HOW TO NAVIGATE VOLUNTARY INSOLVENCY | WHAT IS VOLUNTARY INSOLVENCY?

When looking into voluntary insolvency proceedings, you will find that it is crucial to find an insolvency expert to help you navigate voluntary insolvency. This is crucial for the success of such an application.

An insolvency expert can offer valuable insight on the process and ensure that you fully understand the implications of your decision. They will also assist in preparing the necessary documentation and represent you throughout the process up to the point of rehabilitation after insolvency.

Therefore, it is advisable to consult with an NCR-Accredited Debt Expert to ensure that you have a specialist on your side who will ensure that the process is followed exactly as per the requirements of the Insolvency Act.

When you experience financial difficulties, you can declare yourself insolvent via a voluntary insolvency process in the High Court of South Africa. This process entails that your debt, when successful, will be written off.

There are numerous pitfalls in the insolvency process. If you attempt to navigate this process without the guidance of an insolvency expert, I can almost guarantee that it will result in a disaster. It is important to remember that an insolvency application is a legal process, and therefore, it is essential to engage a seasoned professional to ensure its success.

Despite being published by an expert, articles of this nature provide generalised information that may not apply to your specific financial circumstances.

1. The application must be to the benefit of the creditors and not the applicant(s).

2. The applicant(s) must demonstrate to the court that he/she/they is indeed insolvent.

3. There must be sufficient assets to cover the creditors' benefit.

4. Assets may include cash, loose assets (such as fully paid furniture and vehicles), or immovable property (such as a house). At CureDebt we can ensure that you don't lose your movable assets when navigating voluntary insolvency.

5. All assets, both movable and immovable, must be sold as part of the insolvent estate, and the proceeds must be used to settle debts proportionately according to the claims proven against the insolvent estate.

6. There is a specific process that must be followed as prescribed in the Insolvency Act, which entails certain timeframes for drafting, signing, and submitting various documents. If these time frames and documents are not prepared according to the requirements of the Insolvency Act within the prescribed timeframes, the application will not be successful.

What are the mental and emotional traumas of being overindebted ?
Financial issues can have devastating effects on a person's emotional and mental health, according to a recent Wits University article. This, however, is no news for us working in the industry.

The article states that financial distress can lead to depression, anxiety, and insomnia, to name a few. There are times when people are so stressed out by their financial situation that they contemplate committing suicide. I've worked in this field for nearly thirty years. It's sad but true. When you're feeling hopeless and unsure of where to turn or what to do about your financial situation, things can become very stressful, and feelings of hopelessness, despair, and shame are not uncommon.

Therefore, navigating voluntary sequestration is most effective when undertaken in collaboration with an accredited debt expert who specialises in insolvency law and all other debt relief solutions. This expert can give you unbiased advice on the best process for you, as they know the Insolvency Act and have the experience to advocate for you, ensuring the best chance of success.

Now that you navigated voluntary insolvency successfully, you need to know what to do to avoid a similar situation in the future.
At CureDebt, we'll teach you to manage your finances successfully. The first step is to work on a budget and to differentiate between necessities and 'nice-to-haves'. But after bankruptcy, you must manage your money wisely to avoid a repeat of your financial situation. We will be with you until you get the rehab order after sequestration, clear your credit profile, and start rebuilding your credit.

Avoid the stress and the drama and let the professionals handle it.
You can avoid mental and emotional trauma all of this by finding a debt expert who can help you navigate debt relief solutions successfully, making the road to recovery stress-free and straightforward. Choosing the right debt relief solution from the outset can make a significant difference, potentially determining whether you experience immediate relief or prolonged financial suffering. You can walk away from your financial distress empowered and hopeful.

Contact CureDebt, an NCR-accredited insolvency expert, such as CureDebt, for free advice and information tailored to your individual needs.

CureDebt, a debt relief expert, offers a comprehensive range of debt relief solutions under one roof. This is advantageous for you. Our esteemed debt solutions consultants will provide you with expert advice regarding your financial situation, and the evaluation and consultation are free.

This could help you reach an informed decision regarding your current financial situation. Your inquiry will not result in any punishment or listing at the credit bureaus, making it a secure process to identify the most appropriate debt relief solutions for your particular financial circumstance.

It's worth mentioning that the criteria for applying for voluntary sequestration vary, based on the circumstances in question. It's beneficial to speak with an NCR-accredited debt solutions expert before proceeding with sequestration.

Our Debt Solution Experts will assess your specific circumstances and provide advice on whether sequestration is the best debt solution for you. At Cure Debt, all assessments are FREE.

In this article, we commit to providing you with a basic understanding of the meaning of voluntary insolvency and its effect on your financial well-being.

However, it is always better to contact one of our bankruptcy experts to assist you with a free assessment and consultation to ensure you understand the implications of such an application, including all its advantages and disadvantages.


Important to remember:

Why cure debt?
Cure Debt is the ultimate debt relief solution to your unique debt problem.  With a proven track record, we are proud to say that we can help you become debt-free.