BANKING & CREDIT

How to Apply for Debt Review in South Africa

A step-by-step guide to debt review under the National Credit Act, how to apply through a registered debt counsellor, and how to check that counsellor is genuine.

Step by step

What debt review actually is

Debt review, also called debt counselling, is a formal process created by the National Credit Act for consumers who are over-indebted, meaning they genuinely cannot keep up with their monthly debt repayments. It is not a loan and not a quick fix. A registered debt counsellor assesses your finances, and if you qualify, negotiates one reduced monthly payment that is shared among your credit providers. CluedUp is an independent guide, not the National Credit Regulator or a debt counsellor, so confirm the detail with the official bodies before you act.

Who it is for

Debt review is voluntary. No one can force you into it, and no one can stop you applying if you are over-indebted. It tends to suit people with multiple accounts, such as personal loans, store cards and vehicle finance, who are falling behind despite trying. It is generally not meant for someone who can comfortably manage their payments. Importantly, while under review you may not take out new credit, which is a condition designed to help you recover.

How the process works

You apply through a debt counsellor who is registered with the National Credit Regulator. The counsellor assesses whether you are over-indebted, and if so, notifies your credit providers and the credit bureaus that you have applied. A restructured repayment plan is then proposed, usually reducing your monthly instalment or interest, and you pay a single amount through a registered payment distribution agent. The arrangement is typically confirmed by a court or tribunal so it becomes legally binding and your creditors are held to it.

What it costs

Debt counsellors charge a professional fee at the start and a monthly aftercare fee, both of which form part of your monthly debt-review payment. There are no fixed, government-set fees, although the NCR has from time to time published guideline rates that most practices follow. Because the numbers change, always ask for every fee in writing, as of 2026, and confirm it before you sign. If a counsellor is vague about costs, treat that as a warning sign.

Checking your counsellor is genuine

This is the step people skip, and it matters most. Every legitimate debt counsellor is registered with the NCR and has a unique NCRDC number. Verify that number directly with the NCR, by phone or on its official website, before you hand over documents or pay anything. A real counsellor will never need your online banking password, card PIN or a one-time code. Anyone who guarantees to “wipe” your debt overnight or demands a large cash fee upfront should be avoided.

Protection, and getting out

Once you are under review and your creditors are notified, you are generally protected from legal action on the debts included, as long as you keep paying the agreed amount. When all those debts are settled, you receive a clearance certificate and the review status is removed from your credit profile. If something goes wrong with your counsellor, complaints go to the NCR rather than the financial ombud. This article is general information, not financial or legal advice; confirm your situation with the official provider.

CluedUp is an independent guide and is not affiliated with any government agency. Fees, links and steps can change — always confirm on the official portal before you act. This is general information, not legal or financial advice.