My Son is thinking of going bankrupt but pays us £400 per month for a loan we took out in our name for him a couple of years ago. Even if he struggles he makes this payment. Does this mean we will have to pay this is he goes Bankrupt because we cannot afford to or can this this be covered somehow on his application. I know you have to show all debtors but I think we would end up in the bankruptcy court if he is not allowed to continue paying us. Many thanks
If you took out a loan for your son then he declares BR then you become a creditor and he will not be able to pay you anymore money whilst BR and if he did it would be seen as preferential treatment for him to do so.
I am sorry that you may not want to hear that part but that is how it works.
It is harder for people when its families that lend out the money etc but you would still be a creditor and so would have to be treated as the same by the OR as all the creditors would be treated equally.
Sorry
Jo x
18 Weeks down
34 to go
For more info on how i have come through bankruptcy and for links to help, you can read my blog here called: Needafriend's Info on Bankruptcy :-) http://debtfreejo.blogs.bankruptcyhelp.org.uk/ Needafriend says: Live life to the full, take life by the horns and live a little, otherwise life would be so boring!
My Son is thinking of going bankrupt
Posted - 12 December 2008 : 13:51:01
