Frequently Asked Questions and Answers that will help you understand how the process works.

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What is Debt Review
Debt Review otherwise known as Debt Counselling or Debt Consolidation is a debt relief procedure that was born from the NCA (National Credit Act) and which legally protects over-indebted consumers to rehabilitate from debt burden and become debt free. A debt counsellor assesses your financial circumstances and proceeds to restructure your debt through a lowered consolidated payment plan (proposal) which will be to the benefit of both you and your creditors, taking into consideration both your daily essential living expenses and debt obligations. Making it easier and less worrisome to get through the month.
When am I considered to be over-indebted?

You are over-indebted if your monthly essential living expenses and debt obligations exceed your monthly nett income/salary.
An example (each case and circumstance differ and is this purely just for illustration purpose):

Let’s say you earn a Nett income of

(nett income = after employer deductions)


And your essential living expenses: 

(rent, water, electricity, transport etc) totals


R 9,500.00

And your debt repayments:

(credit card, loan, vehicle finance etc) totals


R 5,000.00

If deducted -R 4,500.00  

You are in the red and cannot afford to keep up with your full debt obligations together with keeping your household afloat.  Then you are over-indebted.

How soon can I get relief if I apply?

From the first month when you apply, you will no longer pay all your creditors separately but rather your lowered consolidated payment towards your creditors.  

How do I apply for Debt Counselling/Debt Review/Debt Consolidation?

You can apply by completing our contact form.  Please CLICK HERE for a call back and one of our dedicated advisors will contact you as soon as possible.

How do I know if your company is legit?

We are registered debt counsellors with the NCR (National Credit Regulator) and you can search our debt counsellors under register of registrants on their official website.  Just type in NCRDC2114 in the search box. Follow THIS LINK for easy access >

Who is the NCR (National Credit Regulator)?
The NCR is an entity responsible for the regulation of the South African Credit industry.  It is tasked with the registration of and complaints against payment distribution agencies, creditors, credit bureaus and debt counsellors. It enforces compliance with the National Credit Act.
Who is the PDA (Payment Distribution Agency)?
The PDA is an agency registered with the NCR which attends to the receival of your payments and ensures it gets distributed to your creditors. It also pays out your debt counsellor fees for their work from your instalment.  The PDA also sends monthly distribution statements to you ensuring you know who gets paid what from your instalment.
Why does my marriage status have an impact on my application?

If you are married in community of property, we must attend to a joint application reflecting both spouses’ information and consent to proceed, because legally you have one combined estate, which means you are both liable for each other’s debt and all creditors must be joined.

How do I know if I was married in community or out of community of property?
If you were married out of community of property, you and your spouse would have signed an antenuptial agreement before an attorney before you got married, which would have been registered at the Deeds office. If not, then you are most likely married in community of property.
Why should I get a new bank account? (It is such a hassle!)
We advise you to get a new bank account to avoid unnecessary issues like debit orders going off even though they were cancelled. Make sure that your salary/income gets paid into your new account, as well as all debit orders (like insurance and medical) in addition to your debt-related debit orders, should be placed on your new account.
Also, if you had an overdraft there might be the possibility that the bank freezes the account. This may result in a time constrainious and stressed hassle to release those funds, whereas with the new account you can just go forward with no headaches.
Can I apply for loans or any other credit while I am under debt review?
In order for you to rehabilitate/service the current outstanding debt, you will not be able to incur further debt until all your debt under the process is settled in full and a clearance is issued. The ambit of the process is to ensure you get rid of your current debt responsibilities legally and not to increase the debt burden.
I heard I am going to be blacklisted if I apply for debt review, is this true?
No, you are not blacklisted but as a protection measure, a flag referring to your debt review application is placed on your credit profile. This flag will be removed once your debt is settled, and a clearance is issued.
Can I choose which debt accounts I want to include and which to exclude from the process?
In terms of Section 88 of the National Credit Act all outstanding debt must be included under debt review, there is no choice. Keeping debt outside/separate from the process is not in your best interest, as you are legally protected and most of your creditors will be open to come down with interest rates, assisting you to pay off quicker.
Can my bond- and vehicle finance be included under debt review?
Yes, both these credit agreements are eligible for inclusion under the Debt Review process and are fully protected from legal action if no summons was issued yet.
Can I rent property whilst being under debt review?
Yes, there is no reason why you should not be able to rent, there is provision made under your essential living expenses for rent. You may ask for a confirmation letter to provide to your agent if same is requested by your agent (The agents can request such confirmation while you are applying for rent or doing a rental renewal).
What is debit order cancellation forms?
Debit order cancellation forms allows us to cancel all credit agreement related debit orders of accounts under the debt review process on your behalf, ensuring no unnecessary debit orders gets deducted from your account, as you will only pay your lowered consolidated installment towards those credit agreements from the first month when you apply.
What is a proposal?
A proposal is a re-arrangement payment plan. It gets send to all your credit providers after assessing your income and expenses and receival of your creditors’ certificates of balances. It reflects your budget and the availability of funds towards each credit agreement. It therefor projects a lower instalment and interest rate (where possible) towards each credit agreement with a cascaded term.
How are the payback terms calculated and/or what does cascaded term mean?
The creditors’ Certificate of balances confirm the contractual instalments, balances, service fees, interest rates, credit life, contractual term etc. This information is then entered into our accredited PDA system together with your budget which then calculates a cascading repayment plan. The terms calculated is founded on a cascading term which means as the one account gets paid up, those funds for that account gets redistributed amongst the remaining accounts and is incorporated in that term.
Is debt review and administration the same?
No, administration is a very old debt relief procedure regulated through the Magistrate’s Court Act, and only caters for debt to a maximum amount of R50,000.00. Administration expressly excludes bond and vehicle finance. It is our opinion that the instalment under administration is so low it barely covers interest on accounts and payments are only distributed every third month. Debt Review on the other hand is a relatively more modernized debt relief procedure regulated by the NCA (National Credit Act). There is no monetary limit under debt review and bonds and vehicles are eligible for inclusion under debt review.
Can one be under administration and debt review at the same time?
Yes, accounts that were not included under administration can be placed under debt review.
What about sequestration, why not just declare myself insolvent?
Sequestration should be your last resort. Declaring yourself insolvent means for a period of 5 years you will be blacklisted. You will not be able to do anything like for instance: apply for credit, work for own account etc. And you will most probably lose your assets like your vehicle and house. Should it be that there is no other option for you, you will be advised accordingly.