Completing debt review is a major achievement. You've paid off all your debts, earned your clearance certificate, and are now officially debt-free. But what comes next? This guide covers everything you need to know about life after debt review — from your clearance certificate to rebuilding your credit and staying financially healthy.
Your Clearance Certificate (Form 19)
When you complete debt review — meaning all your debts have been paid in full — your debt counsellor issues a clearance certificate (Form 19). This is the official document that confirms:
- All debts included in the debt review have been settled
- You are no longer under debt review
- The debt review flag must be removed from your credit profile
Your debt counsellor sends the clearance certificate to all the credit bureaus (TransUnion, Experian, XDS, Compuscan). The bureaus are then required to remove the debt review flag from your credit profile within 20 business days.
What Changes Immediately
You can apply for credit again — loans, credit cards, store accounts, and vehicle finance.
The flag is removed from your credit profile at all bureaus, signalling to lenders that you are no longer under review.
No more monthly debt review payments. The money that was going to creditors is now yours.
You start fresh with zero debt and the knowledge and budgeting skills to stay that way.
Rebuilding Your Credit Score
After debt review, your credit score will not be perfect — but it will improve rapidly with the right behaviour. Here is a practical plan to rebuild your credit:
Within 30 days of receiving your clearance certificate, request a free credit report from all four bureaus (TransUnion, Experian, XDS, Compuscan). Verify that the debt review flag has been removed and all debts show as settled. Report any errors immediately.
Apply for a small, manageable credit product — such as a store account with a low limit or a secured credit card. Use it for small, regular purchases (like groceries) and pay the full balance every month. This builds a positive payment history.
Your payment history is the single biggest factor in your credit score. Set up debit orders for all accounts and never miss a payment. Even one late payment can set you back months.
Credit utilisation (how much of your available credit you are using) affects your score. Try to keep your credit utilisation below 30%. If you have a R5,000 limit, keep the balance below R1,500.
Every credit application creates a hard inquiry on your report, which temporarily lowers your score. Space out applications and only apply for credit you genuinely need.
Credit rebuilding takes time. Most people see meaningful improvement within 6 to 12 months. A good credit score can be achieved within 1 to 2 years of consistent positive behaviour.
Staying Debt-Free: The 50/30/20 Rule
One of the most effective budgeting frameworks to prevent falling back into debt is the 50/30/20 rule:
Rent/bond, food, transport, utilities, insurance, medical
Entertainment, eating out, hobbies, clothing, subscriptions
Emergency fund, retirement, investments, any remaining debt
Building an Emergency Fund
The number one reason people fall back into debt is unexpected expenses — car repairs, medical bills, home maintenance. An emergency fund is your first line of defence.
- Start small: Even R500 a month adds up to R6,000 in a year
- Goal: 3 to 6 months of essential expenses
- Keep it accessible: Use a savings account or money market fund — not a fixed deposit
- Only use it for true emergencies: Job loss, medical emergency, essential car or home repairs
Avoiding the Debt Trap Again
Now that you have completed debt review, you have a unique advantage: you understand what unmanageable debt feels like, and you have the tools to prevent it.
- Live below your means: Just because you can afford something does not mean you should buy it on credit
- Avoid retail credit traps: Store accounts and "buy now, pay later" schemes are designed to encourage overspending
- Save before you spend: If you want something, save for it instead of financing it
- Review your budget monthly: Track your spending and adjust as needed
- Build wealth, not debt: Invest in retirement annuities, tax-free savings accounts, and other wealth-building products
You Did It — Be Proud
Completing debt review is not easy. It takes discipline, sacrifice, and commitment over several years. But you did it — you took control of your finances, faced your debt head-on, and came out the other side debt-free.
The financial habits you built during debt review — budgeting, living within your means, prioritising payments — are the same habits that will keep you financially healthy for the rest of your life.
Frequently Asked Questions
How long does it take for my credit score to recover?
Your credit score will begin to improve as soon as the debt review flag is removed and the clearance certificate is issued. Most people see significant improvement within 6 to 12 months of building positive credit behaviour. Full recovery to a good score typically takes 1 to 2 years.
Will I be able to get a home loan after debt review?
Yes, but not immediately. Lenders will want to see at least 6 to 12 months of positive credit behaviour after your clearance certificate. Some lenders specialise in post-debt-review clients. Start with smaller credit products and build up your credit profile gradually.
Can I ever go back into debt review?
Technically yes, but the goal is to avoid needing it again. After debt review, you will have the financial literacy and budgeting skills to manage your money better. If you follow the principles of living within your means and building an emergency fund, you should not need debt review again.
What if a creditor still shows me as under debt review after clearance?
This can happen but is easily fixed. Contact your debt counsellor — they will send the clearance certificate to the credit bureaus and the relevant creditors. If the flag is not removed within 20 business days, you can escalate the matter to the National Credit Regulator.
