behind on mortgage, could we reduce it?

joolley

Will that £200-£220k be after paying off your debts? I don't think so based on what you've said but I'm just clarifying. Surely you could buy a house outright? Otherwise, rent, rebuild your credit and save like mad.

slummymummy66

Yes thats after paying of debts, we owe £10k but the debts have been passed onto link/cobot who are a nightmare and constantly phone the house and mobile upto 30 times a day! they are horrible so thats another bonus to paying off our bills just so we don't have to deal with them anymore.

slummymummy66

you would like to think you could buy a house for £200k but around here you would be pushed to find anything near decent for less than £250k,

opinions4u

You need to talk to Halifax.

The system will (rightly) decline you but a Business Assessor can over-ride that decsion if he/she is happy that you can meet and maintain the new commitment and that your circumstances mean that it is unlikely that you will go in to arrears again.

The process may take a few days.

Do NOT pay any fees until the Business Assessor has made a decision - they are quite within their rights to decline you.

slummymummy66

Would i speak to a business assessor in the branch or over the phone, out of interest have you dealt with them.
We have had a mortgage with halifax for 17 years and this is the first time we have been in arrears so i was hoping this would go in our favour but i think like most things these days it all goes through the computer and if the computer says noooo then your up against a wall.
Thanks for the advise i'll arrange speaking to one straight away.

opinions4u

slummymummy66 wrote: »

Would i speak to a business assessor in the branch or over the phone

You wouldn't speak to one. You'd speak to a mortgage adviser in branch or by phone.

out of interest have you dealt with them.

I used to be one! But not in the current climate, and underwriting criteria will be very different now.

We have had a mortgage with halifax for 17 years and this is the first time we have been in arrears

Although £7k is a significant sum and will be a genuine concern for somebody who has to make a decision to lend.

so i was hoping this would go in our favour but i think like most things these days it all goes through the computer and if the computer says noooo then your up against a wall.

Computer will say no. You then need to get the human touch involved.

You need to clarify:

- why you went in to arrears
- why it wouldn't have happened with a smaller mortgage
- what has changed to stop it happening again
- are you paying a monthly payment now that exceeds what the new payment will be?
- why this will solve all your financial issues

Even then, there's no guarantee of success. Every case is different.

Boozer

Just a quick question for someone, if they sell and put money in the bank without buying somewhere else, would/when may they be hit for CGT if it would apply to them???

opinions4u

Main residence is exempt from CGT.

Dan_1976

Proceeds are from main resi so CGT should not be an issue.

Slummymummy I think this one is simple. If it really is a living hell your going through sell the house, take the money, rent for a year or two then try to buy.

I took the scary step, I tried to keep my business going but it was to young to cope with the "crunch" I let it go on to long thinking if I worked my nuts off it would go away. Repo or worse will take years to clear from you credit file. Put family life first and get out of debt.

Before you do this though talk to as many people who can help as pos. Consumer credit council, National debt line etc, they are very good.

Good luck

SouthCoast

A visit to The Debt Free Wannabee Board would be beneficial.