Many South Africans are surprised to learn that debt does not last forever. Our law recognises prescription, which means certain debts expire if a creditor does not act within a specific time. Once a debt prescribes, it can no longer be legally enforced — the debtor cannot be sued for it.

What is Prescription?

Prescription happens when a legal claim becomes too old to pursue. If a creditor waits too long to collect a debt, the law steps in and extinguishes the obligation. The purpose is to protect people from being chased for stale debt and to encourage creditors to act promptly.

What Happens When a Debt Prescribes?

Then prescription takes effect, the debt is legally considered cancelled. A creditor may not take court action to enforce it. If they attempt to do so, the debtor may raise prescription as a defence. Importantly, the debtor does not need to apply for prescription — it happens automatically by law.

When Does the Clock Start Running?

The prescription period starts when a debt becomes due and payable, meaning the creditor knows who owes the money and why. If a debtor deliberately hides information to prevent the creditor from knowing about the claim, prescription only begins when the creditor reasonably becomes aware of the debt.

Can Prescription Be Put on Hold?

Yes. Prescription pauses in certain situations, such as when the creditor is a minor or mentally unable to act, when spouses owe each other money during marriage, or when a debtor is outside South Africa for a period that overlaps the end of the prescription period. Once the reason for the delay ends, the law may add up to one year to allow the creditor time to act.

When Is Prescription Interrupted?

Prescription stops running if:

• The debtor acknowledges the debt (even by a small payment or written recognition), or
• The creditor serves legal papers, such as a summons, before prescription is complete.

Once interrupted, the prescription clock resets.

How Long Before a Debt Prescribes?

Different debts have different timeframes. In most everyday situations, debts from credit agreements, loans, medical accounts, and general contracts prescribe after three years. Some claims, however, have longer periods, such as 30 years for mortgage bond debts, tax debts, and court judgments. Claims against the Road Accident Fund and the State also have specific and shorter notice and filing periods.

Why Prescription Matters

For consumers, prescription is protection against being pursued for very old debts. For businesses and creditors, it is a warning: act quickly and follow proper legal steps, or risk losing the right to collect.

If you are unsure whether a debt has prescribed — whether you owe money or someone owes you — getting professional legal advice early can prevent costly mistakes.