Help from Insolvency Practitioners in Gauteng on Questions of Voluntary Sequestration
We take a brief look at some of the questions you may want to ask insolvency practitioners in Gauteng regarding voluntary sequestration and how the process can help you.
What is the first step in voluntary sequestration if I owe money to creditors in Gauteng?
First make an appointment with experienced insolvency practitioners in Gauteng to help you determine your financial status. The insolvency practitioners will review your bank statements, assets, creditors, and your monthly income and expenditure. The attorneys will also advise you on aspects such as how long the process of voluntary sequestration takes, and more.
Do I need to testify in court if I apply for voluntary surrendering of estate?
No. Though the law states that you may be required by the judge to appear in court, the application for voluntary sequestration of estate is brought by the insolvency practitioners on your behalf. You don’t have to appear in a Gauteng court and it is highly unlikely that the judge will demand it.
I will be left without transport to my work -– can I negotiate to keep my vehicle?
Yes. It is possible for the insolvency practitioners in Gauteng to negotiate with the bank to let you drive the vehicle and pay it off. You can also buy the vehicle from the surrendered estate. It is, however, not a given that you will be able to keep your vehicle; we recommend speaking to our insolvency practitioners in Gauteng about it.
How long will I be able to stay in my house once I apply for voluntary surrendering of estate?
Once the court has awarded the voluntary sequestration, a curator will be appointed, who will arrange for the house to be sold on auction. Throughout this time, you will still be able to stay in your house. Once sold, you will have sufficient time to find a new residence.
Can I keep some of my family heirloom furniture?
Yes. The furniture will be written up and form part of the insolvent estate. However, the furniture will not be removed from your house. You will thus not have to go through this embarrassing ordeal. Our attorneys will negotiate to have you buy back the furniture from the voluntary surrendered estate at a very low price – the reserve price for auctioning. As such, you will be able to keep part or all of the furniture.
What about my children’s assets?
Your children’s assets are theirs and the voluntary surrendering of the estate has no effect on their belongings. Keep in mind that only their legitimate assets are excluded from the estate and cannot include any of yours – like a vehicle.
Will my children need to go to another school because of my estate’s sequestration?
No, unless you want to enrol your children in another school. School fees are still payable and as our insolvency practitioners will explain, service contracts, rental agreements and the like will stay in place. As long as you pay the service fees, you will thus have the use of the services.
I have cellphone and DStv contracts and don’t want to have to change phone numbers because of the phones being included in the voluntary surrendered estate. What can I do?
The good news is that any type of service contract is excluded from the voluntary surrendering of estate. As long as you keep on paying your DStv, Internet connection, and cellphone contracts, you will have the use of the services. If the phones have been paid off, they may form part of the estate. The SIM cards and your phone numbers will not and you can just buy cheaper phones to replace them.
What about my work tools?
The idea of voluntary surrendering of estate is to ensure benefits to the creditors and to help you get out of debt. It is not to prevent you from earning an income. As such, your tools of trade are excluded from the estate. Keep in mind that, as in the case of children’s assets, these must be your legitimate tools of trade that you use to earn an income.
Call our insolvency practitioners in Gauteng to help you through the process of voluntary sequestration and to provide you with legal guidance as to avoid pitfalls in the process.
Disclaimer: Information is relevant on the date of publishing and is not intended as any form of legal advice. Please call on our attorneys for legal guidance rather than relying on the information herein to make decisions – September 2017.