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Future Neg Equity

I think this might be a bit of a “dense” question – because I’m sure the answer is yes.

But I would be so grateful if you could confirm the answer.

Lets say you go B/R today 12 8 09, with an automatic discharge on 12 8 2010.

You currently live in a house, it’s up for sale (or will be repo’ed) with negative equity of £27,000.

Although the debt isn’t “fully known or realised” - it will go into your B/R pot won’t it?

Say the negative equity isn’t “established” until October 2010 – i.e. after the automatic discharge

Will it still be included in the B/R?

Comments

  • peachyprice
    peachyprice Posts: 22,346 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    Yes, it will always be included in your BR, regardless of how long after discharge it is.

    hth
    Accept your past without regret, handle your present with confidence and face your future without fear
  • script
    script Posts: 718 Forumite
    I thought so - but thanks for confirming it.
  • debtinfo
    debtinfo Posts: 7,012 Forumite
    Hi script, it is called a contingent liability meaning that whenever the liability is realised it will be included
    Hi, im Debtinfo, i am an ex insolvency examiner and over the years have personally dealt with thousands of bankruptcy cases.
    Please note that any views i put forth are not those of my former employer The Insolvency Service and do not constitute professional advice, you should always seek professional advice before entering insolvency proceedings.
  • script
    script Posts: 718 Forumite
    Now I know what it's called - many thanks
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