diff --git a/docs/api-guide/authentication.md b/docs/api-guide/authentication.md
index 88a7a0119..0bddd0d03 100755
--- a/docs/api-guide/authentication.md
+++ b/docs/api-guide/authentication.md
@@ -126,7 +126,13 @@ To use the `TokenAuthentication` scheme, include `rest_framework.authtoken` in y
         'rest_framework.authtoken'
     )
 
-Make sure to run `manage.py syncdb` after changing your settings. The `authtoken` database tables are managed by south (see [Schema migrations](#schema-migrations) below).
+
+---
+
+**Note:** Make sure to run `manage.py syncdb` after changing your settings. Both Django native (from v1.7) and South migrations for the `authtoken` database tables are provided. See [Schema migrations](#schema-migrations) below.
+
+---
+
 
 You'll also need to create tokens for your users.
 
@@ -198,7 +204,21 @@ Note that the default `obtain_auth_token` view explicitly uses JSON requests and
 
 #### Schema migrations
 
-The `rest_framework.authtoken` app includes a south migration that will create the authtoken table.
+The `rest_framework.authtoken` app includes both a Django native migration (for Django versions >1.7) and a south migration that will create the authtoken table.
+
+----
+
+**Note** By default both Django (>1.7) and South will look for a module named `migrations`. To avoid a collision here, in order to use South you **must** provide the `SOUTH_MIGRATION_MODULES` option in your `settings.py`:
+
+
+    SOUTH_MIGRATION_MODULES = {
+            'authtoken': 'rest_framework.authtoken.south_migrations',
+    }
+
+This tells South to look in the `south_migrations` module for the `authtoken` app.
+
+----
+
 
 If you're using a [custom user model][custom-user-model] you'll need to make sure that any initial migration that creates the user table runs before the authtoken table is created.
 
diff --git a/docs/topics/release-notes.md b/docs/topics/release-notes.md
index 335497eec..5722d45be 100644
--- a/docs/topics/release-notes.md
+++ b/docs/topics/release-notes.md
@@ -43,6 +43,14 @@ You can determine your currently installed version using `pip freeze`:
 ### 2.3.x
 
 **Date**: April 2014
+* Added compatibility with Django 1.7's native migrations.
+
+  **IMPORTANT**: In order to continue to use south with Django <1.7 you **must** provide
+  the `SOUTH_MIGRATION_MODULES` option in your `settings.py`:
+
+        SOUTH_MIGRATION_MODULES = {
+                'authtoken': 'rest_framework.authtoken.south_migrations',
+        }
 
 * Fix nested serializers linked through a backward foreign key relation
 * Fix bad links for the `BrowsableAPIRenderer` with `YAMLRenderer`
@@ -165,9 +173,9 @@ You can determine your currently installed version using `pip freeze`:
 * Added `trailing_slash` option to routers.
 * Include support for `HttpStreamingResponse`.
 * Support wider range of default serializer validation when used with custom model fields.
-* UTF-8 Support for browsable API descriptions.  
+* UTF-8 Support for browsable API descriptions.
 * OAuth2 provider uses timezone aware datetimes when supported.
-* Bugfix: Return error correctly when OAuth non-existent consumer occurs. 
+* Bugfix: Return error correctly when OAuth non-existent consumer occurs.
 * Bugfix: Allow `FileUploadParser` to correctly filename if provided as URL kwarg.
 * Bugfix: Fix `ScopedRateThrottle`.
 
@@ -208,7 +216,7 @@ You can determine your currently installed version using `pip freeze`:
 * Added SearchFilter
 * Added OrderingFilter
 * Added GenericViewSet
-* Bugfix: Multiple `@action` and `@link` methods now allowed on viewsets. 
+* Bugfix: Multiple `@action` and `@link` methods now allowed on viewsets.
 * Bugfix: Fix API Root view issue with DjangoModelPermissions
 
 ### 2.3.2
@@ -261,7 +269,7 @@ You can determine your currently installed version using `pip freeze`:
 * Long HTTP headers in browsable API are broken in multiple lines when possible.
 * Bugfix: Fix regression with DjangoFilterBackend not worthing correctly with single object views.
 * Bugfix: OAuth should fail hard when invalid token used.
-* Bugfix: Fix serializer potentially returning `None` object for models that define `__bool__` or `__len__`. 
+* Bugfix: Fix serializer potentially returning `None` object for models that define `__bool__` or `__len__`.
 
 ### 2.2.5
 
diff --git a/rest_framework/settings.py b/rest_framework/settings.py
index 332d5e4f9..fbef6e021 100644
--- a/rest_framework/settings.py
+++ b/rest_framework/settings.py
@@ -120,12 +120,6 @@ DEFAULTS = {
     # Pending deprecation
     'FILTER_BACKEND': None,
 
-
-    # 1.7 Migration Compatibility
-
-    'SOUTH_MIGRATION_MODULES': {
-        'authtoken': 'rest_framework.authtoken.south_migrations',
-    }
 }