Debt Review was introduced by the National Credit Act to provide relief to over-indebted consumers, as an alternative to going under administration or sequestration (repossessing of assets).

The National Credit Regulator is clear about consumers struggling with debt: See a debt counsellor. A debt counsellor will negotiate on your behalf with all creditors, creating a new contract with them, resulting in a court order, which amends the current contractual agreement. Some of the arrangements will include reduced interest rates, reduced installments and extended terms.

Debt review is also known as Debt Rehabilitation. You are exercising your right to come clean with your creditors and once you are rehabilitated, you may enter into credit agreements again. A debt counsellor’s duty is to remove you from debt review once all debt has been settled. Note: the debt must be fully settled before Clearance Certificate can be issued.


Our infographic below explains the process of debt review: