If a house is repossessed and is not sold can the debt to the finance company be included in the petition despite the final amount not being known. If the mortgage was joint(and several)and partners have split up does one record the full amount or only half of the last recorded statement from finance company and note the continuing addition of interest and charges
yes the shortfall although unknown can be written off in bankruptcy. However as it is a joint borrowing your bankruptcy would merely remove you from the responsibility of repayment and therefore the joint owner would become solely responsible for the full (not half) amount.
You should record the full amount owed as at no time will you be considered responsible for half the borrowing. Currently you are both equally and individually responsible for the full amount.
Thankyou John. There won't be a slip up in presenting the petition now. I am sure others will have been warned that getting things right first time is very important as undoing mistakes can be difficult. If what you have been told doesn't seem to be right it's best to seek another opinion as I have now done. Thankyou again.
If a house is repossessed
Posted - 13 March 2009 : 15:14:05
