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Mortgage Problems
a_saver
Posts: 12 Forumite
A friend of mine has recently lost his job. He is also in the process of getting a divorce. He bought a house with his wife for about 150K. There joint salary at the time was about 30K. He has always paid the mortgage and continues to pay the mortgage. However, now that he has no job and his wife has left with their son, he can no longer afford the payments. To make matters worst the mortgage is with Northern Rock. He has asked NR to let him rent out the house but they have refused. He has had a payment break but that took numerous letters to get NR to agree to it. When they were sold the interest only mortgage they were advised not to get an endowment but sell the house before the 25 year term expired. Is there anything my friend can do?
TIA
TIA
0
Comments
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Forgot to mention that he has tried to sell the house but its no longer worth what the mortgage is and his wife wont sign the papers to sell it.0
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Sit his wife down and explain that whatever shortfall/arrears there are will be chased for, including pursuing her as jointly and severally liable.
Sell it quickly. Better a small loss, than 6-12 months of growing arrears on top.0 -
He has tried selling it in the past and managed to get a buyer but his wife refused to agree to the sell as she wanted much more than its worth. The HIPs pack has lapsed and he doesn't want to have to pay for another for that to lapse again. She is in a council house and is on benefits so she's sitting pretty with her new boyfriend. She has told him to bankrupt himself as she wont be that affected by it.0
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Is there any way he could say the mortgage was missold? The mortgage is for 5 times their joint salary. They provided payslips to NR so NR would have known exactly how much income they had.0
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that would have been the criteria , like many other providers then....0
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Yeah I doubt this was misold. No way on earth would a broker have given that advice, not without very very good reason and something else in the background. NR dont give advice direct so they would have not done it.
I sold a fair few NR togethers, hated them but if used correctly they could be useful. Interest only mortgage were put over to the clients side of the court, I made them sign saying they wanted it and our network was happy with this. No way was I putting my name to high LTV interest only with a view to change it in the future! Should have refused them but I was trying to earn a living!
To be honest, its "look love, we either sell it or its repo'd""Banking establishments are more dangerous than standing armies." Thomas Jefferson
"How can I believe in God when just last week I got my tongue caught in the roller of an electric typewriter?" Woody Allen
Debt Apr 2010 £00
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