Debtfree Magazine Issue 4 of 2021
SA's free debt counselling & debt review magazine. We discuss scams you need to beware of when thinking about leaving the debt review process early (and whether you could leave early).
SA's free debt counselling & debt review magazine. We discuss scams you need to beware of when thinking about leaving the debt review process early (and whether you could leave early).
Create successful ePaper yourself
Turn your PDF publications into a flip-book with our unique Google optimized e-Paper software.
SEQUESTRATION - IS IT AN OPTION?
THE PROCESS MUST
BENEFIT YOUR
CREDITORS
The main idea behind a sequestration is to get as much
money back to the credit providers as is realistically
possible in a short time period.
This is why the courts require a minimum percentage of the debt
to realistically be paid off. If there will not be enough money for the
credit providers then the courts will refuse the sequestration.
In some parts of the world there are different rules about this and
even in South Africa there have been discussions about what is
known as a “poor man’s sequestration” option. At present, however,
government feels that the court summons and judgment process as
well as the administration and debt review processes provide enough
relief options for those who do not qualify for sequestration. These
other options all help credit providers get paid back over time.
Change language