GE Money house repossession 2009

marc1982_2

Hi, I'm new to this site so apologies if this thread is in the wrong area.

I have recently had a letter from DMS Capital Recoveries asking for a mortgage shortfall of £19k. Another company Hillisden Recoveries had contacted me before for 23k 2 years ago. The mortgage was in mine and my ex partners name. I have contested to shortfall before as it was apparently sold under what it was worth. I sent a letter back to them in 2010 asking for a breakdown etc... They replied saying i needed to contact GE Money. All i received was a statement sheets.

They now must have passed this onto Capital Recoveries. i'm wondering why the first debt amount was 23k and now its 19k. maybe my ex has paid some off. I work but can barely make ends meet so i can't afford anything, however they did majorly undersell the property.

Can they only chase one of us for the debt once one has started repaying? I heard this maybe the case however i could be wrong.

Could anyone help what should be my next step i.e. send the letter i sent to hillisden recoveries to DMS Capital recoveries asking for a full breakdown but not admit the debt?

Plus has anyone got a template to send to stop them cold calling?

Any help is greatly appreciated!!

Thanks

carslet

they sell the property for as much as they can, right up until the second the contracts are signed, i once put an offer in on a repossession and some one came the day before and put is £500 more. so although you feel it was majorly undersold they will have tried for as much as possible.

also i am sure you are both liable for the shortfall,

Tixy

Letter to ask them to contact you in writing only here
Telephone Harassment Template Letter


This factsheet might be worth a read - http://www.nationaldebtline.co.uk/england_wales/factsheet.php?page=11_mortgage_shortfalls
(you may have already used the template letter on that to send to the last DCA)

According to that factsheet you may be able to make a dispute about the amount owed if it it was sold for significantly under the best price that might reasonably paid (this is not necessarily as much as a normal value for the house if sold at leisure by yourselves in a non distress situation - it would be how much they could be expected to receive quickly on a repossessed house).
Perhaps it might be worth you making a call to national debtline to discuss with them.

That said even if you do dispute and the debt is reduced - would you then be able to afford to pay off the debt? It sounds like you may not be able to even at a reduced amount. Perhaps also talk to national debtline about your options and perhaps whether bankruptcy may be something for you to consider.

marc1982_2

Thank you Tixy, I was thinking of asking for a final settlement and asking my parents if they would loan me the money.

What would i reasonably be able to get them down to if the shortfall amount now is 19k?

Thanks again

Walaboobah

Surely you are only liable for 50% of the £19k?

Tixy

Walaboobah wrote: »

Surely you are only liable for 50% of the £19k?

No, thats not how joint debts work, each party is liable for the whole debt. Either or both parties can be chased for the full amount (although obviously the creditor isn't allowed to collect double the debt). If marc's ex goes bankuppt, or missing, or has very little funds then it is him they will chase.

Tixy

marc1982 wrote: »

Thank you Tixy, I was thinking of asking for a final settlement and asking my parents if they would loan me the money.

What would i reasonably be able to get them down to if the shortfall amount now is 19k?

Thanks again

I wouldn't like to guess, I have no experience of F&Fs on mortgage shortfalls, plus there is the added complication of the joint debtor in this situation.

I suppose though like any offer to a creditor, it will depend on how else they'd get the money from you and how much and how quickly.

In your situation I'd talk to national debtline for some advice.

marc1982_2

Could i realistically gat them down to 2k as a final settlement?

Thanks

Delree

The term is jointly and severely liable, meaning you both owe and they will chase both people for the full amount until the balance is paid.

Agree with Tixy, that's a lot of money and therefore bankruptcy is a serious option. Maybe your ex has already done this and that's why you're hearing from them now? Might explain why the balance has gone down if they took a chunk of some asset she had.

Tixy

That seems very low. Probably not without first successfully disputing the amount it was sold for, and therefore disputing the full outstanding amount.

marc1982_2

Maybe she has, i ideally wouldn't want to go bankrupt. however i may not have a choice. How should i approach asking for a F&F to try and acheive the lowest amount?

Thanks