Sorry to trouble you again on this mortgage shortfall issue and thanks for your previous rpely to another of my recent posts, however, I just wanted you to advise on this line from the following link http://www.insolvency.gov.uk/faq/faq.htm
(see Question: If my house is sold sometime after the bankruptcy order is any shortfall on the mortgage still a debt in my bankruptcy?)
On the making of a bankruptcy order the mortgage loan company could make a claim in the proceedings but, unless it wished to give up the security, could only claim for any (estimated) shortfall.
Does this mean that the mortgage company has to make a claim for shortfall at the time of undischarged bankruptcy and therefore before the bankrupt is discharged?
Clearly, if there is no dividend expected (doesn't the creditor get advised that no dividend is expected when the OR contacts them at the time of any early discharge process?) there will be nothing coming to the mortgage company even if they do make a claim. If they don't make a claim is it legitimate to demand that they confirm in writing to you that you are not going to be held liable even beforethe property sells (as it may take years) providedyou request such after you are discharged?
Mortgage Shortfall - FAO John
Posted - 12 March 2009 : 11:34:49
