Old loan, bank had forgotten, no statements or communications, now 78p daily interest

Hanky_Panky

Brock_and_Roll wrote: »

I am not sure Nat West are under any obligation to release the charge until the loan is repaid. The debt is still legally valid, the fact that it is Statute Barred just means they cannot pursue it directly.

I think people are getting confused here - I'll admit I'm not sure either.

I'm not convinced that there will be a statute of limitations that applies here as this was a second charge from either a further advance, secured regulated loan or possibly a secured unregulated loan. We also need to know the amount.

Also this will not be the type of charge placed after an event such as going for a CCJ etc so I think there will be almost no chance of them releasing the charge untill the funds are paid to clear it.

I vaguely remember (it's my age!) that a debt of this type cannot be SB'd due to the fact that it is secured. I agree this sale is going nowhere until this issue is resolved.

gbgeer43

Hi everyone

Many thanks for the further information. That is most helpful, I had a template letter almost ready to go.

As part of the court order (divorce settlement), my ex-husband was to reliquish his claim on the property. The primary Barclays actual mortgage (based on his significant 1980s salary) I have dealt with since then (£30k on property valued at £60k in 1985, remaining money for purchase provided by my Father). I stupidly agreed to pay my legal costs (£20k), it had taken 6 years to get to that point. I had fought off a few reposession orders by both him and his new ****.

His legal responsibilities were to pay off the smaller Natwest mortgage (~£13k in 1984) and to pay £0.05 maintainance per annum for my son who was 5 at the time.
We knew he hadn't paid any maintainance as ordered, but it now transpires he didn't clear the minor mortgage as ordered either.

I have a court order that says it is his responsibility. I know he won't do a thing about it.

So it sounds like I'll end up paying the lot. Plus interest on something I didn't even know about and the bank hadn't told me about for 20+ years.
Just because he couldn't keep his p3$15 in his trousers.

So if I want the house sale* to proceed then I have to pay it. Or go to court to get my ex-husband to do as he said he would. And even then he probably wouldn't do it.

* Technically it's a re-mortgage with my son to release some equity to refurbish and rent out. I've been keeping it going for 20 years but the place is a wreck and needs some double glazing and real heating/plumbing/electrical work doing.

Cheers, gbg

Poosmate

Surely if you have a Court Order stating that the debt is to be repaid by your ex, then he is in contempt of court by not paying it?

I would seek legal advice with a view to passing this debt back to your ex. I wouldn't think you'd need to return to court either as you already have the papers (unless of course, you bring it to the court's attention that he's breached the original Court Order).

Poo

poppasmurf_bewdley

This is too complicated to be sorted out on a Forum like this.

Go and see a solicitor. It will cost you a few quid but could save you thousands.

gbgeer43

Hi everyone

Sorry to drag this up again. I agree that the background to this is very complicated but ignoring the legal background, I'd like to find out about any avenues for complaint or doing a deal with Natwest to clear this matter quickly.

I have now received a statement after requesting it and it seems that in 1992 the sum owing was £2900. But since then they've been charging 78p interest per day which has added about £5500 to the total.

What are my chances of doing a deal with them and offering to pay say £4k or £5k of the £10k owing. On the basis that they have been charging interest but haven't sent me a statement or made any attempt to chase the monies owing for almost 20 years.
Is that likely?
Does any mechanism exist for coming to some sort of arrangement like that?

Thanks, gbg

dealer_wins

gbgeer43 wrote: »

Hi everyone

Sorry to drag this up again. I agree that the background to this is very complicated but ignoring the legal background, I'd like to find out about any avenues for complaint or doing a deal with Natwest to clear this matter quickly.

I have now received a statement after requesting it and it seems that in 1992 the sum owing was £2900. But since then they've been charging 78p interest per day which has added about £5500 to the total.

What are my chances of doing a deal with them and offering to pay say £4k or £5k of the £10k owing. On the basis that they have been charging interest but haven't sent me a statement or made any attempt to chase the monies owing for almost 20 years.
Is that likely?
Does any mechanism exist for coming to some sort of arrangement like that?

Thanks, gbg

That sounds like a fair deal to me.

BlushingRose

gbgeer43 wrote: »

Hi everyone

Sorry to drag this up again. I agree that the background to this is very complicated but ignoring the legal background, I'd like to find out about any avenues for complaint or doing a deal with Natwest to clear this matter quickly.

I have now received a statement after requesting it and it seems that in 1992 the sum owing was £2900. But since then they've been charging 78p interest per day which has added about £5500 to the total.

What are my chances of doing a deal with them and offering to pay say £4k or £5k of the £10k owing. On the basis that they have been charging interest but haven't sent me a statement or made any attempt to chase the monies owing for almost 20 years.
Is that likely?
Does any mechanism exist for coming to some sort of arrangement like that?

Thanks, gbg

Might sound daft but there could be people in the Debt free wannabe forum who can help with this too

gbgeer43

Ok, I'll cross-post in that forum as well.
Cheers, gbg

gbgeer43

Hi everyone

Just thought I'd post a quick update on this. In the end I did seek legal advice and they basically said send a letter to NatWest (using modified version of one of the templates here) stating that "I consider the debt to be out of limitation and no longer enforceable", then just wait and see. Then get proper legal involvement if they contest the matter.

Natwest replied a week later saying that they would remove the 2nd charge from the property as soon as possible. 3 weeks later, the charge had been removed from the Land Registry Title.

So it ended well in my case. I thought it was pretty outrageous really to be charging daily interest for so many years without any contact from them at all.

Maybe this experience will be useful someone else out there!

Cheers, gbg

PS: I've also updated my 2nd thread about this that I posted in the "Debt free wannabe" forum... https://forums.moneysavingexpert.com/discussion/3852817