Debt counselling can be a powerful and life-changing solution for over-indebted consumers when applied correctly — but it’s rarely an easy journey. At the start of the process, consumers are often told that once they complete the programme, no trace of debt counselling will remain on their credit profiles and that their creditworthiness will be restored.

Yet when consumers finally receive their clearance certificates, many are left asking:

“What happens now?”

To unpack the facts, cut through misconceptions, and provide practical guidance, we spoke with Lauren Wepener — an accomplished credit-bureau expert, financial educator, and author. Lauren has spent more than 20 years in South Africa’s credit-information industry, having worked at both Compuscan and Experian, and also presented the NCR Debt Counsellors’ Course in 2009 alongside Craig Sassman.

Lauren is also the author of Money Wise, Family Strong, now available on Takealot:
? https://www.takealot.com/money-wise-family-strong/PLID98504135

This interview was conducted by Eugene from Pay Plan Solutions:
? https://payplansolutions.co.za/

Interview With Lauren Wepener

1. When consumers complete debt counselling and receive their clearance certificates, what should happen on their credit reports in practical terms?

There’s a very common misconception that once a clearance certificate is issued, all accounts vanish entirely from a consumer’s credit profile. That’s not accurate.

Here’s what should happen:

• Fixed-term loan accounts are updated to show they are closed, but they remain on the credit profile.

• Revolving credit accounts (credit and store cards) still appear too, and their current balance may still be visible.

So although the balances, status, and repayment behaviour are corrected, the accounts themselves are not erased.

Lauren adds that removing all accounts completely would create what the industry calls a “thin file” — a credit profile with almost no data. While this may sound clean and positive, it actually makes it harder for credit providers to assess risk, and therefore harder for consumers to access new credit in the short term.

2. After 24–36 months of payments under debt counselling, what repayment history should consumers expect to see once the programme is completed?

Consumers often worry about how their past behaviour will reflect once they exit debt review.

According to Lauren:

• For fixed-term loans, the accounts will show as closed, and
  all negative repayment history (missed or late payments) is removed.

• For revolving credit accounts, the negative history is cleared up to the date the clearance certificate is issued.

This effectively gives consumers a fresh start for all debt that existed before entering debt counselling — a meaningful boost when rebuilding a healthy credit profile.

3. Once the “debt review” flag is removed from a consumer’s credit report, is there any trace left behind? Can credit providers see a history of debt counselling?

Absolutely not.

After the debt review flag is removed, there is no record or trace whatsoever indicating that the consumer was ever under debt review. No credit provider can see that history.

4. Many banks advise consumers to rebuild their credit through:

• Savings

• Low credit-limit usage

• Consistent payment behaviour

• Avoiding arrears

• Stable banking relationships

• Avoiding missed debit orders

• Credit trends over time

Do these same factors apply to consumers recently exiting debt review?

Lauren explains they do — but with a strong warning.

Many consumers rush to take on new credit in the hope of “rebuilding” their score. In reality, this often pulls them straight back into the same debt cycle they just escaped.

She advises:

• Pay on time, every time.

• Keep revolving credit usage extremely low — ideally paying the full instalment monthly.

• Do not take on more credit than you can afford, especially while adjusting to life after debt review.

• Accept that rebuilding takes time.

“You didn’t damage your credit score overnight, and you won’t fix it overnight. And that’s okay. The goal is to afford your life without credit, and to build your credit score slowly for life’s big-ticket items: education, a car, a home, a business.”

5. Can a consumer have a ‘zero’ credit score after debt review?

A zero score only occurs where no credit history exists at all.

Most post–debt review consumers will instead have a lower score that rebuilds steadily as they demonstrate responsible financial behaviour.

6. Do credit scores differ between credit bureaus like Experian and TransUnion?

Yes — and this is one of the biggest misconceptions in South Africa.

Lauren explains:

• There is no single universal score.

• Each credit bureau uses its own scoring models, often with several versions.

• Lenders also apply their own internal scoring frameworks depending on the product.

However, she emphasises an important truth:

“If you stick to the basics — paying on time, keeping balances low, and managing credit responsibly — your score will improve across all bureaus, no matter which model is used.”

Where large score differences appear between platforms, it’s usually due to:

• Missed payments

• High balances

• Inconsistent repayment behaviour

This is where profiles start to diverge across different credit-bureau databases.

Conclusion

Debt counselling offers consumers the chance to regain control — but understanding what happens after the process is just as important. Thanks to Lauren Wepener’s expertise, consumers can navigate life beyond debt review with clarity, realistic expectations, and a stronger foundation for long-term financial wellbeing.

Special thanks to Lauren Wepener for this contribution, and to Eugene from Pay Plan Solutions for conducting the interview.