SoA - Question 3.6

peachyprice

Hi all,

I've started filling in my forms and have got to the following question:

"Payments to Creditors

You must provide information about any payments you have made to your creditors in the last two years, unless those payments were in the ordinary course of your business or represented a regular payment under an agreement, eg a monthly payment to a credit card.

3.6 In the last 2 years have you made any payment to a creditor, other than in the ordinary course of business, with a view to improving the position of that creditor in case you became subject to insolvency/bankruptcy proceedings?"

We took out a secured loan 21/2 years ago to pay off CC's & Loans but not to improve our position in case we went bankrupt, as this hadn't even entered our heads, but do i still have to put details of who I paid here in this section?

TIA

fermi

peachyprice wrote: »

We took out a secured loan 21/2 years ago to pay off CC's & Loans but not to improve our position in case we went bankrupt, as this hadn't even entered our heads, but do i still have to put details of who I paid here in this section?

If it was 2 1/2 years ago, and not not intended to favour any creditor in case you went BR, then no.

That's really "fishing" to see if you paid a relative/friend or business associate off in a preferential way, knowing that your other creditors would would suffer instead because of the bankruptcy.

peachyprice

Thanks Fermi, that's how I read it the first time, then I started over analysing! Only 2 sections to go now.