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Boosting Your Credit Score After Debt Review: A Practical Guide for South Africans

If you have completed debt review, you might be asking: How do I rebuild my credit score now? The review process helps protect you from legal action and restructures your monthly payments. This process also places a flag on your credit profile that limits access to any new credit. That flag won't clear itself and your credit score won’t improve unless you take steps to rebuild it.

This comprehensive guide explains how to boost your credit scores after debt counselling. We'll walk you through the legal process of clearing your name with the credit bureaus.

How long it takes.
What the National Credit Act says about clearance certificates.
How to re-enter the credit market and how to get approved for credit.

This is if you're applying for a cellphone contract, car finance, or a home loan. This guide gives you everything you need to make your financial comeback.

1. What Happens to Your Credit Profile Under and After Debt Review?

When you apply for debt relief:

Your credit profile gets flagged with a “debt review” status/ indicator.
You lose access to new credit or finance during the process.
Your repayments get restructured to match your affordability.

Once you have met your obligations:

Your debt counsellor must issue a Form 19 Clearance Certificate
This certificate informs all credit bureaus to remove the debt review flag
You can then begin rebuilding your credit score

It’s your right to have your name cleared once you’ve complied with the restructured payment plan. Legislation reference: Section 71 of the National Credit Act (NCA)

2. What Does It Mean to Be "Blacklisted"?

Blacklisted is an informal way of saying your credit report has negative information. This negative information flags you as high-risk. This can include:

Judgments
Defaults
Arrear payment history
Enforcement actions
Debt counselling status
Sequestration

Being blacklisted can block your access to credit and finance. Examples of Credit facilities are loans, bonds, vehicle finance, and even some jobs.

Credit bureaus must: (Sections 70–72 of the NCA and Regulation 17 of the Credit Bureau Regulations)

Keep data accurate and updated
Remove outdated or incorrect information
Process consumer disputes within 20 business days

Key timelines:

Paid-up defaults: removed after 12 months
Judgments: removed after 5 years (if unpaid)
Judgments removed in 7 days on receipt of a valid paid-up letter.
Debt review flag: All debts paid. Removed in 7-14days once a valid clearance certificate gets submitted.
Debt Review Flag: Not all debts paid (without a debt restructuring court order). Removed in twenty business days on receipt of a rescission court order.

3. Can You Remove Yourself from Debt Review?

No, only if you meet specific legal conditions. Many consumers think they can “cancel” debt counselling. Once a debt counsellor issues a Form 17.2 confirming you are over-indebted, the process is binding.

What the Law Says

Section 86(7) of the NCA allows a debt counsellor to flag you as over-indebted and notify all credit bureaus.
Once that happens, you can only exit debt counselling through:
- A Form 19 Clearance Certificate, or
- A court order that declares you no longer over-indebted

When do credit bureaus remove the debt review flag?

You exit debt counselling when:

You completed the process:
- You pay off all your short-term debts.
- Your long-term debts are up to date
- The debt counsellor issues Form 19/ Clearance Certificate.
- Credit bureaus update your record within 7 days
A court sets it aside:
- If your finances improve and there's no debt restructuring court order in place.
- The debt counsellor forced the application through using false information.
- If you were never over-indebted
The court grants a court order declaring you no longer overindebted:
- If the process never resulted in a court order.

Invalid Reasons for debt review Removal

Changing your mind
Wanting to get new credit
Frustration with how long the process takes

The above are not recognized as grounds for exiting debt restructuring.

Case Law: Rougier v Nedbank (2010)

This case made it clear. Once debt counsellor issues Form 17.2, you can’t get out of debt counselling. You can only get out if you receive a clearance certificate or a court order.

Case Law: Hermanus Adriaan Janse van Vuuren v Roets and Others (2021)

The Pretoria High Court confirmed that a consumer may approach the court to exit debt counselling. The court will only consider the application if there is no court order in place. You must also prove that you are no longer over-indebted.

Key points:

The court can reassess your financial position
You need to provide proof of affordability
The court can rescind the process early

This case confirms that courts, not consumers, are the only lawful exit from debt counselling. This applies if you're not yet eligible for a clearance certificate.

What Happens After Removal?

Credit bureaus must remove the flag within 7 business days under Regulation 17(5)
You regain access to credit
You can start rebuilding your credit score

How Credit Salvage Helps

We assist clients with:

Following up on delayed clearance certificates
Legal applications to exit debt review
Disputing inaccurate debt counselling listings
Full credit profile restoration

4. How to Rebuild Your Credit Score After Debt Review

Step 1: Get Your Form 19 Clearance Certificate

Your debt counsellor must issue this once you’ve settled your debts. This is your legal proof that the process is now complete.

Step 2: Confirm That Bureaus Have Updated Your Profile

Credit bureaus must remove the flag within 7 business days. Get your free credit reports from:

TransUnion
Experian
Compuscan
XDS

You're entitled to one free report from each bureau per year.

Step 3: Open Small, Low-Risk Credit Accounts

Start small:

Store accounts
Mobile phone contracts
A short-term credit card (if affordable)

Make repayments on time and in full.

Step 4: Keep Credit Usage Low

Use less than 30% of your available credit. Example: R3,000 balance on a R10,000 limit is ideal.

Step 5: Always Pay on Time

Even one missed payment can damage your credit. Automate payments where possible or set strong reminders.

5. What to Avoid After Debt Review

Avoid these mistakes that could slow your progress:

Applying for too much credit too soon
Defaulting on new accounts
Ignoring your credit report
Falling back into old spending habits

Be patient and rebuild your credit step by step. Stick to your budget.

6. Your Rights Under the National Credit Act

Your Rights

Free credit report once a year - Regulation 18(4)
Right to dispute incorrect listings -Regulation 20(2)
Accurate updated data - Section 72
Right to an updated clear credit report after debt counselling. Section 71 (Clearance Certificate)
Section 71 (Clearance Certificate)

If a bureau or debt counsellor fails to act, escalate to the National Credit Regulator (NCR).

7. FAQ:

How long does it take to recover or increase your credit score?

You’ll see improvements within 1–3 months with good behaviour. Full recovery can take 3–6 months.

Can I get credit again after debt review?

Yes, once the credit bureaus process the credit clearance certificate. and your credit profile is clean.

What if my counsellor delays my clearance certificate?

If you meet all the legal requirements, they must issue it. If not, report them to the NCR.

Can I remove the debt review myself without going to court?

No. Once Form 17.2 is issued, you need a clearance certificate or a court order to exit this legal process. You cannot remove yourself from the process without following legal steps or professional assistance.

How do I know if my debt review flag has been removed?

If we assisted with the clearance process we will supply updated credit bureaus reports from all the bureaus. Alternatively request your credit report from all major bureaus (TransUnion, Experian, XDS, and Compuscan). If the flag still appears after submitting your clearance certificate, contact the bureaus or your debt counsellor.

Can I get a home loan after debt review?

Yes, but only after your credit report has been updated. Credit Providers will want proof of stable income, a clean payment record, and no active adverse listings.

What should I do if the debt counsellor refuses to issue my Form 19?

If you’ve met all payment obligations, report them to the National Credit Regulator (NCR). They are legally obligated to issue Form 19 if you qualify.

Will my credit score improve immediately after debt review?

No. The score won’t automatically increase immidiately. You need wait 2 or 3 months and work to rebuild it through responsible credit use, low utilisation, and on-time payments over time.

8.Final Thoughts

Completing the process is a major step toward financial recovery but it’s not the finish line. You need to take the right steps to rebuild your credit score. Track your progress and protect yourself from falling back into debt.

Know your rights. Stick to your repayment habits. Lean on trusted experts like Credit Salvage when you need support.

Let Credit Salvage Help You Rebuild and Restore

We can help you:

Clear your debt counselling status
Get your clearance certificate
Remove incorrect listings
Remove debt review through legal steps (if qualified)
Rebuild your credit profile with confidence

📞 Call us or Apply Online Now: Your financial second chance starts today.