What You Need to Know

Voluntary insolvency can provide much-needed relief, but it's not a decision to take lightly. Let's examine both the pros and cons.

Stop the Bleeding

Voluntary liquidation can cancel a significant portion of debt, allowing individuals to rebuild financially without creditor threats.

Downside: Public Record

All forms of voluntary sequestration become public record, meaning others—including potential employers—may access your financial history.

Years of Rebuilding

Recovery post-voluntary liquidation takes time, and credit rebuilding typically spans five years or more. Strategic budgeting is essential.

Do You Keep Your Home?

Under voluntary sequestration, you may be forced to sell real estate, although some exclusions apply with legal help and restructuring.

Seek Expert Advice

Always consult a financial adviser or insolvency attorney before committing to voluntary insolvency to ensure it aligns with your goals.