Mortage Arrears

rukia2004

i hope someone can help me

Ihave been paying my mortage evey month of £759 per month but should have been paying £965.00 per month coz of this i have fallen in to arrears and have been issued a a POSSESSION CLAIM haring on the 12/09/2007 i want to no will they take my home on that day or will i be able to pled my case as i have been makein payments every month and i trying to coe out of arrears.

any help please

thanks

stevetherev

They usually won't take your home on that day but if the court decides that your lender is right, then they will issue an order for possession suspended for 28 days or possibly 56 days. That means that they have to return to court to get a warrant of execution of the order after that time. The good thing is that it also gives you time to negotiate with the lender about a scheme of payments.

By the way, How much are the arrears? Can you afford to pay the monthly payment? Why did you underpay in the first place?

The court may not grant an order especially if you attend court. The lenders often instruct local solicitors who assume that you aren't going to turn up and send just someone from the office to the court. It's worth asking for a copy of the lenders court submission from them (it explaisn what the position is) because if there are any factual errors there, you can get the court to strike out the application on the basis that it isn't correct. Believe me (as an ex Building Society Senior Exec), many statements are wrong and you will be in as good a position as any to argue against it. The solicitors representative will know nothing about yr case apart from the papers and their knowledge of thre law is skecthy as well. They often send a clerk or even a typist to serve the papers. You stand a good chance of getting the application from the lender thrown out - most District Judges are human too! Don't worry about the court itself either - the matter usually takes place in a small room and there is rarely anyone else there apart from the District Judge (often a senior partner in a local solicitors firm) and the rep from the lender.

Go for it and hope it gets sorted. Be prepared though to offer soem form of arrangement over the arrears and that always helps. Burying the head ostrich style and thinking it can't happen to me, never works. It always does happen sooner or later.

dattasatta

No, the judge won't take your house.

You have shown that you are paying something a month, but you need to make a plan of what you can realistically pay back to clear the arrears and present that to the judge. Make sure this amount is an amount you can definatley pay, because if these payments aren't made on time than the judge can grant a possession order, then you are in trouble.

Take a look at your finances and see if you can afford to carry on living in your home, long term.
If not, maybe this is the time to sell.
I know this sounds awful but it is better than being repossessed.

Hope you can sort this out.
Good Luck I know what it is like to be in this position.

maninthestreet

Mortgage payments are normally direct debits (DD), meaning your mortgage lender requests payments from your bank account. Why has your mortgage lender requested payments of only £759 per month, when they should have been requesting £965?

rukia2004

my arrears are £4563.97

rukia2004

maninthestreet wrote: »

Mortgage payments are normally direct debits (DD), meaning your mortgage lender requests payments from your bank account. Why has your mortgage lender requested payments of only £759 per month, when they should have been requesting £965?

i have been paying over the counter for years

rukia2004

It's worth asking for a copy of the lenders court submission from them (it explaisn what the position is) because if there are any factual errors there, you can get the court to strike out the application on the basis that it isn't correct. Believe me (as an ex Building Society Senior Exec), many statements are wrong and you will be in as good a position as any to argue against it. The solicitors representative will know nothing about yr case apart from the papers and their knowledge of thre law is skecthy as well.

hi were can i get this from?

jamesd

So long as you're paying the current amounts plus anything to reduce the arrears it's unlikely that your home will be repossessed.

A suspended repayment order might be issued so that repossession could happen later after obtaining a possession order if you stop making the payments to reduce the arrears.

Get the submission that rukia2004 mentioned and also prepare a budget showing all of your income and outgoings including the mortgage payments and extra payments to reduce the arrears.

Why were you making lower payments? Did the mortgage company make a mistake in telling you the payments? If they did it's more likely that they will be told that they have to let you repay the difference in as much time as it takes you.

It's vital that you show up at the hearing. Not doing so is the fastest route to repossession.

rukia2004

jamesd wrote: »

So long as you're paying the current amounts plus anything to reduce the arrears it's unlikely that your home will be repossessed.

A suspended repayment order might be issued so that repossession could happen later after obtaining a possession order if you stop making the payments to reduce the arrears.

Get the submission that rukia2004 mentioned and also prepare a budget showing all of your income and outgoings including the mortgage payments and extra payments to reduce the arrears.

Why were you making lower payments? Did the mortgage company make a mistake in telling you the payments? If they did it's more likely that they will be told that they have to let you repay the difference in as much time as it takes you.

It's vital that you show up at the hearing. Not doing so is the fastest route to repossession.

I Have lost my job so i could not keep up with the fall monthly payment but all paid £769 per month which i could manage and still can as i should get a job soon

mightymouse

Hi

Will dss pay interest if you are eligible.

Court may allow you to pay interest only until your circumstances improve and agree arrears as per this case

http://www.creditlaw.co.uk/Cases/cheltenham.htm

it may have been updated but this was the leading case..........

jamesd

Check to see if the DSS will help by paying the interest.

769 or 759 seems like more than just interest would be so you'd probably find interest only easier to handle until you have another job.

If there seems no choice - interest only not accepted by the court - you should ask the court to let you sell instead of doing it via repossession. In this situation a suspended repossession order would be used and you'd be given a certain number of months to sell. Much easier to rent a place and get a new mortgage in the future if you've done the selling yourself. Cheaper as well.

Has the lender offered you the option of paying interest only? What have they done to try to make life easier for you? I'm asking to see if they have even tried to find a way of making things work or if they will simply look like a big bad lender being unfair and not even trying.