Short answer: most people don't need a lawyer to get out of debt review. If you've paid off the debts in your repayment plan, a registered debt counsellor can issue your clearance certificate and have the debt review flag removed, without going to court. A lawyer is only needed in one situation: when your debts are not yet paid up and you want a court to declare that you are no longer over-indebted.
At Meerkat, our registered debt counsellors issue clearance certificates online for R1,750 if you have your paid-up letters, usually within about 10 days. The credit bureaus can then take up to 2 months to clear your record.
| Your situation | Who can help |
|---|---|
| All debts in your plan are paid up (your bond can still be running) | A registered debt counsellor issues a clearance certificate. No court needed. |
| Any unpaid debts have prescribed | A registered debt counsellor, once prescription is confirmed. |
| Debts are not paid up, but your income has improved a lot | A lawyer can apply to court to have you declared no longer over-indebted. |
| You've stopped paying and a credit provider has taken legal action | Get legal advice. A clearance certificate isn't possible until the debts are settled. |
If your finances have changed a lot since you entered debt review, for example you've started a much better-paid job, a lawyer can bring a court application to show that you're no longer over-indebted. If the court agrees, the debt review order can be set aside even though your debts aren't fully paid.
Before you go this route, know that it:
Many people are under debt review, and some companies take advantage of that. Be careful of anyone who:
You can check whether a debt counsellor is registered on the National Credit Regulator's website.
Watch Meerkat founder and CEO David O'Brien explain the debt review removal process:
A judgement is separate from debt review. Read what a judgement is and how to remove one.
No. You need a registered debt counsellor, or a court order. Read can I remove myself from debt review?
Check your credit report at each bureau. Read how to know if your debt review flag has been removed.
No. The debt review flag is temporary and is removed once you're cleared. Read how to check if you're blacklisted.
For costs, timelines and every exit option, see our Ultimate Guide to Debt Review Removal in South Africa.
MyMeerkat FSP (Pty) Ltd is an authorised financial services provider (FSP 50979) and a registered debt counsellor (NCRDC2613). This article is general information, not personal financial or legal advice.