Neverending repayments

Wormalls

Hi I am looking for help from anyone please!
In 1990 i handed the keys back to the lender, on a mortgage i couldn't afford, subsequently the lender sold the house for £17,000 and told me the shortfall was £12,000 and that this was reffered to a debt collection agency which i am still paying now, i managed in the early days to arrange no interest on the outstanding balance. I recently did a FIA disclosure on the lender and found out that they are £5,000 out on their calculations somewhere, or there is a fee they have neglected to inform me of. I currently pay this debt off at the rate of £35 per month, but i would like to have it investigated more as they also took the endowment policy from me yet no money was knocked off for this.
I strongly believe that the whole mortgage was misrepresented and missold by the lender and would like to know if there is a way this can be investigated or i can take them to court and the debt written off?
Many Thanks

babyharry5

Can I ask why you couldn't afford it??
what changed in yor circumstances from when you initially took the mortgage out?

Wormalls

Hi sorry for the delay, there were quite alot of factors, job, new children, we tried to sell for 5 years and couldnt get rid and because we were also in negative equity that made it worse. Any reason why you ask?

Wutang_2

Wormalls wrote: »

Hi I am looking for help from anyone please!
In 1990 i handed the keys back to the lender, on a mortgage i couldn't afford, subsequently the lender sold the house for £17,000 and told me the shortfall was £12,000 and that this was reffered to a debt collection agency which i am still paying now, i managed in the early days to arrange no interest on the outstanding balance. I recently did a FIA disclosure on the lender and found out that they are £5,000 out on their calculations somewhere, or there is a fee they have neglected to inform me of. I currently pay this debt off at the rate of £35 per month, but i would like to have it investigated more as they also took the endowment policy from me yet no money was knocked off for this.
I strongly believe that the whole mortgage was misrepresented and missold by the lender and would like to know if there is a way this can be investigated or i can take them to court and the debt written off?
Many Thanks

Has it really taken you 20 years to realise this?

And they took the endowment off you?.....ok,

I would try to get hold of all the original paperwork first (debt collection company will have some info), sit down with a mug of hot chocolate, ignore all this writing-off-debt stuff and work out the figures.

silvercar

If you surrendered the endowment it may not have achieved much. They are designed to pay out after a long time invested, so short term returns are poor.

If you were in negative equity there would be the equity outstanding fromt he sale price, the arrears that built up while you were trying to sell, the lenders cost in repossession and the marketing and legal fees. Add that to any non payments you have missed and debt collectors charges, a build up of interest and the figure could be large.

Your best bet may be to offer a full and final payment, if they will accept this.

babyharry5

Wormalls wrote: »

Hi sorry for the delay, there were quite alot of factors, job, new children, we tried to sell for 5 years and couldnt get rid and because we were also in negative equity that made it worse. Any reason why you ask?

sorry for delay!

I ask, because I dont see why the debt whould be written off?
If you had stayed in the house and managed to repay the mortgage, would you be claiming that it was missold??
or do you see this "missold claim" as an easier option to try and get out of the debt, rather than facing the fact that you may just still owe them the money?
just because you hand the keys back, does not mean that it is the end of your responsibility.
I would get all the paperwork together and ask the mortgage lender to provide you with a written statement as to all the debits and credits ( endowment sale?) so that you can sit and work out exactly what you owe.
Unfortunately, they have a right to continue charging interest and fees as you have defaulted on an arrangement and have let the matter continue for sometime.
A full and final repayment offer may work, or you may just have to face the consequences of handing your keys back for some time.
I dont mean to sound harsh, so forgive me if it comes across this way.
I used to work for a bank and had many people who just gave up, handed the keys back and thought the problem was solved

babyharry5

sorry ask the debt agency - not mortgage lender