My parents have tried to help me out of my financial mess by getting a loan for me. It is in their name (secured on their house) & I have been paying the monthly payments for this. Would the courts allow me to have the money to continue to [pay this loan if I was declared bankrupt?
I could be wrong, and I hope an expert will come along shortly, but if the loan is in your parents name, it is their responsibility to pay it, regardless of the reason they took it out.
I would be surprised if you were allowed money to pay for this.
I have the same issue. I met with CAB and they advised me that I could not detail my parents as a creditor as there is no legal contract between you. I have been advised (by CAB) to detail the monthly repayment within my expenditure form as Family Liability. On the back section of the forms (additional information) you can detail that you owe this money and are morally liable to repay it. You can also detail your parents circumstance eg if they are both retired and not working and would not be able to make these payments. The CAB did say that this type of claim may be considered but each case is looked at on it's own mertis.
Hopefully someone else on the forum may have been through this situation and will hopefully be able to advise you further.
My parents have tried to help me out
Posted - 21 May 2009 : 15:15:32
