A Guide To Cell Phone Contracts and Blacklisting or Low Credit Score-Cards

Phonefinder is all about cell phones – contracts, repairs, news, reviews, and accessories. We're especially proud of our contract comparison service featuring up to 5000 deals across Vodacom, MTN, Cell C, and Telkom.
However, applying for a cell phone contract isn't as easy as it used to be
You may be one of the 80% of South Africans who got declined this year. Even if you pay your bills and have a job, it still happens. And yes, it’s frustrating.
Why then were you declined a cell phone contract?
It often comes down to being “blacklisted”. A contract includes a loan for the handset. If your credit is bad, no loan. It’s as simple and unfair as that.
While we can’t change your score, we can help you understand what’s going on and what to do if you’re declined.
I have a low ITC score but I am not blacklisted
Most networks treat a low score the same as being blacklisted. Even if you earn well, their credit systems may flag you.
MTN, Cell C, Vodacom and Telkom each have their own private scorecards. They're hard to pass, but some providers operate on more flexible terms and may still approve you.
What does it mean to be "blacklisted"?
“Blacklisted” is an informal way of saying you have a poor credit report. It’s not an official status, but it stops you from getting credit.
What information is used to form a blacklist judgement?
Payment defaults, judgments, sequestrations, or administration orders.
What can be done to prevent a bad credit record?
Always pay your bills in full and on time.
Becoming blacklisted: how it works

A) Credit bureaus (TransUnion ITC and Experian)
B) Companies offering credit
C) Subscribers to the credit bureaus
If you don’t pay (C), your info goes to (A), which is used by (B) when making decisions.
How long will my credit records be tainted?
Negative listings like bad debt or judgments stay for 5 years, even after repayment.
Can I clear my name?
Yes, but it involves legal help and proof of payment. A magistrate must confirm everything is paid before bureaus remove the listing.
Update: Since 13 March 2015, adverse listings are removed after 1 year once paid. Judgments still stay for 5 years unless cleared through court.
There is no shame in being blacklisted
You can be listed for owing as little as R500. Sometimes, it's just a missed invoice. Don’t stress – it can be fixed.
Check your credit status for free
It’s smart to check your status before applying. You're entitled to one free report per year:
Some handy legal terms
Here are key terms to help you understand your credit report:
Delinquent: You pay, but not on time.
Default: You didn’t pay according to agreement.
Judgment: A legal order issued after a court summons. Must be cleared legally to be removed from your record.
Administration Order: If you owe under R50,000, you can pay monthly through a court-appointed administrator.
Sequestration: A High Court declares you bankrupt. No new credit for up to 10 years.
