Author Topic: Loan Guarantor and Bankruptcy  (Read 3615 times)


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Loan Guarantor and Bankruptcy
« on: Mar 11, 2009, 12:26:25 PM »
Hi All,

I am in a dilemma. I acted as a guarantor for a friend whom I thought was trustworthy.He borrowed £15000 in 2006 from a finance company at a ridiculous interest rate.So far he has repaid £8000 but he started defaulting on his loan in 2007. The creditors have written me series of letter demanding payment from him.They have threatened to make me bankrupt.I have tried unsuccessfully to get my friend to sort out this mess.He now avoids my phone calls and when he does answer,he is so unremorseful and we end shouting at each other.This has been ongoing for 6months. The creditors have issued  me a statuaory demand notice.My friend is still very unwilling to settle his debt.His excuse is that the economy is in recession so the debt should be written off. I have been issued a petition for bankruptcy and the court case is nextweek.I do not want to be declared bankrupt so I have been able to raise the money, £15000, interest free from another friend.

My question is, if I pay clear this debt, is there anyway I can force my so-called friend to pay me by going to court or using balliffs?

Thanks .