Best debt review companies in South Africa

Debt review is set out in the National Credit Act, so every NCR-registered counsellor follows the same steps: an application (with a R50 application fee) that notifies your creditors and the credit bureaus, an assessment, a restructured plan confirmed by a court or, when all your creditors agree, by a Tribunal consent order, one monthly payment, and a clearance certificate at the end.

You can pay your creditors directly or through a payment distribution agent registered with the NCR. The NCR does not make a distribution agent compulsory.

No company can offer a different or faster legal route. What differs is how well a firm handles your file, how clearly it explains fees and how it looks after you once the application is filed. Be cautious of any firm whose promises sound too good.

The table lists, in alphabetical order, the debt counselling firms we have reviewed where the evidence shows the work is done by NCR-registered counsellors. It is not a ranking and it is not a recommendation.

The NCR registers counsellors as individuals, not companies, so each number belongs to a named person who trades under the company or brand name. The numbers above are as shown on each company's own website or on the NCR register when we checked. Registrations can lapse or be cancelled, so check the NCR register yourself, using your own counsellor's name, before you sign. Whichever firm you choose, ask which counsellor will handle your file and get their NCRDC number.

We left out ratings, awards and claims about how many people a firm has helped. Those are the firms' own statements and we cannot check them.

Look for:

• Clear fees: a written breakdown of every fee against the NCR fee guideline, before you sign. See what the fees are.
• Good aftercare: a real person who answers when you have a question months in.
• Honesty about the downsides: the debt review flag while the plan runs, no new credit, and a plan that can take longer than you expect.
• A proper legal process: they explain the process before you sign, give you proof that they received your application, and get a court or Tribunal order where required.
• A clean exit: the Act requires the counsellor to issue your clearance certificate within seven days after you have met all your obligations under the plan.

The firms that do well on these are the ones worth shortlisting, whatever their advertising says.

Walk away from any company that:

• Promises to remove the debt review flag overnight, guarantees a timeline, or advertises percentage savings, written-off debt or "government approved" relief. The NCR warns against all of these.
• Says you can keep taking new credit while under review. You cannot.
• Will not put fees in writing or pushes you to sign immediately.
• Asks for more upfront than the R50 application fee and the R300 administration fee, or asks you to hand over money to pass on to your creditors. The NCR says counsellors may not collect or distribute that money.
• Cannot give you the counsellor's name, place of practice and NCR registration number, or advertises without a registration number.
• Phones you about "consolidation" or "reduced interest" and then sends a link to sign. The NCR says placing consumers under debt review without their knowledge and consent is prohibited.

Be especially wary of debt review removal companies. Read our guide to them before you pay anyone.

Ask each counsellor:

1. Which counsellor will handle my file, and what is their NCR registration number?
2. Can I have a written breakdown of every fee, and a receipt for what I pay upfront?
3. What will I pay before the plan starts, and what comes later?
4. What is the projected term of my plan, and what does it depend on? Please put it in writing.
5. How do I follow my plan and reach you when I need help?
6. How do you handle a creditor that disputes the plan?
7. What happens at the end, and who applies for my clearance certificate?

A good counsellor welcomes these questions. One who dodges them is telling you something.

You can transfer to another NCR-registered counsellor at any stage. You do not have to give a reason, and your current counsellor's consent is not required. The new counsellor may not charge you again for fees you have already paid, but fees for work already done must be settled before the transfer.

Complain about a counsellor to the National Credit Regulator: [email protected] or 0860 627 627. Complaints about a credit provider or a credit bureau listing go to the National Financial Ombud, which took over the Credit Ombud from 1 March 2024. It is free, and you should complain to the credit provider or bureau first.