Why should we help the liars who are going to get reposessed?

mouncey

People with mortgage difficulties deserve all the help they need. It's not as simple as tarring them all with the one brush and calling them liars.The biggest joke is Northern Rock who with my taxes included are one of the leading banks/building societies with the highest number of repossessions. Now that's a real scandal.

milliemonster

Not everyone who is repossessed or being threatened with repossession have lied to get their mortgage, many have been honest and hardworking people who have bought houses with mortgages relative to their incomes but due to job losses and changes of circumstances, have ended up in this horrible situation, please don't stereotype, its unnecessary and hurtful (my brother went through repossession 3 years ago when he lost his job), most people going through this are paying the price with all the heartache repossession brings, this is enough of a lesson for them to deal with

domcastro

mouncey wrote: »

People with mortgage difficulties deserve all the help they need. It's not as simple as tarring them all with the one brush and calling them liars.

I've only said not to help the liars. If people lose their jobs etc because of the recession, I don't mind that (so much). But, we'd all like to have a big house - I lived within my means and had an ex council house on an estate as my first property! Of course, I would have preferred to be somewhere else and I didn't like my house getting "egged" by the council teenagers - but that's why it's called a property "LADDER" - you start at the bottom. People weren't prepared to start at the bottom and lied. And the rest is history.....

_Andy_

milliemonster wrote: »

Not everyone who is repossessed or being threatened with repossession have lied to get their mortgage, many have been honest and hardworking people who have bought houses with mortgages relative to their incomes but due to job losses and changes of circumstances, have ended up in this horrible situation, please don't stereotype, its unnecessary and hurtful (my brother went through repossession 3 years ago when he lost his job), most people going through this are paying the price with all the heartache repossession brings, this is enough of a lesson for them to deal with

Re-read the original post.

"The people who lied to gain mortgages.."

The OP isn't generalising or victimizing everyone who's facing difficulties, just those that gladly lied about their income and committed fraud in the process.

domcastro

milliemonster wrote: »

Not everyone who is repossessed or being threatened with repossession have lied to get their mortgage, many have been honest and hardworking people who have bought houses with mortgages relative to their incomes but due to job losses and changes of circumstances, have ended up in this horrible situation, please don't stereotype,

To reiterate - my post is about people who are getting reposessed due to them LIEING on their mortgage application. My moany beef is with them. I'm not stereotyping - I haven't said ALL people who are getting reposessed are liars - that would be stereotyping

domcastro

mouncey wrote: »

:mad: :mad: :mad: :mad: :mad:

Mouncy - I don't understand why you're so cross with me. I'm sorry if you're having a hard time with your house

uzubairu

bockster wrote: »

i agree with op,
for too long, too many people have had the attitude of borrow as much as they'll let you, worry about repurcusions later. people have very little respect for good financial housekeeping these days. i for one would like to opt out of helping these people.

When we were applying for a mortgage in June 2006, we looked at what we could comfortably afford to pay (especially if one of us wasn't working), and then decided on getting a fixed rate for piece of mind.

The figure we worked out we needed was £115K.
When we visited the Nationwide for the application/interview, the assessment was made that we could loan £185K (combined income at the time of £48K). :eek:

We told the adviser that we only needed £115K, but she spent the next 10 minutes trying to get us to think about the extras we could buy for our new home if we loaned a bit more.
We stuck to our plan and borrowed £113K on a 10 year fixed rate of 4.79%.

Our combined income has risen since then, to £60K, so we've been overpaying for the past 2 years and owe £99K, with a plan to pay it off by the time the fixed rate ends in 2016.

It's easy to see how people were encouraged to spend/borrow beyond their means if they didn't have self control/discipline or education about money management.

opinions4u

I'm sure with a certain Mr Mandelson in government, people who forget to answer questions on a mortgage application form in a precise way will get a large salary and a place in the House of Lords.

domcastro

Uzubairu - Well done for sticking to your plan. I get cross when people try and sell me things I don't want. God forbid anyone who cold calls me on my mobile!! Times have changed - I remember when Nationwide wouldn't lend me 3.57 times my salary (the stupid woman kept telling me that as my salary was 28K I was a high-rate tax payer - she was stupid) - I went to the Halifax out of principle!!!

Debs12

The problem I have with this thread is that these boards are meant to be about money saving and helping people...

Lately there is too much of I told you..your own fault type people.

I see both sides.

I work for a council in homelessness you would be shocked at how much it costs to keep a single person in a homeless accommodation never mind a family...so imajine the cost of a work house.

I think some of the schemes such as morgage to rent seem better for the tax payer to save money.

Yes we are all entilted to our opinions and I also think some people lied (not me) and did borrow more than their means...however I think we need to think long term on what is best for the tax payer.

I am with NR I had agreement with princibles with other banks. I had about 20% deposit. I feel I am now being punished for not going with another bank. The bank got to check me out but I did not have the same rights to ask them about there borrowings and future prospects...I feel that NORTHERN ROCK LIED TO ME!!!!!!

My only problem is hous prices dropping (yes I should've been aware that may have happened) What I couldn't have known was that when that did happen banks would require a LTV rate of 90%. I couldn't have known as discussed that my bank would need to be nationalised...so I would have to pay the highest SVR in the market! I wouldn't have known that other banks would then have to go to the Govt but there customer would get away with paying 1.5% less intrest than me...

8 years ago I was on benefits. I went to Uniy now have a good job on over 30K a year and feel proud to have got myself of benefits and now paying taxes perhaps I shouldn't have bothered and that would have pleased people.