Facing Problems ON HOW TO SEQUESTRATE YOURSELF
If you are unable to pay your debts and have significant debts, you may wish to learn how to sequestrate yourself in South Africa. Indeed, if you know how to sequestrate yourself, it is best to take the proactive move, since creditors might take legal action against you, and you can lose all your possessions if you cannot pay your obligation.
To comprehend how to sequestrate yourself, you need to know the process of voluntary sequestration. Since it is a legislative procedure, you will need expert advice from attorneys.
Essentially, you will hand over control of your financial estate to a court-appointed trustee. The trustee will liquidate the estate’s assets and distribute the money to the creditors in accordance with the provisions of the Insolvency Act. You will no longer have control over your financial affairs. You will regain control of your financial estate once you have been recovered.
You will be required to list your income and expenses, explain why you are in debt, and provide a list of creditors, debt owed to them, and whether the debt is secured or unsecured. If you do not own immovable property, you will need enough other assets, cash, or income to cover the expenses of sequestration and guarantee that creditors obtain the bare minimum from the process.
HOW TO DEAL WITH THE CREDITORS
You must seize all payments to creditors once your plan to sequester yourself has been disclosed. Do not even speak with a creditor. It is illegal to favor one creditor over another, and in the case of sequestration, creditors are dealt with collectively.
HOW TO DEAL WITH MISCONCEPTIONS
Do not take the word of a friend or family member on the state of your assets during and after sequestration. Rather ask our attorneys for legal guidance. You may make it hard for yourself to isolate yourself by acting on the advise of friends and family members. For one, do not attempt to hide your assets, or to sell one asset to pay off a creditor to the disadvantage of another creditor. Because the attorneys are on your side, be open and honest about your financial status. Do not mislead about the size of your assets, and exclude any of the creditors in the list of creditors.
What occurs when you sequestrate yourself?
You must seize all payments to creditors once your plan to sequester yourself has been disclosed. Do not even communicate with a creditor. It is prohibited to favor one creditor over another, and in the case of sequestration, creditors are dealt with collectively.
How much does sequestration cost in South Africa?
What are the expenses of sequestration? The cost of starting the procedure varies between R6,500.00 and R9,500.00 depending on the province in which the applicant resides.
Can you Sequestrate without assets?
Because the statement is such an important aspect of the application for sequestration without assets, it must be correct. Every creditor, the sum owing, and any security for the obligation must be included. The lawyers also forward a notice of your specific intent to sequestrate without assets to the creditors.
