Compare debt consolidation loans in South Africa
A debt consolidation loan combines several debts into one monthly repayment. It can make your finances simpler to manage — but it’s still a loan, and over a longer term it can cost more overall. Compare NCR-registered lenders here, and check whether it actually saves you money before you commit.
Is consolidation right for you?
Consolidation only helps if the new loan works out cheaper, or genuinely more manageable, than what you pay now.
- The new loan’s rate is lower than the average across your current debts.
- You can commit to the monthly repayment for the full term.
- One payment instead of several will help you stay on track.
- –A longer term means you pay more interest overall, even if the monthly amount drops.
- –You already can’t afford your current repayments — debt review (below) may protect you better than more credit.
Payout timing varies by lender. Each lender’s review lists its pattern — we only state a time a partner confirms.
Compare consolidation loan lenders
A consolidation loan is an unsecured personal loan you use to pay off other debts, so the same NCR-registered lenders apply. Tap a lender for its advertised rate, term, and fees — checked July 2026.
Figures are each lender’s own advertised terms (checked July 2026), not an independent market rate or a personalised quote. “Advertised rate’ is the lender’s stated maximum or range; where a lender doesn’t publish a figure it shows “not published.” The National Credit Act caps unsecured interest at the repo rate + 21% (28,00% at the current 7,00% repo). Your actual rate depends on affordability and lender checks. Short-term lenders aren’t shown here — you don’t consolidate into a short-term loan.
One free form shows what you may qualify for across NCR-registered lenders. No upfront fees, no obligation — and it’s worth checking the total cost before you decide.
How comparing on BetterLoans works
Three steps. One form. No commitment.
Enter the loan amount you need and some basic details. One form — that’s it. No commitment, no impact on your credit score.
We match you with NCR-registered lenders. You’ll see repayments and total costs — not generic advertised rates.
Pick the offer that fits your budget and apply directly with the lender. Payout timing is shown per lender.
What a consolidation loan actually does
A consolidation loan doesn’t erase your debt — it restructures it. You take one new loan, use it to pay off several existing debts, and then you’re left with a single monthly repayment to one lender instead of several. The aim is a lower combined interest rate, a fixed repayment you can plan around, and one date to remember instead of five.
Because it’s one new unsecured loan, the same rules apply as any personal loan: the lender runs an affordability check, your rate depends on your credit profile, and the loan carries an initiation fee and monthly service fee capped by the NCA. See the personal loans page for the caps in full.
The trade-off to watch
The catch is the term. A longer repayment term lowers your monthly instalment, which feels like relief — but it can mean paying more interest in total than if you’d kept your original debts. A lower monthly payment is not the same as a cheaper loan.
Before you consolidate, add up what you’re paying now — the balances, rates, and monthly amounts — and compare the total cost of the consolidation loan against the total cost of leaving things as they are. If the new loan costs more over its life, consolidating for a smaller monthly payment may not be the win it looks like.
When debt review may suit you better than a new loan
If you’re already behind on repayments, or a consolidation loan would still leave you unable to cope, taking on more credit may not be the answer. Debt review (also called debt counselling) is a formal process under the National Credit Act: a registered debt counsellor negotiates lower repayments with your creditors and restructures what you owe into one affordable plan — without a new loan.
One important point: once you’re under debt review, you can’t take out new credit — including a consolidation loan — until the process is complete. So it’s worth deciding which route fits before you apply for either. If you think debt review may suit you, our debt-review guidance explains how it works.
Debt consolidation FAQ
Can I get a consolidation loan with a poor credit record?+
It’s possible, but harder — lenders weigh your credit record when they assess affordability, and a poor record can mean a higher rate or a decline. No legitimate lender can guarantee approval regardless of your credit status. If you’re over-indebted, debt review may be a safer route than more credit.
Will a consolidation loan hurt my credit score?+
Applying involves a credit check, which can dip your score briefly. Over time, making the new repayment on time can help your record — the risk is running the old accounts back up after you’ve cleared them, which leaves you worse off than before.
Can I consolidate my debt if I’m under debt review?+
No. Once you’re under debt review you can’t take on new credit, including a consolidation loan, until the process is finished. You’d need to complete or exit debt review first.
Can I pay off a consolidation loan early?+
Yes — under the National Credit Act you can settle any loan early. For most consolidation loans there is no early-settlement penalty; a limited charge can only apply to large agreements of R250 000 or more. Settling early saves future interest — see how early loan settlement works.
Does consolidation reduce how much I owe?+
No. It restructures your debt into one loan — it doesn’t cancel any of it. It can lower your interest rate or monthly payment, but you still repay the full amount you borrowed, plus interest and fees.
Is BetterLoans a lender?+
No — BetterLoans is a comparison and introducer service, not a lender. We help you compare NCR-registered lending partners; you apply directly with the lender you choose, and approval depends on their own affordability and credit checks.
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Disclosure: BetterLoans is free to use. When you complete an application through us, a lending partner pays us a commission for introducing you — you never pay us, and it never changes the rates you’re offered or the information we publish.