Can I apply for a house while I am under debt review?

Published by The National Debt Review Center on April 16, 2024April 16, 2024

While you are under debt review, you are generally not allowed to incur any additional debt, which includes applying for a home loan. The primary focus during debt review is to settle your existing debts as per the restructured plan. This process is designed to help you regain financial stability and prevent further indebtedness. It’s always a good idea to consult with a financial advisor or legal expert to understand the implications fully. Once you have completed the debt review process and your financial situation has improved, you can then consider applying for a home loan.

Here are more reasons and information on why you can’t apply for a house while under debt review:

While under debt review, you are legally not allowed to take out any new loans. This includes applying for a home loan. The National Credit Act (NCA) established the debt review process to assist individuals struggling with overwhelming debt. The law is designed to protect you from further financial distress and to help you manage your existing debts effectively.
The purpose of debt review is to help you manage your debt and debt repayments until you are debt-free. By adding new expenses to your monthly bills, such as a home loan, you are slowing down this process and likely making it harder to remove debt.
Being under debt review can have a significant impact on your credit score. Lenders, including those offering home loans, often consider your credit score when deciding whether to approve your loan application. A low credit score can make it difficult to secure a loan.
If you were to take on a home loan while under debt review and then struggle to meet the repayments, you could risk having the house repossessed.
The primary focus during debt review is to settle your existing debts as per the restructured plan. Taking on additional debt could detract from this focus and potentially prolong the debt review process.

Remember, the goal of debt review is to help you regain financial stability. Once you’ve completed the process and improved your financial situation, you can then consider applying for a home loan.

Got More Questions? We have gathered the most frequently asked questions about exiting debt review here.

Table of Contents

Book your Free Consultation with The National Debt Review Center

USE THE BELOW DEBT REVIEW REMOVAL FORM TO APPLY FOR YOUR DEBT REVIEW REMOVAL ONLINE

Debt Review Removal Application Form – I want to Exit Debt Review (1)

To terminate the debt review process and to have the debt review notice removed from your credit reports requires that a court application be made for the court to find that you are not over-indebted, even if there is no court order in place for your debt review. Should you wish to terminate the debt review process, please complete the form below and attach all required documents, to allow us to do an assessment of your probable case. We shall then advise further.

Step 1 of 5

APPLICATION TO BE CONFIRMED NOT OVER-INDEBTED AND TO REJECT A DEBT RE-ARRANGEMENT RECOMMENDATION/ORDER
Applicant details: If you are married in community of property, both spouses must apply jointly.
Main (1st) Applicant
Title*
Initials*
Identity Number*
Full Names & Surname*
Gender*
Ethnic Group*
Marital Status*
Mobile Number*
Email Address*
Address*
Province*
Postal Code*
Owner/Tenant:*
Period at Address:*
Number of dependents
Age of dependants
Separate by commas
Next of Kin Full Names*
Next of Kin Email Address*
Next of Kin Contact Number*
2nd Applicant (SPOUSE)
Title*
Initials*
Identity Number*
Full Names & Surname*
Gender*
Ethnic Group*
Marital Status*
Mobile Number*
Email Address*
Address*
Province*
Postal Code*

DEBT OBLIGATIONS
Creditors Name
Creditors Name
Who is/was your debt counsellor?*
If you were married at the time you went under debt review and the debt review application was a combined application in the name of both parties (husband and wife) made?**
Why do you want your name to be removed from Debt Review.*
Kindly Provide a Detailed Motivation for the Magistrate on why should your name be Removed from Debt Review.
The approximate date you were placed under debt review*
MM slash DD slash YYYY
Is your debt review subject to a court order?*
Approximately when last did you make payments to the Payment Distribution Agency/Debt Counselor?*
MM slash DD slash YYYY
Have you received any cancellation documentation from your debt counselor?*
Your income at the time you were placed under debt review was approximately?*
Have you settled any accounts that were placed under debt review?*
If Yes. Please remember to upload paid-up letters.
For your outstanding accounts, can you afford the original installments that were due to each account before you went under debt review?*
Are you already making payments directly to your creditors?*
Are you aware of the fact that you will no longer have protection in terms of the National Credit Act and that the creditors may proceed to enforce a credit agreement if you do not have payment arrangements with regards to any outstanding amounts?*
Upload ID Copy*
Drop files here or

Max. file size: 3 GB.
Upload Recent Payslip*
Drop files here or

Max. file size: 3 GB.
Upload Proof of Address*
Drop files here or

Max. file size: 3 GB.
Not older than 3 months. Utility bill, e.g. municipal water and lights account or property managing agent statement, Medical aid statement or policy document, etc
Upload Paid up Letters
Drop files here or

Max. file size: 3 GB.
Upload 17.W (Debt Review Cancellation Letter From your Previous Debt Counsellor)
Drop files here or

Max. file size: 3 GB.
Upload Marriage Certificate
Drop files here or

Max. file size: 3 GB.

NOTE: The fee is R8550.00 vat exclusive
This is due on your pay-day or as agreed, it can be arranged and payable over 6 months. There are no upfront fees and the initial assessment is FREE!
Thank you for trusting The National Debt Review Center to help you take back control of your finances.

As discussed, we can remove your debt review listing and the fees involve will be R8550,00
To lighten the blow on your budget you can make the payment in monthly instalments of:*
- R8 550,00 once off (vat exclusive)
- R4 275.00 over 2 months (vat exclusive)
- R2 850,00 over 3 months (vat exclusive)
- R2 137.50 over 4 months (vat exclusive)
- R1 710.00 over 5 months (vat exclusive)
- R1425 over 6 months (vat exclusive)
Your Invoice for the selected payment plan will be generated once we have received your application and assessed that you qualify for debt review removal. Also note that should you select a lower than R4 275.00 payment option, your application will only be sent for legal preparation once we have confirmed 50% of your payment towards the full fee. (This further means that your application will fall out of the 3-6 months period).
I will make payment to The National Debt Review Center as indicated above.
Declaration*
I agree to the following terms and conditions.
I confirm that the information contained in this document is to the best of my knowledge true and correct and further I undertake to comply with all requests from The National Debt Review Center to assist him/her to evaluate my state of indebtedness and to investigate the prospects for responsible debt restructuring. I consent to The National Debt Review Center to obtain my credit record from any/all registered credit bureaus and any other registers which may contain any of my credit information.

I/We the Consumer(s) authorise The National Debt Review Center and it’s staff and/or agents to
process, store and keep my/our personal information that has bearing to my/our debt review removal application and whilst I/we do explicitly give my/our consent to do so, I/we understand and accept that The National Debt Review Center is obliged to act within the parameters
of the Protection of Personal information Act (“POPI”).
Signed at:*
Date*
MM slash DD slash YYYY
Signature*
Name
This field is for validation purposes and should be left unchanged.

How Long After Debt Review Can I Buy A House

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The National Debt Review Center

Can I apply for a house while I am under debt review?

Book your Free Consultation with The National Debt Review Center

USE THE BELOW DEBT REVIEW REMOVAL FORM TO APPLY FOR YOUR DEBT REVIEW REMOVAL ONLINE

Debt Review Removal Application Form – I want to Exit Debt Review (1)

Step 1 of 5

APPLICATION TO BE CONFIRMED NOT OVER-INDEBTED AND TO REJECT A DEBT RE-ARRANGEMENT RECOMMENDATION/ORDER

Applicant details: If you are married in community of property, both spouses must apply jointly.

Main (1st) Applicant

2nd Applicant (SPOUSE)

EMPLOYMENT DETAILS

Main (1st) Applicant

2nd Applicant (SPOUSE)

HOUSEHOLD LIVING EXPENSES

DEBT OBLIGATIONS

NOTE: The fee is R8550.00 vat exclusive

The National Debt Review Center

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What happens to a co-signer when debt review is removed?

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Can I apply for a house while I am under debt review?

Book your Free Consultation with The National Debt Review Center

USE THE BELOW DEBT REVIEW REMOVAL FORM TO APPLY FOR YOUR DEBT REVIEW REMOVAL ONLINE

Debt Review Removal Application Form – I want to Exit Debt Review (1)

Step 1 of 5

APPLICATION TO BE CONFIRMED NOT OVER-INDEBTED AND TO REJECT A DEBT RE-ARRANGEMENT RECOMMENDATION/ORDER

Applicant details: If you are married in community of property, both spouses must apply jointly.

Main (1st) Applicant

2nd Applicant (SPOUSE)

EMPLOYMENT DETAILS

Main (1st) Applicant

2nd Applicant (SPOUSE)

HOUSEHOLD LIVING EXPENSES

DEBT OBLIGATIONS

NOTE: The fee is R8550.00 vat exclusive

The National Debt Review Center

0 Comments

Leave a Reply Cancel reply

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