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Scary letter!

We haven't posted for a while (yesterday aside!) while we get ready to move out of our flat, but now I think posts may become more frequent!

Our mortgage came with an unsecured loan (which we were going to use for consolidation but ended up spending the majority on home improvements), and we haven't been paying it along with other non-essesntials while we save for going BR, and putting a little aside in case of any bother with rent etc.

Today we had a letter from the mortgage co. ref. the unsecured loan, saying that because we haven't contacted them since a default letter that we (apparently) received a month ago, the agreement is now cancelled and we need to pay the full amount now or pay £6 per day interest on top until it is settled in full!

They then go on to say that if it is not paid in full in 14 days they will instruct solicitors, go to County Court, we cover all costs etc.

We were of course going to include this rather large sum as part of our BR figures. Does this change anything? Should we do anything? We move at the end of the week, were going to give it a couple of weeks then go BR (we are moving into rented accomodation and there is no mention of BR in the contract - does that mean we are OK on the home front)?

Thanks all for reading, we are so busy trying to get things sorted here, the letters are starting to stress my OH quite a lot, and the only assurance she believes from me is when I show her posts on this forum!

Thanks, as always, for reading :)
BSC member 204

Comments

  • LilyBart
    LilyBart Posts: 1,171 Forumite
    If there's no bankruptcy clause in the tenancy agreement, you're fine as far as that goes. Bumping this one up to see if someone has practical advice re the unsecured loan. Would suggest in first instance that you write to them and point out that you never received the previous letter, but someone else here should have direct experience of how to handle this.
    Good luck
    Lily
  • fatou256
    fatou256 Posts: 1,289 Forumite
    i was in the same situation i had to move out in our new tenacy they were no clause of BR and the fact they are no arrears the OR didn't inform our landlord that we are BR . although they said they could see our name in the local paper if they wanted too !

    i also put on my sttemtn of affair that i didn;t want my landlord to knwo about our Br as we were not in arrears with them and wanted to stay there as we had just moved in and also to keep it own good terms
    BSC number 183
  • Thanks both for the advice, I do hope and pray we will be OK with tenancy agreement, I don't want the OR to let the landlord know either, hopefully they will understand that, either way there is no clause in the tenancy agreement about BR, so I am hoping that means that even if the landlord was told they couldn't do much. We are definitely good for the rent given the chance!

    Does anyone have any ideas about the scary letter, is there anything that I should do, or should I just leave it/ignore it as I have done with most other creditor letters?

    Thanks
    BSC member 204
  • id say move, dont tell anyone and go BR asap

    put a mail redirect on the old property NOW (takes a week to kick in) and just go

    your new LL proabably only wants his rent on time.

    the US loan is inc in any BR
    Now we all know how it felt to play in the band on the Titanic...
  • Sunk
    Sunk Posts: 423 Forumite
    By the time that goes to court you won't been seen for dust.....
    Good luck, BR asap.
    BR 08/05/2008
    ED 29/10/2008
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