What is Debt Review?
Debt review (also known as debt counselling) is a formal, legal debt relief process established by the National Credit Act (NCA) No. 34 of 2005. It is designed specifically to help over-indebted South African consumers manage and repay their debts in a structured, affordable manner.
When you enter debt review, an NCR-registered debt counsellor negotiates with your creditors on your behalf to reduce interest rates, extend payment terms, and create a single affordable monthly payment that fits within your budget.
Unlike informal arrangements, debt review provides legal protection from creditors, preventing them from taking legal action, repossessing assets, or harassing you for payment while you are under review.
Are You Over-Indebted?
According to the NCA, you are considered over-indebted if:
- You struggle to make minimum payments on your debts each month
- Your debt payments exceed 30-40% of your gross monthly income
- You are borrowing from one creditor to pay another
- You are at risk of defaulting on multiple credit agreements
- Creditors are threatening legal action or repossession
Benefits of Debt Review
Legal Protection
Creditors cannot take legal action, repossess assets, or garnish wages while under review
Reduced Interest Rates
Negotiate significantly lower interest rates with all creditors
Single Monthly Payment
One affordable payment distributed to all creditors on your behalf
Stop Creditor Harassment
No more collection calls, letters, or threats from creditors
Extended Payment Terms
Longer repayment periods make monthly amounts more manageable
Clearance Certificate
Receive official clearance once all debts are paid off
The Debt Review Process
Free Assessment & Application
Contact ExecuDebt for a free, confidential assessment. If you qualify, you sign a Form 16 application to enter debt review. We notify all your creditors and credit bureaus within 5 days.
Financial Assessment
We gather all necessary documents and conduct a thorough assessment of your income, expenses, and total debt to determine affordability.
Debt Restructuring Proposal
Our counsellors negotiate with each creditor to reduce interest rates, waive fees, and extend payment terms. We create a debt repayment plan with one affordable monthly payment.
Court Order
Once creditors accept the proposal, we apply to the Magistrate's Court for a debt re-arrangement order. This legally binds all parties to the repayment plan.
Monthly Payments & Monitoring
You make one monthly payment to the PDA, which distributes funds to your creditors. We monitor your progress and adjust the plan if circumstances change.
Clearance Certificate
Once all debts are fully paid, we issue a Clearance Certificate. The debt review flag is removed from your credit record, and you are free to apply for credit again.
Important Things to Know
Credit Restriction: While under debt review, you cannot take on new credit. This is to protect you from accumulating more debt.
Voluntary Process: Debt review is voluntary. You can exit at any time, but you lose legal protection.
Duration: The process typically takes 3-5 years depending on your debt amount and affordability.
NCR Regulated: All fees are regulated by the NCR. ExecuDebt is fully compliant with all NCR guidelines.
NCR Registered
Fully registered and compliant with the National Credit Regulator
Experienced Counsellors
Professional team with extensive debt counselling experience
100% Remote Service
Complete the entire process online from anywhere in South Africa
Ongoing Support
Dedicated support throughout your debt review journey
Ready to Start Your Debt Review?
Book a free, confidential consultation with our NCR registered debt counsellors today.