
If you’ve got under R50,000 worth of debt (as an example), one of your options for reducing your payments is to apply for a debt administration order from a Magistrates’ Court.
Under debt administration, a debt administrator manages your finances and pays your credit providers from your salary. Your credit providers may only receive a payment every 3 months, but you still need to pay according to the court order, which may be every month or every week.
Not to be confused with debt review, debt administration is a different form of debt relief:
Debt administration | Debt review |
---|---|
The maximum total amount of debt allowed is R50,000 | There is no maximum amount of debt allowed |
The debt administrator pays your creditors from your salary | You are responsible for making your monthly payments to the payment distribution agency |
You apply for a debt administration order yourself – you can do this with the assistance of an attorney | You need a debt counsellor to declare you over-indebted in order to apply for debt review |
You can’t apply for more credit while under debt administration | You can’t apply for more credit while under debt review |
A debt administrator can charge an administration fee up to 12.5% of the money received from you. | The fees for debt review include an application fee, administration fee, restructuring fee, National Consumer Tribunal submission fee and attorney fee, and monthly after care fees |
Debt administrators don’t need to be registered | Debt counsellors need to be registered with the National Credit Regulator |
A debt administration order shows on your credit record for 5 years or until removed by the court | When all your debt is paid then your debt counsellor will issue a clearance certificate and the debt review will be removed from your credit record |
Learn more

Find out more about debt review, how to apply and how the process works.

One of your other options if you’re struggling with debt is voluntary surrender.

Get some helpful tips for how to manage your debt.