Short answer:
No — you cannot legally get a loan while under Debt Review. Credit providers are not allowed to approve new credit during this process, as it would be considered reckless lending.
Why You Can’t Take Out a Loan
Debt Review is a legal process introduced under the National Credit Act (NCA) to help over-indebted consumers repay their debts responsibly.
Taking out new credit while under Debt Review:
- Is against the law
- Defeats the purpose of becoming debt-free
- Puts your repayment plan and financial recovery at risk
As a result, banks and registered lenders will decline any loan applications while you are under Debt Review.
(See also: Can I apply for more credit or use my credit cards while I am under Debt Review?)
Are There Any Exceptions?
Some people may try to bypass the system by:
- Cancelling their Debt Review
- Borrowing from unregistered lenders or loan sharks
These options are high risk and strongly discouraged. Cancelling Debt Review can remove your legal protection, and informal lenders often charge extremely high interest rates.
Always speak to your debt counsellor before making any financial decisions.
What Is the Purpose of Debt Review?
Debt Review is designed to help you:
- Reduce your monthly debt repayments
- Cover essential living expenses
- Avoid legal action and asset repossession
- Work towards becoming debt-free
It is a structured financial rehabilitation process, not a temporary workaround.
When Can I Apply for Credit Again?
You can only apply for new credit once you have successfully completed the Debt Review process:
- All your debts are settled
- You receive a Debt Review Clearance Certificate (Form 19)
- Credit bureaus remove the “under debt review” flag (within ~21 business days)
(Learn more: How Will Debt Review Affect Your Credit Record?)
Final Thoughts
While it may feel restrictive, not being able to access credit is a key part of your financial recovery. Debt Review helps you break the cycle of debt and rebuild a stronger financial future.
