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Hello! My other half has a bankruptcy hearing on 29/1/2020. Its all complicated so in a nut shell... he borrowed £1.2 million from a bridging lender. He paid every month on time and in full the interest payments that were due. The loan was for 12 months whilst he finished doing up and then it was supposed to go onto a Buy to Let mortgage. There was a delay in refinancing, not his fault, but the new lenders, and so the original lender brought in LPA receivers who then sold the property for £450,000 even though it had three valuations for £600,000 leaving him owing them £120,000. This is the amount they are bringing the bankruptcy for.
It seems though the contract has been assigned in October 2018 - he only found this out when he got the bankruptcy pack. So the people who are bringing the bankruptcy are not the people he thought he had the contract with. He has had no written notification at all. The info in the pack is an assignment notice issued on the 15th October 2018 to his old address even tho he has email proof he notified the lender of his change of address on August 4th and they acknowledged this on August 7th and he had a post redirect on from his date of moving.*
Curiously - the original lender is showing as a dormant company and has been through out all of this. We're guessing it was assigned as if they were dormant taking in the money from the sale would have been against 'not trading' and impacted on their corporation tax status or something like that.
He has no money so legal advice is not something he can get help with.
He wants to dispute that he owes the petitioner any money on the grounds of assignment - can he do that? Is it possible or clutching at straws? If he is successful can the original lender then bring action against him? Or does assigning it mean they have no interest in it at all now.
There are other issues:
- he doesnt know or agree to the figure they say he owes them. They havent responded to a DSAR and they dont give statements etc etc. He wants to counter sue for a similar sum as
- the LPAR receivers sold the property for less than it was worth and so created this debt. There was a cash offer on the table for £550,000 which they refused to take up after discussing it with the Lender.
- he doesnt know how the proceeds of sale were used or the costs incurred by the LPAR.
- he has no money and no assets and mental health issues all of which they are aware of.
Hes trying very hard to work on this but its just so hard without advice and he just cant afford that on single persons Universal Credit.
Any ideas would be massively appreciated. He has lost everything and this will be the final kick in the teeth.
*Thankyou!
*
It seems though the contract has been assigned in October 2018 - he only found this out when he got the bankruptcy pack. So the people who are bringing the bankruptcy are not the people he thought he had the contract with. He has had no written notification at all. The info in the pack is an assignment notice issued on the 15th October 2018 to his old address even tho he has email proof he notified the lender of his change of address on August 4th and they acknowledged this on August 7th and he had a post redirect on from his date of moving.*
Curiously - the original lender is showing as a dormant company and has been through out all of this. We're guessing it was assigned as if they were dormant taking in the money from the sale would have been against 'not trading' and impacted on their corporation tax status or something like that.
He has no money so legal advice is not something he can get help with.
He wants to dispute that he owes the petitioner any money on the grounds of assignment - can he do that? Is it possible or clutching at straws? If he is successful can the original lender then bring action against him? Or does assigning it mean they have no interest in it at all now.
There are other issues:
- he doesnt know or agree to the figure they say he owes them. They havent responded to a DSAR and they dont give statements etc etc. He wants to counter sue for a similar sum as
- the LPAR receivers sold the property for less than it was worth and so created this debt. There was a cash offer on the table for £550,000 which they refused to take up after discussing it with the Lender.
- he doesnt know how the proceeds of sale were used or the costs incurred by the LPAR.
- he has no money and no assets and mental health issues all of which they are aware of.
Hes trying very hard to work on this but its just so hard without advice and he just cant afford that on single persons Universal Credit.
Any ideas would be massively appreciated. He has lost everything and this will be the final kick in the teeth.
*Thankyou!
*
