Tweet
Hello everyone,
Was wondering if anyone could help me.
My mother sadly passed away last year intestate. I'm the executor and I've been administering the estate. All was pretty much done and finished with up until recently when a lady showed up at my door step, addressed me by my full name and served me with an Insolvency Administration Order with a massive grin on her face.
Was not a pleasant surprise... I felt like fly kicking her off my property for being so sneaky.
Turns out my mother had an outstanding debt with this creditor, Cabot, and they now want to be paid £11,000 or go to court where they would try force a sale of my late mothers' home.
The debt consists of a loan and a credit card. I've asked them to provide me with all related documents and they've forwarded me a credit agreement preference account document for the loan but nothing for the credit card. They've also included payments that my mother had been making of £2 a month to Cabot as the accounts had defaulted back in 2005. These payments stopped in April last year when I closed her bank account.
They also mentioned that they had tried to contact me regarding the matter but failed to get a reply from me which is why they've started the court proceedings. I've never received a single letter of theirs...
To give you a little background on my mothers' affairs, she only had the property as an asset and a few liabilities which amounted to less than the value of the property. So the estate is solvent and I'm not even sure if the petition for insolvency is correct.
The other liabilities were partly unsecured debts who've all been contacted and have all been kind enough to wave the debts over the phone, although I haven't got any written confirmation which I'm now regretting not getting, and the remaining liabilities were a mortgage and a land charge on the property.
I decided with my sister (the other beneficiary of the estate) to keep the property, as it was all we had to remember our late mother by and of great sentimental value to us and to remortgage it to pay off the secured debts.
The mortgage was due for completion today and it's just our luck that we've now been served with this notice which is stopping the mortgage from being completed.
I've spoken to the creditors solicitor which is Morgan Solicitors to try and discuss a settlement however they're not prepared to accept anything lower than the full sum which we can't afford to pay.
Now the thought of having to sell our late mothers home is causing us a lot distress and to think that we might have to sell it to pay off a comparatively small sum is quite hard to take.
Is there anything that can be done? Or do we just have to sell the property and pay?
Any help and advice anyone might have would be greatly appreciated.
I've been advised it would be worth avoiding the court proceedings as this will just add their legal fees to the settlement however I'm not sure if we were to plea our case to the judge perhaps he/she might find it immoral to be claiming a deceased persons debt that's over 12 years old and I could also mention the fact that my sister was planning on moving in to the flat with her boyfriend and that now they won't have anywhere to live. I don't know if judges are lenient to that kind of thing or not.
Thanks for any help.
Was wondering if anyone could help me.
My mother sadly passed away last year intestate. I'm the executor and I've been administering the estate. All was pretty much done and finished with up until recently when a lady showed up at my door step, addressed me by my full name and served me with an Insolvency Administration Order with a massive grin on her face.
Was not a pleasant surprise... I felt like fly kicking her off my property for being so sneaky.
Turns out my mother had an outstanding debt with this creditor, Cabot, and they now want to be paid £11,000 or go to court where they would try force a sale of my late mothers' home.
The debt consists of a loan and a credit card. I've asked them to provide me with all related documents and they've forwarded me a credit agreement preference account document for the loan but nothing for the credit card. They've also included payments that my mother had been making of £2 a month to Cabot as the accounts had defaulted back in 2005. These payments stopped in April last year when I closed her bank account.
They also mentioned that they had tried to contact me regarding the matter but failed to get a reply from me which is why they've started the court proceedings. I've never received a single letter of theirs...
To give you a little background on my mothers' affairs, she only had the property as an asset and a few liabilities which amounted to less than the value of the property. So the estate is solvent and I'm not even sure if the petition for insolvency is correct.
The other liabilities were partly unsecured debts who've all been contacted and have all been kind enough to wave the debts over the phone, although I haven't got any written confirmation which I'm now regretting not getting, and the remaining liabilities were a mortgage and a land charge on the property.
I decided with my sister (the other beneficiary of the estate) to keep the property, as it was all we had to remember our late mother by and of great sentimental value to us and to remortgage it to pay off the secured debts.
The mortgage was due for completion today and it's just our luck that we've now been served with this notice which is stopping the mortgage from being completed.
I've spoken to the creditors solicitor which is Morgan Solicitors to try and discuss a settlement however they're not prepared to accept anything lower than the full sum which we can't afford to pay.
Now the thought of having to sell our late mothers home is causing us a lot distress and to think that we might have to sell it to pay off a comparatively small sum is quite hard to take.
Is there anything that can be done? Or do we just have to sell the property and pay?
Any help and advice anyone might have would be greatly appreciated.
I've been advised it would be worth avoiding the court proceedings as this will just add their legal fees to the settlement however I'm not sure if we were to plea our case to the judge perhaps he/she might find it immoral to be claiming a deceased persons debt that's over 12 years old and I could also mention the fact that my sister was planning on moving in to the flat with her boyfriend and that now they won't have anywhere to live. I don't know if judges are lenient to that kind of thing or not.
Thanks for any help.
Comment