Is free debt review removal possible? And why is it such a contentious topic among credit users and debt professionals alike?
Scammers are increasingly targeting vulnerable individuals with false promises of quick and free debt review removal..
With scams on the rise in South Africa, we believe it’s crucial to set the record straight and help consumers avoid fraudulent schemes.
Debt review, introduced under South Africa’s National Credit Act, was designed to assist over-indebted consumers by restructuring their repayments. However, for many South Africans, particularly women, this well-intentioned process can sometimes become a barrier to financial freedom.
Can you Exit Debt Review Legally and Safely for Free?
Debt review is a legal process regulated by the National Credit Regulator (NCR) to assist consumers struggling with debt. Once under debt review, a flag is added to your credit profile, preventing additional credit until all obligations are met.
To exit debt review legally, you must:
1. Settle Outstanding Debts
Prioritise paying off all debts listed in your debt review plan. Making extra payments can expedite this process.
2. Obtain a Clearance Certificate
Once debts are settled, request a clearance certificate from your registered debt counsellor. This certificate confirms that all listed debts have been settled (Institute of Bankers South Africa).
3. Update Credit Records
Ensure that your debt review status is removed from the NCR’s database and major credit bureaus.
4. Monitor Your Credit Score
After exiting debt review, rebuild your credit profile by maintaining good financial habits, such as timely bill payments and responsible credit use.
A qualified debt counsellor can guide you through this process, helping to structure a repayment plan and addressing any queries regarding your debt status.
The Rise of Free Debt Review Removal Scams
As financial distress rises across South Africa, scammers are increasingly targeting vulnerable individuals with false promises of quick and free debt review removal. These scams exploit financial desperation and often leave victims in an even worse situation.
News24 recently reported on the National Credit Regulator (NCR) warning consumers about unscrupulous debt counsellors who place individuals under debt review without their knowledge or consent.
The reverse scenario—where scammers promise free or instant debt review removal—is equally concerning. Consumers who either willingly or unknowingly entered debt review often fall prey to similar deceptive tactics.
We wrote an article diving deeper into scams and misconceptions with regard to exiting debt review, which you can read here.
Common Free Debt Review Removal Scams to Watch Out For:
Fake Clearance Certificates
Fraudsters claim to issue clearance certificates without settling your debts. These certificates are not recognised by the National Credit Regulator, leaving your debt review status unchanged.
Upfront Fees for No Service
Many scammers demand large upfront payments but never follow through with actual debt review removal.
Promises of Immediate Credit Access
Any company promising instant credit access after removal is likely deceptive. Credit bureaus update records after a formal clearance process, not through shortcuts.
Unregistered ‘Debt Experts’
Scammers posing as financial advisors or legal experts often operate without accreditation from the NCR or other regulatory bodies.
Very prompt and professional – they keep you up to date with what happening with my account and is very helpful with advice
How to Avoid Debt Review Scams
To protect yourself from falling victim to these fraudulent schemes, follow these precautions:
- Verify Credentials – Only use registered debt counsellors and financial professionals accredited by the NCR.
- Check Reviews and Complaints – Look up the company online, read reviews, and check for complaints on consumer protection websites.
- Never Pay Upfront Without a Contract – Legitimate debt review removal services operate transparently and provide formal agreements.
- Contact the NCR for Guidance – If in doubt, consult the National Credit Regulator for verification before proceeding with any service.
Be cautious of fraudulent companies offering “instant” and free debt review removal. Only a registered debt counsellor can issue a valid clearance certificate. Be wary of services demanding high fees without legal backing (Department of Trade, Industry, and Competition).
Breaking Barriers to Financial Independence
Exiting debt review isn’t just a financial milestone, it’s about regaining control over your financial future. Unfortunately, in today’s world, people in financial distress are often targeted by scams, even when their intentions are honourable and they are actively working to repay their debts.
For expert, legally sound advice on debt review removal, consult accredited professionals who understand the process and can safeguard your financial rights. Making the right choices today will lay the foundation for long-term financial security.
If you’re struggling with debt review and debt review removal, contact VHT Attorneys today to discuss your options and move towards financial freedom.
Johardt van Heerden
Attorney
WHO ARE WE AT VHT
VHT Attorneys is a boutique law firm with a large vision. We provide innovative legal solutions with a renowned standard of integrity and confidentiality.
We help our clients:
- Remove Debt Review Status
- Commercial & Corporate Law
- Labour Law
- Dispute Resolution / Litigation
