Frequently Asked Questions

No, Credit Rehabilitation is not the same as Credit Repair. These two terms are distinct processes that address different levels of financial distress and operate under different legal frameworks. Credit Rehabilitation is a formal, court-mandated process, which occurs after Sequestration (insolvency) and legally clears a person's name, frees them from prior debts, and restores their creditworthiness. Credit Repair is a broader term for improving a Credit Report by identifying and disputing errors, managing debt, and adopting better financial habits to boost a Credit Score.

No, Credit Rehabilitation does not apply to the Debt Review process. Credit Rehabilitation is a separate process that typically follows Sequestration - which is a different debt solution in law. Sequestration is a voluntary process that write off a large portion of your existing debt, usually due to being insolvent. On completing Sequestration, you apply for Credit Rehabilitation through the courts which removes the Sequestration flag on your credit report and restores your credit worthiness. Debt Review is a voluntary process to manage existing debts and improve one's ability to pay them off. Upon completing Debt Review, you receive a Clearance Certificate, which effectively clears the Debt Review flag from your Credit Report, allowing you to re-enter the credit market.

You can achieve credit worthiness after Sequestration through court-approved Credit Rehabilitation, which is typically possible 36-48 months after the Sequestration order is granted. There is a cost involved with early rehabilitation as it requires the appointment of an attorney to go to court to rescind the Sequestration Order. Alternatively, if you do not make use of early rehabilitation then automatic credit rehabilitation will occur after 10 years. Once your Sequestration is removed by court order or the 10-year period passes, you can apply for credit and begin rebuilding your credit profile by making timely payments and accessing credit responsibly.