If you have a bankruptcy question you'd like to ask, just ask using this online form. All help is free.
Can A Bank Sequestrate Me For A Business Debt?
Question:
Ltd company trading for a year with a 20k overdraft. Company goes under due to current economic climate. Agreement signed on onset however never signed with renewal. No way of personally paying them back, house on the market and negative equity and lots of personal debt.
Bank threatning to sequestrate me, will they be able to do this and what are the steps? Can they take the property from me? I really dont want to go bankrupt what can i do as no way of paying them back.
Answer:
It is possible if you cannot service the debts or come to an agreement on repayment your creditors can make you bankrupt or in Scotland, Sequestration.
You may want to look into a Protected Trust Deed as an option to try and repay the debts. You would need to speak to an insolvency expert or account in your area regarding this but it may be away to avoid sequestration.
Thank you for letting me help you.
Jon
If you have a bankruptcy question you’d like to ask, just ask using this online form. All help is free.
Source: Can A Bank Sequestrate Me For A Business Debt?