14 Jul Under Debt Review and Need a Loan Urgently? What to Do (2026 Guide)

Updated 7 July 2026 · Reviewed by Rynier Bernardo, NCR-registered debt counsellor

The short answer: no — you cannot legally take out a new loan while under debt review. Section 88(1) of the National Credit Act (NCA) prohibits anyone under debt review from entering into a new credit agreement until they receive their clearance certificate. Any lender offering you a loan while your profile is flagged is lending recklessly, which is illegal — and accepting it can derail your entire debt review. The good news: you still have legal options when money runs out. Here they are.

Why you cannot take a loan under debt review

The NCA says: “A consumer who has filed an application in terms of section 86(1) [the debt review application/Form 16], or who has alleged in court that the consumer is over-indebted, must not incur any further charges under a credit facility or enter into any further credit agreement.”

You only regain access to credit once you complete debt review and receive your clearance certificate, your application is rejected, or a court declares you no longer over-indebted. While under review, your profile is flagged at every credit bureau. A registered lender who ignores that flag commits reckless lending — and an unregistered “lender” who targets people under debt review is usually running a scam. Never pay an upfront “admin fee” to secure a loan; that is the most common scam aimed at consumers under debt review.

7 legal ways to get through a cash crunch under debt review

1. Ask your debt counsellor to renegotiate your repayments

This is the option most people overlook, and it is usually the best one. Don’t approach creditors directly — your debt counsellor can renegotiate lower monthly repayments on your behalf to free up breathing room in your budget. Note that this can extend the length of your debt review, so weigh it carefully.

2. Ask your employer for a salary advance

An advance on salary you have already earned is not a credit agreement under the NCA, so it does not violate your debt review. Many employers will advance part of your wages in an emergency. Avoid third-party “payday advance” apps that charge fees or interest — those can amount to credit.

3. Sell items you no longer need

Facebook Marketplace, Gumtree and Yaga make it easy to turn unused electronics, furniture and clothing into cash within days. Selling your own goods is completely legal under debt review.

4. Flip or upcycle for profit

If you can fix cars, phones or laptops, buy broken items cheaply, repair them, and sell at second-hand prices. Good with sewing? Upcycle thrifted clothes and sell them online. Electronics and clothing sell best.

5. Start a side hustle

Teach English or another subject online (iTalki, Preply, Cambly), apply for junior social media or copywriting roles on LinkedIn and Indeed, pick up bar or restaurant shifts, or offer babysitting and tutoring. Extra income is always allowed under debt review — and it can even help you finish sooner.

6. Get free financial planning from your debt counsellor

You already pay your debt counsellor a monthly aftercare fee — use it. Ask them to review your budget and help you plan for emergencies. That is part of what they are there for.

7. If your counsellor won’t help, switch debt counsellors

If your current debt counsellor hasn’t given you enough financial breathing room, you are allowed to switch. True North Debt can handle the paperwork and renegotiate your repayments on your behalf, so you don’t feel forced toward an illegal loan. Contact us today or call 021 753 5411.

What about pawning your car or other assets?

Approach pawn loans with extreme caution. A pawn transaction is a credit agreement, so taking one out under debt review could be treated as new credit — which is illegal and can jeopardise your court order. Your car must be paid off to pawn it, it will not be protected from repossession if you can’t repay, and the Magistrate’s Court may take a dim view of it. Always speak to your debt counsellor before considering this route. Selling an asset outright is the safer, legal alternative.

Frequently asked questions

Can I get a loan while under debt review?

No. Section 88(1) of the National Credit Act prohibits new credit agreements until you receive your clearance certificate. Any registered lender will decline your application, because your profile is flagged at the credit bureaus.

What happens if a lender gives me a loan anyway?

That is reckless lending, which is illegal. The agreement can be declared reckless credit by a court, and you can report the lender to the National Credit Regulator (NCR) on 0860 627 627. It can also put your debt review — and the legal protection it gives you — at risk.

Can I use a mashonisa or payday lender instead?

Don’t. Informal lenders charge crippling interest, often act illegally, and repaying them will squeeze the budget your debt counsellor negotiated to protect you. If you are struggling to cover essentials, speak to your debt counsellor about restructuring instead.

When can I borrow money again?

Once you finish debt review and receive your clearance certificate, the debt review flag is removed from your credit profile and you can apply for credit again. Read more in our guide: After debt review: when can you borrow again?

Is there government help instead of a loan?

There is no government cash loan for people under debt review, but there are legitimate relief measures and grants for qualifying households. See our guide to government assistance for debt relief.

How do I check my debt review status?

Pull a free credit report from a bureau like TransUnion or Experian, or ask your debt counsellor. Our guide to debt review status codes A to D4 explains what each flag means.

Let True North Debt help

If money is so tight under debt review that you are tempted by an illegal loan, that is a sign your repayment plan needs attention. We can renegotiate your repayments — or help you switch counsellors — so your budget actually works. Get in touch, call 021 753 5411, or WhatsApp us via the button on this page.