You may have read about insolvency, sequestration, and financial rehabilitation on the internet. Although you may also know what sequestration is, you might not have received an answer on “what is financial rehabilitation?” We take a brief look below at what it means as related to voluntary sequestration to help answer the question. Sequestration Is Not Forever Understandably, you will not want to voluntary sequestrate… Read More »WHAT IS FINANCIAL REHABILITATION?

What is Rehabilitation after Insolvency and How Do You Benefit? Rehabilitation after insolvency gives you a fresh financial start. You will no longer have the status of insolvent or sequestrated, and you will once again have a clear ITC record. Rehabilitation after insolvency is automatic after ten years has passed since the date of your provisional sequestration. If, however, you want to rehabilitate earlier, which… Read More »REHABILITATION AFTER INSOLVENCY

THREE TYPES OF DEBT RESCUE Debt rescue can take many forms, of which one is debt review or debt counselling. Sequestration is also a form of debt rescue, as is the selling of some of your assets to pay off debt, with arrangements made with creditors to pay the remainder over a specific period. The type of debt rescue that is selected affects your credit… Read More »DEBT RESCUE

When Can You Apply for Rehabilitation After Sequestration? Debt rehabilitation after sequestration can be done after a specific period has lapsed, and is subject to certain conditions being met. Note that if you don’t apply for debt rehabilitation after sequestration, then it will take ten years before your estate will automatically be rehabilitated. If your rehabilitation application is successful, then the court will declare that… Read More »DEBT REHABILITATION

How Financial Rehabilitation After Sequestration Works Although voluntary sequestration helps you to get rid of up to 80% of your debt with the remainder payable in cash or down payment, according to an agreement over a period of 18-24 months, whilst under sequestration, your ability to enter into credit contracts is limited. As such, you will want to apply for financial rehabilitation after sequestration as… Read More »FINANCIAL REHABILITATION

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… Read More »REHABILITATION AFTER BANKRUPTCY

How Bankruptcy Works in South Africa It is important to understand how bankruptcy works, since it will affect at least the next four years of your life. As such, we recommend viewing the various sections on sequestration on our website, and to consult with our attorneys regarding questions you might have. We briefly explain how bankruptcy works for individuals in South Africa, in order to… Read More »HOW BANKRUPTCY WORKS

Legal Advice to Liquidate a Company in South Africa Unlike with individuals applying for voluntary sequestration, who must have enough assets to ensure that the sale thereof can realise enough benefit for the creditors, liquidation of a company in South Africa can be done even if the company doesn’t have any assets. This is so because the Insolvency Act states that as soon as a… Read More »LEGAL ADVICE TO LIQUIDATE A COMPANY

Why You Should Get Help If You Are About to be Declared Insolvent Most applications to the High Court for sequestration are for friendly compulsory sequestrations, or voluntary sequestrations. However, you should seek help immediately if you are declared insolvent. Indeed, before being declared insolvent, you should already seek legal representation. If it is an aggressive sequestration application, which is normally the case with banks… Read More »GET HELP IF YOU ARE DECLARED INSOLVENT

Perhaps the first question that comes to mind when you face insolvency is “how do I declare myself bankrupt?” We understand the frustration of having to deal with creditors that threaten with legal action, and the fear of having your assets attached and sold at below-market value. You know that you will end up paying interest, sheriff, legal and storage fees, and auction commissions, in… Read More »HOW DO I DECLARE MYSELF BANKRUPT