Who Holds Your Money Under Debt Review?

Your debt counsellor is not the organisation responsible for distributing your monthly debt review payment. That job belongs to a Payment Distribution Agency (PDA), and knowing which one handles your money, how to get your statement, and how to check that your creditors are being paid is one of the most important things you can do while under debt review.

If you have been paying every month but your credit card balance is not falling, a creditor says your account is in arrears, or you simply do not know where your money goes after you pay it, start here.

Who Actually Holds Your Money Under Debt Review?

When you enter debt review, you normally make one monthly payment instead of paying each creditor separately. That payment is processed through a Payment Distribution Agency, which allocates the money according to your debt rearrangement plan.

There are three distinct roles:

• Your debt counsellor assesses your financial situation, negotiates with your creditors, manages your debt review and administers your case.
• The Payment Distribution Agency (PDA) receives your payment, records it and distributes the money to the relevant creditors and other authorised recipients in accordance with the applicable payment plan.
• Your creditors — such as your bank, vehicle finance provider and store account providers — receive their allocated payments and apply them to your accounts.

The distinction matters. Your debt counsellor manages the debt review process, but the PDA is responsible for the actual distribution of funds.

A PDA may also distribute authorised debt counselling fees and other permitted amounts under the applicable arrangement. Your monthly payment is therefore not necessarily paid to creditors in full: the amounts allocated to each recipient should be reflected in the relevant statement.

Why Does the National Credit Act Require a PDA?

The National Credit Act 34 of 2005 provides the legal framework for debt review and the regulation of payment distribution.

Section 1 defines a payment distribution agent by reference to its role in distributing payments on behalf of a consumer who has applied for debt review. Section 44A prohibits a person from providing PDA services unless registered under the Act.

The detailed operational requirements are set out in the National Credit Act Regulations. These include requirements for payment records, reporting, trust accounts and the distribution of funds. Under regulation 10A(9), a PDA must, among other things:

• Operate an electronic payment distribution system that meets the applicable regulatory requirements.
• Provide the required reports to consumers and relevant stakeholders.
• Issue a monthly statement showing payment receipts and distributions.
• Deposit collected money into a trust account at a registered bank.
• Distribute received money within five days, or submit reasons to the National Credit Regulator where distribution is delayed.

These requirements exist to support accountability and traceability. Your payment should be recorded, its allocation should be identifiable, and you should be able to establish what happened to the money.

Which Payment Distribution Agency Has Your Money?

South Africa has several names associated with payment distribution under debt review. The name on your statement, payment instructions or debt review documents is the best starting point.

As at 20 October 2026, the NCR register lists three registered payment distribution agencies:

A Note on CollectNet

CollectNet PDA previously operated as a registered payment distribution agency under registration number NCRPDA4. The NCR's register records its registration as cancelled by the National Consumer Tribunal on 17 October 2024.

Consumers with historical CollectNet records should not assume that an old registration number means the agency remains authorised. Check the current position with the NCR and obtain written confirmation of who is responsible for any outstanding payment records or funds. The decision is published as National Credit Regulator v Collectnet PDA (Pty) Ltd, NCT/267892/2023/55(6), and the cancellation also appears on the NCR's cancelled-by-tribunal register.

How to Get Your Debt Review Payment Statement

You should not have to guess how your monthly payment has been distributed. The regulations require a PDA to provide a monthly statement in a manner chosen by the consumer, including by email, SMS or written statement.

Your statement should provide information including:

• The date and amount of each payment received.
• The creditors that received payments during the month.
• The actual amount distributed to each creditor.
• Any undistributed funds.
• Outstanding balances under the debt rearrangement plan, subject to the statement's applicable disclaimer.
• PDA fees.
• Payments made to the debt counsellor.
• Payments made to creditors.

If you do not receive your statement, contact your PDA directly and ask for:

• Your latest monthly statement.
• A transaction history showing payments received and amounts distributed.
• A breakdown of any undistributed funds or delayed payments.
• The distribution dates and amounts for each creditor.
• An explanation of any difference between your payment and the amounts allocated.

Keep copies of your payment confirmations and the statements you receive. They provide a record you can use if a payment is disputed later.

If you do not know which PDA handles your account, ask your debt counsellor to identify the agency and provide its current contact details. Then verify its registration on the NCR register.

How to Check Whether Your Creditors Are Actually Being Paid

Receiving a statement is the first step. You should also be able to verify that the distributions correspond with your debt rearrangement plan. Here is how to check.

Step 1: Confirm that your payment was received

Compare the amount and date of your bank payment with the amount recorded on your PDA statement. If the payment is missing, contact the PDA with your proof of payment and ask it to trace the transaction.

Step 2: Check the allocations

Compare the statement's creditor allocations against your current debt rearrangement plan. The amount allocated to each account should be consistent with the applicable plan and any authorised fees or adjustments. If something does not match, request a written explanation.

Step 3: Confirm the payment with the creditor

Contact the relevant bank or credit provider through its official customer service channel and ask it to confirm whether it received the payment, the date and amount received, whether the payment was allocated to the correct account, whether the account reflects the payment, and whether any arrears or outstanding balance remain, and why.

A creditor's balance may not immediately reflect a recent payment. Interest, fees, processing delays and the timing of account updates can affect what you see. A difference is a reason to investigate, not automatic proof that money has gone missing.

Step 4: Compare the results

If the PDA says it distributed your payment but the creditor cannot find it, ask both parties to investigate the same transaction. Provide the payment date, amount, creditor account reference and the relevant statement entry, and request written confirmation of the outcome.

If the creditor received the payment but allocated it incorrectly, the creditor may need to correct the allocation. If the PDA cannot demonstrate that it distributed the money, the PDA needs to investigate the transaction.

Step 5: Keep a record

Keep your payment confirmations, PDA statements, creditor responses and correspondence with your debt counsellor. If you need to escalate the matter, this evidence will help establish what was paid, what was distributed and where the discrepancy arose.

What If Your Creditors Are Not Being Paid?

Do not ignore a discrepancy simply because you have made your monthly payment. Equally, do not assume that a creditor's arrears notice proves the PDA has failed. Establish the facts first.

1. Contact the PDA. Identify the specific payment and creditor allocation in dispute. Request a written investigation and an explanation of any delay or missing transaction.
2. Notify your debt counsellor. Provide the relevant statement, payment confirmation and creditor correspondence. Your counsellor should be able to help establish whether the payment plan, distribution records or creditor account needs attention.
3. Contact the creditor. Confirm whether the payment was received and, if so, how it was allocated. Ask for the account record to be corrected if necessary.
4. Escalate unresolved issues. If you cannot resolve the matter with the PDA and debt counsellor, you can approach the National Credit Regulator at ncr.org.za. Include the evidence and explain precisely what remains unresolved.

A complaint should set out the dates, amounts, relevant accounts, responses received and the resolution you are seeking. Avoid sending unnecessary personal or banking information through unsecured channels.

If you receive legal notices or are told that an account is in arrears, do not simply ignore them while the payment investigation continues. Obtain advice on the specific account and any applicable deadlines.

What About Debt Counselling Fees?

Debt counselling fees and PDA distribution fees are separate items within the debt review payment structure. A debt counsellor may receive authorised fees through the distribution process, but that does not mean the counsellor is entitled to collect arbitrary additional amounts.

The applicable fee rules and guidelines determine which charges may be levied and the limits that apply. Your payment statement should help you understand the amounts allocated to the PDA, the debt counsellor and your creditors. For a full breakdown of the fees, what they cover and how they are deducted, read How Much Does Debt Review Cost?

If the problem is not the statement but the person who should be explaining it, you are allowed to move: you can change debt counsellor without restarting your debt review, and your plan, your protection and your payment history go with you.

Two related questions come up constantly alongside this one: whether you can pay a creditor directly (you should not), and what happens if you miss a payment.

Know Where Your Money Goes

Debt review depends on an agreed payment plan being administered properly. You should be able to establish what your PDA received, how the payment was distributed and whether your creditors recorded the relevant amounts.

Start with your latest statement. Check the PDA's current registration. Verify disputed transactions directly with the relevant creditor. If the records do not reconcile, ask for a written explanation and escalate unresolved issues through the appropriate channels.

You do not need to understand every technical detail of debt review to ask a straightforward question: what happened to my payment, and can the records prove it? That is a reasonable question to ask at any stage of debt review.

Frequently Asked Questions