6 points to weigh up about debt review
Debt collection can be all too much. The calls, the emails, the stress of trying to make ends meet can take their toll, but there are structured, legal ways to take back control.
One of them is debt review. It’s a formal debt counselling process that helps you restructure what you owe under legal protection.
The process isn’t always easy and it’s not a quick fix, but it exists to protect you. Debt review benefits include giving you breathing space when repayments have become impossible and a clear plan to rebuild your finances.
If your debt is piling up and you’re feeling unsure where to start, these six points will help you understand what happens in the debt review process. Then you can decide whether it’s the right
Point #1: You have to face the numbers
Debt review starts with honesty. A registered debt counsellor will go through how much money you’re earning, your living costs and every account and amount you owe. It can feel uncomfortable, but it’s the only way to create a repayment plan that works for you.
Point #2: It’s not instant relief, but it is real relief
Debt review isn’t a quick fix. It’s a legal process under South Africa’s National Credit Act that usually takes three to five years. But it gives you protection from creditor calls, court threats, and repossessions while you make manageable payments each month.
Point #3: You’ll have to live with limits for a while
During debt review, you can’t take on new credit. This might feel limiting, but it’s temporary. When the process ends and your debt review clearance certificate is issued, you’ll be debt-free and ready to rebuild your credit profile.
Point #4: The process only works when you stick with it
Debt review starts with a look at your finances, then gives you legal protection while your counsellor talks to your credit providers to work out a more manageable plan. Once that’s approved by the court or the National Consumer Tribunal, you make one monthly payment through an agency until everything is paid off.
Point #5: You must exit debt review the right way
You can’t just leave debt review if you can’t handle it anymore. You may only exit the process once all your listed debts are paid off or when a court finds you’re no longer over-indebted. Any early disappearance through shortcuts or “removal services” is risky and often illegal.
NB: If you choose to go through debt review, always follow the official process through your registered counsellor.
Point #6: It’s not failure, but it is financial maturity
Many South Africans (an estimated 10.41 million credit-active consumers) have debt that’s not being paid on time or has fallen behind. It’s important to know that choosing debt review doesn’t mean you’ve failed. It means you’ve chosen to take control in a legal, responsible way.
At the end of the process, remember to check that your clearance certificate has been reflected correctly by all credit bureaus. Then start fresh. Be strict with yourself about things like paying your accounts on time. Keep balances below 10 percent of your limits. Check your credit score regularly with Finance365’s free tools.
You can also learn more about credit management in our article, “The Basics of Credit Management: What Every Consumer Should Know”.
One more point to keep close is that building your credit isn’t a once-off thing. Managing your debt needs regular check-ins because then, if you feel like your control is slipping at any time, you can get it back. Most times, it starts with getting a clear list of all your debts in your free credit report.
Get your free credit report here
Get guidance with Finance365
If you’re feeling completely trapped by your debt, we can help you understand your options and connect you with trusted, registered debt counsellors. We can help you see where you stand and guide you toward a controlled debt, credit-strong future.
Common misunderstandings about debt review
“Debt review means I’m blacklisted.” You’re not blacklisted. You’re protected. The listing is temporary and removed once your debts are paid.
“I’ll never get credit again.” You can. After your clearance certificate is issued, you can rebuild your credit health responsibly.
“Debt review ruins your reputation.” It doesn’t. It shows accountability and a commitment to change. These are qualities that credit providers want to see from you.
