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John.sp
Starting Member
5 Posts |
 Posted - 16 August 2012 : 23:39:20
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I posted a few weeks ago regarding a letter I have received 18 months after discharge questioning payments being made to my parents to cover a loan in the 12 months prior to bankruptcy. The loan was taken out in my parents name and I was making the repayments to them, and although it wasn't included in the petition, I have not made payments since.
I have explained the situation to the OR, and they have now written to my parents ordering them to repay £1000 on the basis that the payments made to them over this period were preferential.
If I was making payments to all creditors during this period how can these ones be seen as preferential?
Really its just a question because they will pay the money, I just find it annoying that they are in this position, although I will repay them when I can. |
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Viki.W
forum expert
United Kingdom
2211 Posts |
Posted - 17 August 2012 : 00:01:59
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Hi John,
Were you paying all of your creditors the contractual monthly payment at the same time as paying your parents?
If that is the case, I can't see why they want that money back as you haven't favoured one creditor over another.
Viki Warbrooke
Vincent Bond & Co
If you would like free advice on all options available and help with your bankruptcy petition please contact me at http://www.vincentbond.com/about_us_Viki_Warbrooke.asp |
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debtinfo
forum expert
2826 Posts |
Posted - 17 August 2012 : 06:36:13
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| well the question will be how much was paid to each, for instane if you paid back 100% of the money owed to parents but only 5% of money owed to other creditors, you can see how that could be considered preferential,i dont know what your circumstances are but does that sound famillier |
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John.sp
Starting Member
5 Posts |
Posted - 17 August 2012 : 07:53:48
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I was making payments to all creditors up until two months before I went bankrupt and my business went under. Having said that, I was living off of credit cards to a degree so it could be argued I was making payments to my parents using that money so I guess I see the point. Will pay it and move on.
Thanks for the feedback
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If I was making payments to all creditors how how can payments to parents be preferential ?
