How are you and hope all is well.
I am really depressed and confused as to how to solve my family's current situation and would like some advice:
Situation: My dad has a number of credit card loans with various banks (due to his gambling addiction) He did this while still in employment and is now retired (he is 60 years old now). He has not paid off the loan and the loan now sits at approximately $200K. He has no money, savings or EPF fund left.
Once mom and I found out about this debt, we did a title transfer of the house that mom and dad are living in to my mom (the house has been fully paid off). This was done recently (a few months back).
My questions are:
1) My mom and I cannot afford to repay the loan and if my dad decides to declare bankrupt now, can the law/creditors seize the property (even though the declaration of bankruptcy occurred after title transfer)?
2) We were told by the lawyer that did the title transfer for us that the title transfer is not wholly legal until it has passed a five year cooling period and during this five year cooling period, the law/creditors can still seize the property to service the loan. Is this correct?
Both mom and I are really lost and confused at this stage as mom is 61 and does not work and has any hardly any savings left and I am a newly wed trying to start a new family (saving for a home deposit and a baby).
Any advice is very much appreciated.
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asked on Jul 1, 2014 at 03:41
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