How Soon Can I Get a Loan After Debt Review?

When you have put in the work and achieved debt clearance through debt review, you are given a fresh financial start. Gone are the days of counting pennies to pay back lenders and afford your expenses. Debt problems can feel like a distant memory; however, it is in your hands to stay on track financially. Of course, credit can be useful when properly managed. So, here we answer your question, “How soon can I get a loan after debt review?”

The Process After Debt Review

Once you’ve completed the debt review process, your debt counsellor should issue you with a Clearance Certificate (Form 19). This confirms you have settled all payments under the agreement and are no longer under the programme. Credit bureaus also receive the certificate and must then remove the debt review flag from your credit report. This can take up to 21 working days, and our easy guide to debt review status codes explains what to look for.

Technically, nothing is stopping you from applying for credit once the flag is removed. However, experience and insight have shown this is not the best move. Lenders care about more than red flags – they also look for signs of good credit behaviours in recent months. Wait 3 months for your credit score to improve before applying for loans. Then, start small so that you can maintain repayments without difficulty, steadily rebuilding your credit score.

An Improved Financial Future

If you are asking, “How soon can I get a loan after debt review?” Think of the timeframe after debt review and before taking on new credit as a breather. Life under debt review in South Africa can be an adjustment. Before starting the journey to recover financial freedom, you experienced overwhelming debt. This is your opportunity to take considered steps towards a better future.

Debt counselling provides hope for those in need and has made a positive impact on the lives of over-indebted consumers. At Debtco Group, our debt counsellors are all registered with the National Credit Regulator (NCR). We provide you with guidance throughout the process and care about how you cope once you have finished. This is why we suggest waiting a while before taking on new credit.

Ready to conquer your debt problems? Our team of professionals are here to help you succeed. Stop struggling financially and pave the way to a financial future that benefits you and your family.