Preferential payment?
If a family member is willing to pay off one of my secured loan now, prior to bankruptcy in 6 months, would that be considered `preferential payment`? Would a trustee make me pay back?
If a family member is willing to pay off one of my secured loan now, prior to bankruptcy in 6 months, would that be considered `preferential payment`? Would a trustee make me pay back?
It is only considered a preferential payment if you pay-down the debt. If a co-signer or a someone that is not indebted decides to pay down your debt you should be ok – keep detailed records in case someone questions the transaction(s) so that you can show where the money came from (ie it didn’t orginate with you).