Hi,

I would like to ask some question about the bankruptcy.

If let say i and my brother sharing a name under 1 landed house, and the house have finish pay installment, so if happen my brother have been declared bankrupt, so will bank lelong the house belongs to my brother and me?

So if lelong the house, banker will able to sell the house back to me as i have half portion for this property? Or how they will work out for this case? i am worry that if bank lelong the house then i will be homeless

Looking for some comments from you all....Thanks

For your brother to be declared bankcrupt, I'm surprised that he still has equity in your house. Since this is the case, why not just transfer the name to only yours, ie sell the prop to you only.

The problem is i cant just telling him that transfer the name under only me...it sounds like too cruel if sister kick the brother name out from the property, unless he have conscience to transfer house to me. The house actually is own by my mother and she give the house to 2 of us...So i am doing some study at here, to prevent or to plan what happen in future if he is so happen declared bankrupt.

BTW, i dont understand about your reply about ''I'm surprised that he still has equity in your hous'', u means that if he declared bankrupt, he suppose no equity in this property?

Sorry if i am ask too much...

@nicolelim28,
It doesn't sound like ur brother is bankrupt - it's something that U "think" it might happen that's all

In order for your brother to be declared bankrupt, he will lose the house so before that, the only wise thing to do is to put everything in ur name

Y do U think ur brother's gonna be bankrupt ?

He is owned bank credit card about RM 80k, if i am not wrong. Last few weeks, i saw him received an legal letter from bank about to chase the payment about rm 1,300...so can blame me if i think he is going to bankrupt soon

Think you can advise him to talk to his banks to restructure to some sort of term loan. Stretch repayments and use house as security. AND stop spending so much.

Can also see AKPK for help.

If the the estate is under the company and there are only 2 share holder.

In the event of one declaring bankrupt, would the shareholder be automatically boot out from the company?

His/her shareholding will be seized or owned by liquidator or another party.

So basically, it just being replaced by another shareholder(s), you can't take over it nor you are controlling 100% afterwards.

Is it answering my question?

Hmm..i think better ask him to transfer the hse title to you. Do it be4 he is declared bankrupt, i think grace period is 6 months?

Buy off his share of the asset.

this is the legal process tenure...

1)legal letter
2) summons (maybe advertise in newspaper)

this takes at least 4month

during the stage from summons to bankrutpcy...their is a need to extract the copy of the judgment and serve it...this takes 4 months also...

then bankruptcy proceeding ..this takes another 6 months to 9 months...

on average 18months (this is based on the assumption nobody delays or drags the matter)

the once declared bankrupt they will call the bankrupt in for a meeting and discuss settlement...this is also when they retain ur passport...

with regard to the property situation legally banks can go for his share of the property but to be honest not many banks take this option as it is difficult to locate a property due to BAFIA unless

1) your are residing in the same house
2) still possess a housing loan..

but it it is advisable to transfer the name to avoid any FUTURE inconvenience...

gd luck

Bankrupts can't be directors wat, isn't it?

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Added on March 25, 2009, 9:53 amYes, AKPK if not yet bankrupt. Highly recommended. (I also want them to help me consolidate my mortgage into one lower omnthly paments arr...)

This post has been edited by meejawa: Mar 25 2009, 09:53 AM

honestly go to AKPK before the Banks proceed with legal action...there is an understanding between Banks and Bank Negara that once a cient appliation is approved under the AKPK programme banks will not proceed with much further action.

Yes, I am thinking.
If one of the director is bankrupt, he automatically lose the directorship and loses the share.
All must be drafted out by a lawyer to make sure it's fool proof.

He lost the company after he first declare bankrupt but before being attack by creditor.

Anyone can answer my question on this ?

The statement no make sense larr. How can you lelong your own house? If you can do that then you can straight away buy back wat. If the BANK lelong your house, then you have to go sesak with the rest of the bidders.

The creditors will try to recover your bro's portion of the house, so the way to go is reach a settlement where YOU pay for his half, and then take ownership of the house. They can't just take a house with 2 names if you do not consent to it. You are not the bankrupt. To be safe (not sure if this is doable, but if can, good), put out a couple caveats in your house, just to be sure.

Hi, I have a similar problem as well. A house is under my name and my uncle's name. They're paying for the house but there's arrears that's yet to be settled. If the bank lelong the house, will me and my uncle be declared bankrupt?

if the balance from the auction in arrears of rm30k...yup