Creditor refusing lower payments

Xbigman

FLM are the lowest of the low. They will lend to anyone with a guarantor (who is a homeowner) no matter what their circumstances because they can scr*w the guarantor. What makes this interesting is that the guarantor is dead. On top of which the guarantor also had half the money, and now leaves the OP to pay it all. Personally I have some sympathy with the OP and none with FLM.

So the question now is, what has happened to the guarantors property? FLM should have had a charge on it so the loan should have been cleared as part of the settlement of the estate. If FLM have not got a charge on that property then tough on them. As a matter of urgency inform whoever is handling the estate that there is a POTENTIAL liability to the decease's estate in the form of a guarantee on a loan.
Here is something I don't advise very often. The OP should stop paying the loan. Inform FLM, in writing, of the details of whoever is handling the estate and tell FLM to pursue the guarantor (or in this case their estate). The guarantor in this case had half the money and given that FLM won't be helpfull, this is the only way to protect the OP from a massive liability that they can't ever pay.
There are potential issues with the estate where other beneficiaries may lose out but without a lot more details I can't comment on that.
Regards




X

edit. OP, change your mobile phone number. It will make life so much easier.

sam_star86

thanks to all of the helpful replies, I am going to contact the CAB on Monday and get their support to go through this. I understand my comment about the benefits may have upset a few people, but what I was trying to say was that I assume if they did take me to court, then the judge would allow me to pay reduced payments and not necessarily side with the creditor due to me being on benefits? I have made them a reasonable offer, and they've refused that so I assume when I speak to the CAB if they offer a token payment that will be refused too? I'm just pretty petrified of going to court and wanted to avoid that, as I've never had to go to court before, and the thought of baliffs is just as bad. I understand I had a responsibility when I took out the loan, but circumstances and outgoings have changed, so I am trying to be practical now and sort it out before it gets worse. However, their only stance seems to be make the full payments, which clearly I cant.

XBigman - the deceased was a joint homeowner, so it is in her husbands name solely now. It is almost fully mortgaged still, and other than that she left no estate, so I guess thats why they havent put a charge on it. I really wouldn't want to cause any problems for the family, they've obviously had alot to deal with as her death was a total shock.

The debt is just under £3000.

redpete

immoral_angeluk wrote: »

Whether you were on income support is irrelevant really as you were only a guarantor on the loan rather than the account holder.

I read it as a joint loan to the OP and her ex with the ex-MiL as the guarantor (who also had half the money from the loan, which is somewhat confusing).

milliemonster

If this went to court, the judge would only expect you to pay what you can afford to pay and they would want to see evidence of your income and outgoings to make a judgment on what a reasonable amount each month to pay. If you can do this yourself now, offer this reduced some to FLM and pay it whether they say they won't accept or not (they will still bank it!), then if the do take you to court, the judge will see you have been making payments and will look on that favourably, they will not expect you to make full payments if you do not have the disposable income to do so

BLT_2

Fonz wrote: »

If you feel they shouldn't have given you the loan because you're on income support, why didn't you give the money straight back and cancel the agreement on day 1?

I think you will find that she explains that in her first paragraph where she states that the loan was being paid by her ex partner and mother in law (who took half the loan in any case).

The woman here is clearly desperate and comments like 'why did you take the loan' and latterly acerbic comments regarding her comment that they shouldn't have granted her the loan are hardly helpful.

It appears to me that by offering to make payments she is trying to do the decent thing. At the end of the day lets not forget we are dealing with FLM here, who if other posters are to be believed are total scumbags who prey on the weakest members of our society. One can only chuckle at their statement that their automated texts are designed to 'help the situation'.

They are harrassing the lady in question, pure and simple. She needs to get onto the debt board and download some of the templates provided by NID and send them off.

Xbigman

XBigman - the deceased was a joint homeowner, so it is in her husbands name solely now. It is almost fully mortgaged still, and other than that she left no estate, so I guess thats why they havent put a charge on it. I really wouldn't want to cause any problems for the family, they've obviously had alot to deal with as her death was a total shock.

The debt is just under £3000.[/QUOTE]

I can understand your reluctance to hassle the family at this time but you should realise that a £3000 debt to FLM over 5 years costs about £7000 to repay if you actually make the payments as originally set out. With all the extra charges they pile on you will pay back £10,000+. You will be paying these people forever. Taking all that liability and aggro on yourself will be soul destroying. I wish you the best of luck.
Regards



X