Rent is the only arrear and unsure what to do or how to handle it

cazzie_s

My partner and I are unemployed. We have 2 small children (3 month old and one about to turn 2 years in May). I am on my partners claim for JSA, claim the benefits we're entitled to: child benefit, tax credits, housing benefits.... We started falling behind with rent after my maternity pay ended and I chose not to return to work. 6 months later my partner became unemployed (June 2008). I was unable to have my own JSA due to insufficient NI contributions. My partner gave me money to suppliment the fact I had NO INCOME apart from son's child benefit and tax credits, so we could pay bills including rent. My own debts since 2006 have been negotiated to the lowest possible (£8 a week between 3 creditors - not bad when a debt management company wanted £20 a month to 'negotiate' on my behalf!). Due to a calculation mistake at HM Cust. & Revs, my partner and I had a nice amount of money into our account and we chose to pay utility bills which I am happy to say have been caught up with and are now manageable. Unfortunately we private rent in a small 2 bedroom flat and the housing benefit falls short of the monthly rent. Landlord/letting agent charges £620 and our LHA pays £572. We cannot make up the shortfall and each month the arrears get higher. Now we are at least £2000 behind with rent, have not heard from the letting agent, landlord or their solicitors since early March. So I will be making contact today. Our tenancy agreement says that should arrears reach £1000 then procedures would be made to recover the rent and eviction would be likely. We now have arrears which are twice that and I dont know what to do. I have suffered depression in the past and my partner has health problems involving hospital visits. His family live so far away. My partner isnt very good with words so I have had to do all the phonecalls and form filling when necerssary. Friends have not been in touch since I had my first baby (in 2007) and my family are also suffering unemployment and rent areas so dont know who to talk to.

Advice needed as rent is the only financial arrears that we have and I dont know where to get a hold of £2000. We are on the housing list albeit choice based lettings but they have plainly said that anyone with arrears wont be helped first.

Thanks for any help and for any important phone numbers. CAB will be contacted this week first regarding our situation.

Caz

sooz

Are you sure the arrears are that high?
There is only a £52 per month difference between you LHA and your rent. Or have you missed other rent payments?

cazzie_s

I decided not to return to work after my son was born (May 07). I was not entitled to JSA as not enough NI contributions were made. We were making rent payments and fell behind as I had no income my partner was giving money for bills and food. He subsequently became unemployed lasty year and we applied for Housing Benefit. Before I gave up work to look after our son and my partner was employed our arrears were at least £900. The LHA paid the rent into my partners account which is Halifax and he had charges coming out of his ears hence not the full amount was going to the letting agent. Now the money goes direct.

sooz

ok, that makes more sense.
Has your partner looked into reclaiming his bank charges, if these caused you to go into arrears when you were both still working? It's not a quick solution though.
What was the last contact you had from the solicitor?
You need to find out exactly how much your arrears are.

When did you move in?
How long was your inital tenancy agreement?
Did you pay a deposit?
Have you renewed your tenancy agreement at any point since then? Or are you on a statutory periodic tenancy now (rolling contract)?
Have you been issued with any formal notices - either saying section 8 or section 21 (this may have been issued with the tenancy agreement a long time ago)?

cazzie_s

Getting my partner to do anything is a chore in itself. I am going to be sorting out my bank charges as well as his.
I contacted the letting agent a short while ago, but the lady who often deals with us is off this week, so the receptionist has to ask one of the company partners and get back to me. I heard from the solicitors early March and nothing since. The lady at the letting agents wrote to us at the end of March telling us their computer hadnt not generated a 'Rent Due' entry last May and so our arrears have gone to almost £2000 (prior to their computer error it was £1400 to £1500), so that has upset and angered me.


When did you move in? We moved in March 31 2006

How long was your inital tenancy agreement? 6 months, but I believe its a rolling contract as we havent signed anything since the original tenancy.

Did you pay a deposit? Yes we paid a deposit - nearly £900

Have you been issued with any formal notices - either saying section 8 or section 21 (this may have been issued with the tenancy agreement a long time ago)? Not been issued with ANY notices whatsoever.

sooz

I would suggest you speak to shelter asap.
http://england.shelter.org.uk/

I don't want to scare you, but at that level of arrears & on a periodic contract, I'd expect to get both notices (8 & 21) very very soon, & to be asked to leave between the next 2 weeks (via section 8) & 2 months (section 21) - although with court dates, this will take longer & give a you a bit more time.

You need to start making plans for where you can move out to, or to repay the arrears asap. To avoid a section 8, you need to get the arrears under the 2 month mark (£1240). Even if you do this, they can still issue a section 21 which is not related to arrears.

Try the debt free board for ideas how to trim your budgets even further to try to make some repayments.

cazzie_s

Thanks Sooz for the advice and help. I've just heard that its now with the County Court and a date is yet to be set. £1240 is an amout that I cannot get a hold of and I so wish I could. Everytime I get wrapped up in trying to sort this out I break down and I'm sure it affects my son and my partner. Whether it affects my 3 month old daughter I dont know.

sooz

Call shelter. Now.

If it is with the county court, you must have been sent a notice. Check & recheck through all your paperwork. You need to find out which notice it was. Or try calling the court to ask. Shelter will need to know this to be able to offer advise.

re the amount, you need to try to reduce your arrears to UNDER this amount. So you need to try to find or borrow £761ish. This is IF they are trying to get you out with the section 8.

CheeseCat

As your partner is not working could you perhaps get a job to help with the finances, I remember when I lost my job that the benefits given don't really cover anything. I know you will have to work a certain amount to make it worthwhile but I think I am right in saying you can claim an amount of benefits and work part time. Someone can probably clarify that.

I know different areas are different but the rent does sound quite high - are you not able to move elsewhere whilst disputing this claim so the arrears don't get any worse?

SouthCoast

Shelter as above, and are you on your Local Authority Housing Register?

cazzie_s

Yes we are on the housing list. But it has gone over to Choice Based Lettings with the neighbouring council. We have kept our 'waiting time' since 2006 BEFORE I fell pregnant with our first child and BEFORE we fell behind with the rent. We private rent and do feel that £620 for a small 2 bed appartment with a carport underneath is too high (there is no garden - front or back). It is open plan and no stairgate will fit to separate the kitchen to living room or the top of the stairs. Our health visitor has even written to the council to express her concern for the children and the cramped conditions.

UPDATE: Have been in touch with the local CAB and had a plethera of info thrown at me so have made an appointment next week to discuss our situation and action any plans. The local council are sending info out to us tonight regarding Disgretionary Housing Payments (possible backdating (?) too) and a gentleman from Bristol who is qualified with similar situations is sorting out a time to come and see us too. Even been suggested to have help from the local Trussell Trust for food and nappies for the kids so money can be used to pay for rent arrears. I am still waiting for Healthy Start vouchers for our children and have had no end of phone calls between HM Rev and Customs and to Healthy Start (and yes we do qualify for the milk tokens). I have had to fill out ANOTHER application form. Needless to say they will take up to a further 5 weeks to come through dispite me having tokens during my pregnancy and informing EVERYONE of her birth in January. So now waiting for info from council and gathering paperwork while the postman is due to delivery a letter any day now regarding the landlords wanting to go to Court. Our letting agent has the letter while we (about a mile away), are still waiting for our copy....

I feel this will be a long road and one with many knocks and bumps along the way...

Caz