Sold at a loss - Help/Advice Required please

EKAndrew

Hi All,

Last month i privately sold my flat for a loss, as it was going to sell for less than what was owed on the mortgage, I could not sell it without the permission of Nationwide - an offer has to be submitted to them, and they would make the decision as to whether or not the offer would be accepted.

I had to fill in a questionairre and send payslips to them to advise how I was going to pay the shortfall.

When speaking to the Sales Support dept at Nationwide, the guy was very friendly and helpful with any questions I had. My main question was obviously how they would come after the shortfall (£2624.21) He told me once the sale went through, Nationwide solicitors would be in touch with me direct. He also advised that Nationwide could offer a interest free loan. Or if I could borrow the money from families and friends, they may accept a smaller settlement figure. He made it clear that although this was alot of money to me, on the grand scheme of things for Nationwide, it was not alot of money. I made it extremely clear to him, that in no uncertain terms would i sell the house if it meant going on to a Debt Payment Plan or if it would affect my credit rating in anyway. If that would be the case - I would've have kept the flat on and continued paying the mortgage.

Anyway - this morning, I recieved a letter from Nationwide advising that "the collection of your outstanding balance will now be carried out on our behalf by Debt Management Services Ltd trading as Capital Recoveries.............You will need to ensure that all communications are made directly with them in the future"

Help......what does this mean? Should I contact them?