How much does debt review cost in South Africa?

Debt review fees are regulated by the National Credit Regulator (NCR) under Table B of the NCA Regulations made under the National Credit Act 34 of 2005. For a full overview of debt review and how it works, see what is debt review. No debt counsellor may charge more than the prescribed maximums. Removing the debt review flag from your credit record after completion is free — it happens automatically when a clearance certificate is issued under section 71(1) of the NCA.

The Regulated Fee Structure Under NCA Regulations Table B

Application Fee — R50

A once-off application fee of R50 (inclusive of VAT) is payable when you submit your application to the debt counsellor. This fee covers the administrative costs of processing your Form 16 application. Some debt counsellors waive this fee, but none may charge more than R50.

Restructuring Fee (Legal Fee) — Maximum R6,450

The restructuring fee covers the work involved in preparing the repayment proposal, negotiating with creditors, and obtaining the court or consent order under section 87 of the NCA. The current regulated maximum is R6,450 for consumers with a mortgage bond included in their debt review, and R3,450 where there is no mortgage bond. This is a once-off fee, typically paid from your first few monthly PDA (Payment Distribution Agent) payments.

After-Care Monthly Fee — Maximum 5% of Instalment or R450

Once the court order is in place, your debt counsellor receives a monthly after-care fee for administering your account, communicating with creditors, and monitoring your compliance. The regulated maximum is the lesser of 5% of your monthly restructured instalment amount or R450 per month (inclusive of VAT). On a R4,000 monthly instalment, for example, the after-care fee would be R200, not R450.

PDA (Payment Distribution Agent) Fee

In addition to the debt counsellor's fees, a PDA charges a fee for distributing your monthly payment to your creditors. This fee is typically between 3% and 5% of each payment distributed, and is also regulated by the NCR. The PDA fee is included in your restructured monthly payment — you do not pay it separately.

Attorney Fee for Consent Order

If an attorney is used to obtain the consent order or Magistrate's Court order under section 87, a once-off attorney fee applies. This is also regulated and may not exceed R750 for consent orders obtained through the National Consumer Tribunal, or market-related Magistrate's Court tariffs where litigation is required.

Cost to Remove Debt Review from Your Credit Record

Removing the debt review flag from your credit record costs nothing. Once you have settled all your debts, your debt counsellor issues a clearance certificate under section 71(1) of the NCA at no charge and sends it to the credit bureaus. The bureaus remove the flag as a statutory obligation. You can also check your credit record for free once a year from each bureau under section 72(1) of the NCA.

What About "Expedited Removal" Services?

Numerous companies charge between R2,000 and R5,000 for services marketed as "debt review removal," "credit record clearing," or "expedited clearance." These services are not recognised in the NCA. There is no mechanism under South African law to expedite or fast-track the removal of a legitimate debt review flag other than the statutory process described above. Any company offering this for a fee is providing no legal value and, in many cases, is operating fraudulently.

If you encounter such a company, report them to:

NCR: 0860 627 627 or [email protected]
National Consumer Commission: 012 428 7000

What Happens If a Debt Counsellor Overcharges?

Charging above the regulated fee schedule is a contravention of the NCA. You can lodge a complaint with the NCR, which has the power to investigate debt counsellors and impose sanctions. In serious cases, the NCR can revoke a debt counsellor's registration. Keep a record of all invoices and payments made to your debt counsellor and PDA.

Total Cost Over the Duration of Debt Review

To illustrate the full cost exposure: on a 48-month debt review with a R4,000 monthly instalment and a mortgage bond included —

Application fee: R50
Restructuring fee: R6,450
After-care fees: R200/month x 48 months = R9,600
PDA fees (approx. 4% of R4,000 x 48 months): R7,680
Approximate total fees: R23,780 over 4 years

This is in addition to your actual debt repayments. Debt review is not free, but the fee structure is regulated to prevent exploitation of financially vulnerable consumers.

Key Legislation

National Credit Act 34 of 2005, section 71(1) — Clearance certificate issued at no charge to consumer
National Credit Act 34 of 2005, section 72(1) — Free annual credit report entitlement
NCA Regulations, Table B — Regulated maximum fees for debt counsellors and PDAs

Common Mistakes

Paying upfront lump-sum fees in cash before any work is done — regulated fees are paid progressively through your PDA distributions
Paying a separate company to "remove" your debt review status when clearance is free under the NCA
Not requesting an itemised fee breakdown from your debt counsellor — you are entitled to see exactly what you are paying and why
Confusing PDA fees with debt counsellor fees — they are separate regulated charges paid to separate entities

For more on this topic, see what debt review is.

For more on this topic, see how to exit debt review.

For more on this topic, see how long debt review lasts.

When to Consult an Attorney

Consult an attorney if your debt counsellor is charging fees above Table B maximums, if you have paid a removal company and received no result and want to recover your money, or if your debt counsellor is withholding your clearance certificate until you pay an additional uncharged fee (this is unlawful under the NCA).

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Disclaimer: This answer is for informational purposes only and does not constitute legal advice. Always consult a qualified attorney for advice specific to your situation. About the Author: This answer was prepared by the Justibly Legal Research Team, reviewed for accuracy by practising attorneys admitted to the High Court of South Africa. Verify attorney credentials on the LPC register.

Last updated: April 2026