Voluntary Repossession

abcdave

'afternoon all,

A little advice please?

I went BR in March this year and moved into rented accomodation. I stopped paying the (joint) mortgage a month earlier.

I sent a letter to the Halifax informing them of our new address (for correspondance only) and advising that the property was now vacant with all utilities turned off. I got a reply around July asking for signatures which I just binned.

Fast forward four months and my wife receives a letter (addressed to her only) requesting the account be brought into order or risk repossession. It goes on to mention the door step visit etc to come to an agreement.

So I suppose the question is do we just ignore their letters now, or is there something specific we should do?

I find it a little strange that the letter was addressed to just my wife. Have they removed me from the account already? I thought that would only happen after the property was disposed of?

We are aware that when the house is sold my wife will be soley responsible for the shortfall, and indeed she may have to go BR herself, but we'll cross that bridge when we have to.

Sorry for the long post!

National_Debtline

Hi Dave


You were right to not sign anything - in particular, anything resembling a "deed of acknowledgement" should be avoided like the plague.


I think your wife is best off simply ignoring the correspondence - it's asking her to do something she cannot do, even if she wanted to.


As you will be aware (but for the benefit of other readers), the entirety of any shortfall will be included in your bankruptcy (and your wife's, if she takes the plunge too) regardless of the timing of either BR or repossession.


Dennis
@natdebtline

abcdave

Thank you for your reply Dennis

I actually visited our old house this afternoon, just to make sure everything was ok and there was an identical letter (addressed to the both of us this time) waiting for me.. I'm not sure what they are playing at.

I wouldn't of believed that it would take them so long to take action. They've not had any money since Feb, and we've heard very little from them.

At this pace of going, I'll be into another rates year (which I won't get relief on)

National_Debtline

I take your point about council tax - so you are claiming some sort of time-limited relief/exemption at present, then? Unfortunately a permanent exemption only kicks in once the lender has actually repossessed (again, as you're no doubt already aware).


I agree that it seems odd for the lender to take so long to act, especially as the house's condition risks deteriorating the longer it is left unattended. However this happens more often than you might imagine.


I don't think there is much else you can say to the lender to prompt it at this stage - the notices you have already given and the total cessation of payments since February should make your intentions clear enough.


Dennis
@natdebtline

debt_doctor

Hi,
Considering the extra comment you make regarding the council tax, I feel you may wish to write to the mortgage company stating you have no opposition to any possession proceedings as you have left the property. They may then take action quicker so the property would then become exempt (check with your local council).
In any contact - you must NEVER acknowledge responsibility for any shortfall debt, avoid any mention of monies owing.
DD

abcdave

Thanks again Dennis and DD,

I have rates relief where the property is exempt for the 12 months of BR.

I already sent notice of surrender at the start of July but perhaps a reminder wouldn't hurt.

abcdave

Incidentally,

In the letter sent to my wife and then duplicated to us both, the Halifax claim payments missed to the tune of over £20'000.00 when in reality it's closer to a third of that (interest only) Are they trying to provoke a reaction?