When a creditor obtains a default judgments against you for the non-payment of an amount owing to such creditor, it is listed against your name by the various credit bureaus. This negatively affects your credit record. The default judgment can, however, be removed from your credit record by applying to court for the rescission of the judgment.
Where the judgment against you was granted by the Magistrates Court, and you have subsequently settled it in full, you may request written consent from the creditor, who obtained the judgment against you, that the judgment may be rescinded. Section 36(2) of the Magistrates Court Act determines that: “If a plaintiff in whose favour Default Judgment has been granted agreed in writing that the judgment be rescinded or varied, a court must rescind or vary such judgment on application by any party affected by it.” The Creditor, however, has the discretion to refuse such consent.
Should your application for the rescission of judgment be made in the absence of consent of the creditor, there are further requirements which must be complied with and the court has the discretion to dismiss or grant the application.