Note: You must be registered in order to post a reply. To register, click here. Registration is FREE!
T O P I C R E V I E W
isobel_t
Posted - 26 October 2008 : 22:50:27 My sister loaned my son £3000 to help him repay a loan and ease his weekly outgoings prior to the sale of the former matrimonial home. The loan was to be repaid from the proceeds of the sale. The slump in the housing market has affected the ability to get the house sold. He has now had to declare himself bankrupt. He put my sister down as a creditor, but when she has received a letter from the official receiver, her debt does not seem to have been included. Following the bankruptcy his ex-wife agreed a sale on the matrimonial home at a knock down price. My sons equity will not pay off all the creditors. How does the Official Receiver decide which creditors will get paid. Do some get all and other nothing or is it distributed as a percentage?
1 L A T E S T R E P L I E S (Newest First)
Suzanne
Posted - 27 October 2008 : 08:46:56 Hi
Creditors are all paid on a pro rata basis. The only exceptions being preferential creditors such as part of an Inland Revenue claims etc
