REHABILITATION AFTER BANKRUPTCY

You Don’t Have to Wait Ten Years for Rehabilitation After Bankruptcy

Even though you are probably debt free after sequestration, provided you have not entered into credit agreements, you will want to restart your life. With the status of sequestrated at ITC, this can be difficult. To enter into credit agreements, you will need the written permission of your curator, and you will be monitored for financial responsibility throughout the period in which you have the status of bankruptcy.

It thus makes sense to apply for rehabilitation after bankruptcy as soon as legally possible, instead of waiting a full ten years for automatic rehabilitation after sequestration. You will need legal assistance in this regard, since an application must be made to court. Fortunately, you are not required to appear in court.

We will draft the affidavit to the effect and you will sign it. Your creditors will be notified of your intention to apply for rehabilitation. The court application is made for the provisional rehabilitation order, and then 30 days follows in which the creditors can lodge objections. If at the return date to court 30 days after the provisional rehabilitation order, no objections have been received, you will be rehabilitated immediately.

The next step is to notify ITC by means of the submission of copies of the rehabilitation order. We will then follow up to ensure that your status of sequestrated is changed to rehabilitated. This will remain on ITC for a period of five years, after which it will automatically be removed.

When Can You Apply?

The sooner the better! This is why it is important to cooperate with the curator, as the curator must give permission for the rehabilitation application. If the curator found that during the period of your bankruptcy, you entered into credit agreements without written permission, or you have not been cooperative, the curator can withhold permission.

Other than that, it is essential to not commit fraud or any type of offence in relation to your bankruptcy status during the period, which could lead to you only being able to apply for rehabilitation after bankruptcy when a period of five years has lapsed since the conviction of fraud or the relevant offence.

It is possible to bring the rehabilitation application earlier than four years after the sequestration date if certain requirements are met – these are best discussed with our team of attorneys. In general, you can apply for rehabilitation four years after the sequestration date if it is the first time that you have been sequestrated.

Don’t stay sequestrated for the entire ten years. Make use of our attorneys to help you apply for rehabilitation after bankruptcy as soon as possible.