Abbey wants £900,000 within a week, HELP PLEASE

Kez100

Could check our Richard Gere. See if he is still up for it.

On a more sensible note - you need to talk to them (perhaps through a professional intermediary who is hot on these things) with full details of your plans for repayment in March. Are repayments in March for definite or are you just hoping cashflow improves? What is the source of these March funds?

NeedHelpNowASAP

maninthestreet wrote: »

Sounds like Abbey are calling the mortgages in. Did the letter mention anything about repossession?

No, but they stated that they would use all of their legal power to get the money.

silvercar

Some of the jokers on here would do well remember the forum rules to be nice to posters. Suggesting Ebay/ quidco to someone in urgent need of advice is not helpful.

silvercar

Presumeably they have a charge on the properties and that their terms allow the proceeds from the sale of one property to be usd to clear other mortgages.

First you need to talk to them, outline the plans you have to repay them. They don't want property on their hands, they want control of the mortgages before arrears get out of hand. I would assume that they have a team that deal with high level loans, who may be more proactive than run of the mill repossessions.

Worst case is they move to repossess one or more of the properties. If they actually look at things properly, they would logically go for the one that is highest value first. Your problem is that they won't give you money back from the sale of one property to refurbish another. Once they have sale proceeds they will use it to reduce loans. Whereas if you sold yourself you could use any equity on one to spend refurbishing another.

Repossessing your residential home (provided that too isn't a security for the loan), would be way down the line. Only after all the properties that Abbey hold a charge over have been repo'd and sold, would they seek a charging order on your home. Even then they would need to go back to court to repo.

Radiantsoul

NeedHelpNowASAP wrote: »

No, but they stated that they would use all of their legal power to get the money.

That is presumably to raise power of sale, seek an order for possession, enforce the possession order and sell the properties.

I assume you own properties that are incompletely renovated, have not made recent payments on the interest and are facing falling prices. The bank are probably desperate to get in and sell before falling prices mean there is negative equity. On £900k the interest is going to be £4-5k a month. If the properties were worth £1m they are going to be declining in value by £8k-£10k a month(assuming a modest 10% yearly fall in prices). I assume you lack the working capital to raise the sale value of the properties. The equity to the bank is thus falling by £15k a month and so they are probably desperate to get you to sell or repay asap.

My opinion is you NEED to speak to an insolvency practionner, just pick up the yellow pages and call one. You are either personally insolvent or running a company that is likely to be insolvent.

NeedHelpNowASAP

Ok, thank you for the advice, will update you on what happens.

Tassotti

Have you actually spoken to Abbey?

If you have missed three months payments and not contacted them, this is their way of trying to get you to speak to them regarding a payment plan.

Forget about insolvency practitioner for now.

Abbey would rather not repossess, and will probably accept an agreed payment plan.

Make sure you speak to a manager.

Make a plan and STICK TO IT.

Be Lucky

Tass

flyinglemming

I suggest putting together a comprehensive balance sheet showing all outgoings and how much money you have coming in.

Book an appointment to see the bank manager and show them the hard figures; if the numbers add up to show that you are able to maintain paying the bills then it imho it may be enough to persuade the manager to lay down his guns. If not, then it may be possible to negotiate with the manager by examining and cutting some expenses from the balance sheet.

Hope things work out.

Juno_Moneta

Sorry to hear your situation. Without judging it sounds like you may have overstretched yourself with 3 renovations running in parallel. Renovators often get bitten by the bug and buy more properties whilst trying to finish another. Part of the blame lies with tv stations who have bombarded the public with house programs over the last few years making it look so easy.

The best advice i can give is that you should sit down with your family and have an open and honest discussion about your situation. Success is not guaranteed when dealing with houses like this and you may need to accept failure before you are emotionally and mentally ready to move on.

If you become bankrupt you will still have your family around you. Nobody can take them away. Focus on them and do what you have to do. Good luck.

NeedHelpNowASAP

I thought I would update the situation.

The issue has now been resolved though finding funds and we are now finally financially stable.

Thanks everyone for the help.