Sequestration will:
- Declare you legally bankrupt
- See a Trustee appointed to take control of your assets
- Fix a monthly payment from you for four years
- See the sale of any assets to repay creditors
- Write off any remaining debts once discharged
Consequences of sequestration:
- Hugely detrimental impact on credit rating for at least six years
- Cannot obtain any credit at all whilst in sequestration without the permission of your Trustee
- Banned from holding a position as Director so cannot establish or run a business
- Potential employment consequences – check your employment contract
- Potential tenancy consequences – check your tenancy agreement
- Potential Hire Purchase consequences – check any HP agreements