Due to consumers abusing the Debt Review process in the past the National Credit Regulator (NCR) imposed new withdrawal from Debt Review procedures.

The only way to get out of debt review

It is important to note that the process described below is the only way to get out of Debt Review. The Debt Review process should be entered with the right intent.

Some consumers think that once they stop paying their Debt Review, the process is canceled and their name will be cleared.

It is important to understand that this is untrue. Your Credit Profile will state that you are in Debt Review until one of the above three options have been exercised. This means that you will not be able to apply for credit in the interim.

When you apply for Debt Review your Debt Counsellor will first conduct an assessment and issue a Form 17.1 notice to your Credit Providers.

The Form 17.1 Notice informs your Credit Providers that you have applied for Debt Review and requests them to issue your Debt Counsellor with a Certificate of Balance (COB).

The Certificate of Balance confirms all the information pertaining to your agreement with the Credit Provider.

The Debt Counsellor will then use the information on the COB, as supplied by your creditors, to confirm your indebtedness status. Should this confirm that you are over-indebted your Debt Counsellor will issue a Form 17.2 notice to your creditors.

This notice confirms that you are in fact over-indebted and your Debt Counsellor is now in the process of restructuring your credit agreements. After this notice has been sent, you are officially in Debt Review.

Prior to the Form 17.2 Notice being served to your creditors, you can withdraw from Debt Review, by simply emailing your Debt Counsellor an instruction to withdraw your application. Charges will apply hereto but will be minimal.

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Subsequent to the Form 17.2 being served, you can only withdraw from Debt Review by means of the following:

1. Paid up all creditors, except Bond

You have followed the Debt Review process and paid up all the accounts listed in your Debt Review application, and can now afford to pay your bond outside of Debt Review.

You would need to prove to the Debt Counsellor that the bondholder has now restructured any arrears on your account and issued you with an installment, should it be different to your contractual installment, which you can afford.

Your Debt Counsellor will then issue you with a Clearance Certificate (Form 19) and inform the NCR and all Credit Bureaus hereof and instruct them to remove the “in debt review” listing off your credit profile.

2. Paid up all creditors

You have followed the Debt Review process and paid up all the accounts listed in your Debt Review application. Your Debt Counsellor will then issue you with a Clearance Certificate and inform the NCR and all Credit Bureaus hereof and instruct them to remove the “in debt review” listing off your credit profile.

3. Court Order

Should you be able to afford your debt repayments in terms of the contractual agreements, you will need to apply to the Court to declare yourself no longer over-indebted.

This is a formal application which would need to be launched by an attorney. You will need to provide the Court with proof that you can now afford to pay your credit agreements.

Once the Court has granted the application a copy of the Order must be sent to your Debt Counsellor who will then update your status on the NCR’s Debt Help system and inform all Credit Bureaus to remove the Debt Review listing from your credit profile.

See How Much You Can Save With Debt Review

Use our free online debt review calculator