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HOW SEQUESTRATION OPERATES:

To initiate sequestration, there must be tangible benefits for creditors, necessitating the presence of assets that can be utilized for their advantage. These assets may encompass immovable property, vehicles, furniture, or cash.
If your property or vehicle is under finance, they may still contribute as benefits for creditors, even though you may lose ownership. Alternatively, if you lack a vehicle or property, a combination of furniture and cash can serve as assets for creditors.
The retention of your furniture is assured, as you can repurchase it from the trustee overseeing your sequestration. The trustee, appointed post-sequestration, assumes the responsibility of administering your insolvent estate.
The trustee’s primary role is to convert your assets into cash and distribute it equitably among your creditors. Typically, creditors will receive only a specific percentage of their outstanding claims against you. Any remaining balance or shortfall is not legally enforceable against you, given your sequestrated status.