross income of the account holder, individually or jointly, must be between R4 750 and R22 000 per month. Where the gross monthly income is more than R22 000, only a percentage of the debt above 90 days shall be written off on condition that the account holder/s settles the account in full. Once approved, the account must be kept up to date for 12 months from the initial write-off.
The City reserves the right to cancel the agreement and reinstate the original debt written off should it be discovered that the account holder provided falsified information and documents to the City.
To apply for the programme, customers can email debtrehab@joburg.org.za or visit www.joburg.org.za
