Was made bankrupt last June via email. I had a ltd co loan secured on a property that was repossessed, undersold and then the bank chased me personally for the £800,000 shortfall.
Can I write off/set off the outstanding using PAP or affidavit?
Your situation and questions are more of a legal nature, and we do not advise on legal matters.
However, I do have a few questions which may aid me in advising you.
If you were made bankrupt, and a property taken in the bankruptcy, was not the unsecured debt then from the “under sale” not included in the bankruptcy?
Secured loans, such as a mortgage are not included in a UK bankruptcy. The property can be repossessed, sold, and any shortfall, which is now an unsecured debt, can be included in a bankruptcy.
So I am unsure about why you were made bankrupt, and then being chased for a £800,000 shortfall??
Did you guarantee the loan?
The shortfall would have been included in the bankruptcy, even if you did not declare it.
Get back to me and we can look more into this.