What is a Debt Review Flag?

If you're under debt review, your credit report will show a temporary debt review listing, which is also known as a debt review flag.

This temporary listing, signals that you are busy with repaying your debts via debt review, and that your credit providers have agreed to grant you lower interest rates and better repayment terms to help you become debt free.

It Temporarily Appears On Your Credit Report

This flag or listing about your debt review is added to your credit report only after an NCR registered Debt Counsellor assesses your finances and confirms that you do officially qualify for debt review and all its benefits.

If you decide to begin debt review and officially sign up, only then does the Debt Counsellor notify your credit providers, the National Credit Regulator (NCR), and the credit bureaus, who update your credit report with this temporary listing.

The debt review flag is a temporary listing and will be removed once you complete the debt review process.

How the Debt Review Flag Protects You

Many people in financial trouble try to borrow more, instead of finding real solutions. Taking on more debt when you already have too much only makes things much worse!

The debt review flag on your credit report stops credit providers from giving you new debt, while you’re working to pay off what you already owe. It is a protection, and removes any temptation to get deeper into debt.

Did you Know: If a credit provider ignores the flag and lends you money, they can be fined up to R1 million for reckless lending.

Before giving you credit, all credit providers must check your credit report to see if you can afford new debt. If you can’t really afford more debt, but the credit provider grants you more credit, they can be fined R1 million.

If you’re already in debt review, they’ll see the flag and know you’re focused on repaying your existing debts. This keeps them from making a bad loan, and protects you from falling deeper into debt.

The Flag is Removed When You’re Debt Free

The debt review flag is removed when you complete debt review.

Once you have finished your debt review and paid off all your debts (except for home loans), your Debt Counsellor will issue an official clearance certificate.

Like when you began debt review, they will inform your credit providers, the NCR, and the credit bureaus once more. They will provide the credit bureaus with special letters and important information to prove that your debts are all gone. They then tell the credit bureaus to remove the temporary listing.

Within a few days the debt review flag will disappear from your credit report, as if it were never there.

Watch Out for Scammers

Scammers often target people in debt review, offering to remove the debt review flag for a fee. They tell you this will enable you to go get more credit. They don’t warn you of the dangers, and how you will lose all your debt review progress made so far.

Scammers often send messages, emails, or post social media ads promising quick fixes. Some claim to have "inside connections" or a "special legal process" to remove the flag. But the truth is, the only way to remove the flag is to pay off all your debts.

If you fall for these scams, you could lose your money, miss your debt repayments, and lose the special benefits of debt review. Worse, your credit providers could take legal action, adding extra fees and charges to what you owe.

Instead of looking for a way out of debt review with all its amazing benefits, stick to your repayment plan. When you are debt free, the debt review flag will be removed.