Mortgage default notice - correctly issued?

Tigsteroonie

Technical question time.

Joint mortgage was on a house in Scotland, I moved out in 2009 but remained on the mortgage as the Ex could not remortgage and we were trying to sell (long story). Verbal agreement was that he would cover the mortgage, I was paying rent elsewhere. I know that I was still legally responsible for the mortgage, not denying that. I provided the mortgage company with a 'correspondence address' for myself but they continued to address letters to both names at the house, I only obtained copy letters such as statements when I wrote and specifically asked.

Ex missed some payments in 2012, mortgage is now settled but there is a default on my credit record as a result.

My question is around the Default Notice that I believe the mortgage company was obliged to send out in order for the credit record to have that default showing. I do not know whether they issued that Default Notice or not - I did not receive a copy to my correspondence address, and there was no way I could have seen a copy sent to the house (where my Ex was living).

Should I question whether a Default Notice was issued?

And do they have any obligation to try to send that Notice to me, rather than sending it to joint names at an address where they know - for I had told them 4 times by then - I was not living and could not see any letters.

No offence, but please don't reply simply to remind me that the default was equally mine. I know that legally this is the case. But I had no way of knowing that he was not paying and that a default was arising. I am looking to see whether the default can be removed from my record on a technicality, in a similar vein to escaping parking tickets when not issued correctly.

Many thanks

Tixy

I am not sure they are actually legally obliged to send a default notice for a mortgage.

The CCA requires a default notice to be sent for agreements under the CCA, but for other unsecured debts it is not a legal requirement (though most lenders do send them out as it is still best practice according to the ICO guidelines on filing a default notice). But I don't know whether there is any legal requirement for a mortgage.

I know that doesn't answer your question, but it is something to consider if trying to challenge this.

Edit - looking at the ICO guidelines the only reference to mortgages is in section 14 which doesn't relate to notice of intention to default. The relevant sections about notices (32 onwards) does mention lenders belonging to trade associations that require a notice to be sent out - so that could be something to look in to?

Tigsteroonie

Thank you, will look into that tomorrow.

Thrugelmir

To the lender your correspondence address will be that of the property. As the default notice will be sent to the jointly named borrowers named on the mortgage.

Tigsteroonie

Thrugelmir wrote: »

To the lender your correspondence address will be that of the property. As the default notice will be sent to the jointly named borrowers named on the mortgage.

Thanks but have I missed an option/arrangement for receiving such a letter?

I was not living there, so had no access to any post addressed to joint names; and you cannot arrange redirection of joint mail to only one addressee.

As far as I can tell, the only option to ensure I continued receiving post would have been to remain living there. A bit extreme.

DevCoder

Whilst you couldn't redirect the mail, you could have rung/written to the bank and asked for your other address to be setup as a duplicate mailing address. Virtually all banks will do this.

Tigsteroonie

krisdorey wrote: »

Whilst you couldn't redirect the mail, you could have rung/written to the bank and asked for your other address to be setup as a duplicate mailing address. Virtually all banks will do this.

Thanks - I thought that's what I'd asked them to do? I wrote explaining the situation and asking for all correspondence to be additionally sent to me (so duplicated) at my new address. But they never voluntarily sent anything, I only got copy correspondence when I wrote a year later and asked for a copy of the annual statement - and I reiterated the situation/correspondence address at that time.

Tixy

Maybe the Council of Mortgage Lenders?

I don't think the Lending Code covers mortgages - I believe that property=land for this purpose.

Belnahua

Tigsteroonie wrote: »

Should I question whether a Default Notice was issued?

And do they have any obligation to try to send that Notice to me, rather than sending it to joint names at an address where they know - for I had told them 4 times by then - I was not living and could not see any letters.

Sorry that some payments were missed, however I did forward on the letters to you, and copies, but they were all returned as not collected as I sent them recorded delivery, knowing how important they were and you had a right to know.

Halifax also said on a telephone call to me, that they were trying to contact you on the telephone number you provided.

Now as far as I know, no default notice was actually issued.

I will also add that the mail redirection was not being operated correctly, letters being returned "gone away" instead of forwarded, and I have raised this issue with the Royal Mail on several occasions.

PS Just in case you're worried, I'm not checking up on you on MSE, a friend forwarded this post on to me, so I could give you an answer to put your mind at ease. In fact I can't be bothered with MSE anymore especially since :money: sold out!

e.pcat

Belnahua wrote: »

Sorry that some payments were missed, however I did forward on the letters to you, and copies, but they were all returned as not collected as I sent them recorded delivery, knowing how important they were and you had a right to know.

Halifax also said on a telephone call to me, that they were trying to contact you on the telephone number you provided.

Now as far as I know, no default notice was actually issued.

I will also add that the mail redirection was not being operated correctly, letters being returned "gone away" instead of forwarded, and I have raised this issue with the Royal Mail on several occasions.

PS Just in case you're worried, I'm not checking up on you on MSE, a friend forwarded this post on to me, so I could give you an answer to put your mind at ease. In fact I can't be bothered with MSE anymore especially since :money: sold out!

'Tigersteroonie's' own dereliction of duty has led to this and she should be grateful that you invested much time, effort and money doing the honourable thing in solely restoring that property, so that she had her share of the proceeds of sale, and keeping her in the picture with the building society. As an adult, she has to take responsibilty for her own actions.

ValHaller

Thrugelmir wrote: »

To the lender your correspondence address will be that of the property. As the default notice will be sent to the jointly named borrowers named on the mortgage.

I don't agree with that entirely. If nothing is said, you have stated an acceptable default position. But if Tigsteroonie wrote to the lender and gave a different correspondence address, I think it is unreasonable to default her without giving notice to her correspondence address.

The purpose of a default notice should be to get the borrower to bring payments up to date. It is more than just a necessary precursor to a punitive process.