My legal standing

[Tony07]

My business is nearly insolvent I owe a large debt which my house is bound to, I have another debt which I think I might be a garantour plus I have 28k directors loan. My question is if I cannot pay the loans can I go to prison? The directors loan was taken when the company was doing well, so I never took it fraudulently!

 

[KAC]

No you won't go to prison although you may lose your house

Speak to an insolvency practitioner. @Lisa Thomas or @Gavin Bates may be able to help you

 

[Tony07]

Many thanks & I have sent a message to both Lisa & Gavin

 

[Lisa Thomas]

Thank you, I have replied Tony.

 

[ethical PR]

I think the worst thing that could happen is that they could put a charge against your house if there is enough equity in it.

 

[Mr D]

I think the worst thing that could happen is that they could put a charge against your house if there is enough equity in it.

Depends.
CSA did that with a guy who owed a load of money. In 1998. He's still got it and plans to keep his house until he dies. In other words he's never going to pay.

 

[Lisa Thomas]

Bankruptcy could be forced so property could be repossessed and sold.