Debt has a way of creeping up on you. It starts with a few store accounts, vehicle finance, and a home loan. However, just one change in the balance can cause you to fall behind on payments. A single incident can lead to a personal injury lawsuit against you and financial losses, or perhaps you make an investment mistake, which causes you to lose all your savings and end up in debt. This is where insolvency lawyers come in

Everyone’s financial situation is unique, as are the circumstances surrounding the financial situation. The last thing on your mind might be to seek the help of insolvency lawyers, but they can help your financial situation, especially when creditors are knocking at your door day and night.


  • Advise you regarding actions to avoid dealing with creditors
  • Handle the legal communication with the creditors
  • Represent you in opposing insolvency proceedings initiated against you
  • Help you to apply for voluntary sequestration
  • Negotiate with the appointed trustee/curator to have you buy back specific assets from the insolvent estate
  • Help you determine if you qualify for voluntary sequestration
  • Assist in preventing further legal action against you
  • Help you to become debt-free
  • Help with a financial rehabilitation application
  • Advise you regarding aspects like tools of trade or protecting the assets of your spouse when married out of community of property

The above list is not comprehensive as there are many other ways insolvency lawyers can help your financial situation, but it does show you that it is best to seek their advice even before you take any steps in negotiating with creditors.

For one, they will advise on actions that can give creditors sufficient grounds to apply for your compulsory sequestration. An example is where you admit on paper that you cannot make payments when due and try to negotiate better terms or new arrangements. It is an admittance of not being able to pay your debt and an act of insolvency, even when you have just tried to be a good debtor by making arrangements.

They can also help you to have further legal action stayed. The moment the notice for your intended voluntary sequestration is published, all further legal action is stayed. The creditors cannot add more interest to the outstanding debt, and they cannot ask you to make payments. You are not allowed to make any payments to them, pending the application outcome. This is to eliminate a situation where one creditor receives benefit, but the others do not get the money owed to them.

The attorneys also negotiate with the appointed trustee to have your furniture written up as part of the insolvent estate, but to give you the opportunity to buy such back at the low auction value. This helps you to keep your furniture. Doing this without the assistance of experienced lawyers can be a difficult task.

Finally, the insolvency lawyers help you to become debt-free within a short period and to rehabilitate once the requirements have been met.

Reach out for legal assistance today to deal with your particular financial situation.

Disclaimer: This article is for information purposes only and does not constitute legal advice. Call on our attorneys for legal advice, rather than relying on the information herein.