I recently asked the question I am liable for the shortfall in my property slae after my bankruptcy and was told yes. I contacted the official receiver dealing with my case who said I wasn't as the property was part of my estate and they had decalred an interst in it. I soley owned the property when i went bankrupt in 2007 and it was reposessed in Nov 2007. The official receiver said the shortfall would be written off as part of my bankruptcy. I don't know who to believe.
im in the same position, my house was repossed on the 5th march 09 and im going to court on tuesday to declare bankruptcy, correct me if im wrong anyone but once the property has been sold any short fall should become an unsecured debt and will be written off within your bankruptcy.
as long as you pay no more mortgage payments and you have listed the potential shortfall as an unsecured debt on your SoA you will be fine.
If it is not clear from the SoA that you intend to give up the property when you petition the court and you continue to repay the mortgage and then a few months down the line the mortgage becomes unaffordable it could be that the shortfall will not be included.
am I liable for the shortfall in my property
Posted - 20 March 2009 : 21:24:30
