Shortfall on SOA for OR

Legacy_user

The OR has written to me asking me to fill in a revised SOA as they are considering early discharge.

We're both self-employed so income tends to be quite erratic, however I've looked at the work we have booked for the next 12 months and averaged it out. The is as close as I can give to a 'monthly income' figure.

However, it appears we have a shortfall of around £600 per month!

Of course what's been happening is that we've got behind with the mortgage - partly deliberately as we want the place repossessed just to get rid of it!

Taking the mortgage payment out of the equation for a minute, our total income just about hits our outgoings. Obviously these are all very averaged-out figures as income/outgoings can vary a great deal for us, but it's the best I can do for them. We have some months flush, other months very lean and winter can be very difficult for us.

The plan is once we leave the property, to move in temporarily with my elderly dad. This will cut out ourgoings by quite a bit and give us chance to get back on track again while putting the money aside for a rental. Although the rental will undoubtedly cost more than what we're paying for the mortgage at the moment, we're making an educated guess that both of our businesses will take off somewhat next year - of course, none of this is certain.

Is there likely to be any problems or further investigations about this? I think it's fairly safe to assume I wont be given an IPA, hopefully anyway.

skylight

Put down what is your situation now, not what it could be if you moved in with your Dad.

As you are not paying the mortgage at the moment, take it off your outgoings with a note somewhere stating that this is what you have done as you are waiting repossession. That should balance your SOA enough. Make sure that your notes state that you have used the work booked and therefore reliable enough to include into your SOA.

Should be AOK, hopefully.

System

Thanks for the reply.

It's pretty much what I've done Skylight, though I have left the mortgage on and noted the situation in a covering letter. I figured if it was taken off entirely it would somehow be "odd". With the form as it is now it's blatantly obvious we don't have enough coming in.