How Your Marital Status Affects Your Debt Review Application

When you apply for debt review in South Africa, your marital status plays a big role. If you’re married, either in community of property (COP) or out of community of property (ANC), it can change how the process works.

Either way, your spouse will need to be involved either formally or informally.

If you are married in community of property (COP), you and your spouse are seen as one financial team. You share all debts and assets equally. This means both partners must go into debt review at the same time, together. It’s important that both of you meet with the Debt Counsellor, understand the shift to a cash lifestyle, and both sign the documents together.

If you are married out of community of property (ANC), your debts and assets are viewed as separate. Only the person with debt problems needs to apply. However, the Debt Counsellor will still look at your household budget to make sure repayments are realistic. It’s smart for your spouse to stay involved and supportive (and even consider also entering debt review if they have lots of debt in their name too).

If you live together but are not married, your situation is treated very similarly. Your debts stay separate, but household income and expenses are still considered to help create a fair repayment plan.

Before starting debt review, consider your marriage or living arrangements. Debt review will impact on all in your household regardless of marital status, so it is good to make sure all are informed and ready for the change.