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Good news from OR!
wayforward_2
Posts: 285 Forumite
Went BR on friday and just had a call from a lovely lady at the OR office. She has booked us in for a phone interview on Friday but asked if there's anything immediate i need to discuss.
Explained about my part time self employed business but that i'd set up the Co-op accounts for after BR to allow for that and she was fine. Said the only other thing i would need to explain is about the bungalow we rent out. She said we wouldn't be able to collect any rent - they have to write to our tenant and collect the rent directly but that they do not make any payments to the mortgage company. This obviously would mean that we default on the mortgage (it's up to date at the moment) and the property would be repossessed and the £35k shortfall included in our BR.
I queried this slightly but accepted that we would lose the property (i had anticipated this). Anyway - she called back about 15 mins later and said she's had a read up and that we CAN continue to collect the rent and pay the mortgage and that they are happy for my parents to continue to subsidise the small monthly shortfall!!!!
Yeay!! I can just start to feel a bit of relief creeping in - am now not nervous at all for the interview on friday as she is so nice!
Explained about my part time self employed business but that i'd set up the Co-op accounts for after BR to allow for that and she was fine. Said the only other thing i would need to explain is about the bungalow we rent out. She said we wouldn't be able to collect any rent - they have to write to our tenant and collect the rent directly but that they do not make any payments to the mortgage company. This obviously would mean that we default on the mortgage (it's up to date at the moment) and the property would be repossessed and the £35k shortfall included in our BR.
I queried this slightly but accepted that we would lose the property (i had anticipated this). Anyway - she called back about 15 mins later and said she's had a read up and that we CAN continue to collect the rent and pay the mortgage and that they are happy for my parents to continue to subsidise the small monthly shortfall!!!!
Yeay!! I can just start to feel a bit of relief creeping in - am now not nervous at all for the interview on friday as she is so nice!
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Comments
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Great news - so does this mean you can also keep the bungalow?
:j :j
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So it seems - unless the mortgage co have a problem with it - but there are no arrears and its in negative equity so don't see why they would force us to sell.0
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hi wayforward are all owners of the rented property bankruptHi, im Debtinfo, i am an ex insolvency examiner and over the years have personally dealt with thousands of bankruptcy cases.
Please note that any views i put forth are not those of my former employer The Insolvency Service and do not constitute professional advice, you should always seek professional advice before entering insolvency proceedings.0 -
We had a similar thing with a property we rent out, although We did know beforehand we could continue to pay the mortgage, we kept the property and are now discharged and with the mortgage payment dropping to £80 a month when the income is £360 that was very nice,
However we did think long and hard if we wanted to keep it or not, our shortfall would probably only be 2k but more important we realised we could afford the mortgage with no tenant in it, even if it went to previous levels of £300
It is not always wise to keep them. someon i know kept a rental property, but it lost the tenant and was empty for 8 months! the mortgage repayment put him into serious trouble again... he got through it due to the interest rate drop but he was very worried.0
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