Help!

Anxious15

I am currently in the process of filing for Bankruptcy. Fortunately I have the help through the British Legion too.
I am currently waiting for them to send me my bankruptcy petition. One of my creditors though, is a family member (on my husband's side)
There was no legal documents signed for this loan with family member, it was all just word of mouth etc. I have been paying family member up until last month, not because I could afford to, but I felt I had too. I know this can/will go in to my bankruptcy and I will be looked down on, for paying this whilst not paying my other creditors, I'm just so scared
We are not in contact with so called family member now, however there are grandchildren involved and I really don't know what to do for the best!

fermi

How much are we talking about here, and for how long?

There are monetary limits normally on what the OR will pursue, even if they should consider it a preference.

Anxious15

fermi wrote: »

How much are we talking about here, and for how long?

There are monetary limits normally on what the OR will pursue, even if they should consider it a preference.

Its for around £8,500. There was no time period really, I was paying £200.00 PM, I've already paid them £4,500 back, as I borrowed £13,000.

fermi

You can read this:

https://www.insolvencydirect.bis.gov.uk/TechnicalManual/Ch25-36/Chapter31/part4A/Part%202/Part%202.htm

but preferences can be complicated.

OR may not go after a preference even then if less than £5K, but I would not like to say for certain.

I would be seeking some professional advice on the issue.

Anxious15

Sorry Fermi, its not letting me view the link.