Getting a debt added to someone's mortgage

mcpee

Hi all.

As a director of a management company, managing our own leasehold flats in one property, we had to commence work on the exterior of one of the flats to prevent the flats above from collapsing in 2015 - quite a structural failure of a wooden balcony.

3 of us leaseholders have paid the amount due but we are having trouble locating the leaseholder whose flat caused the problems to get her part of the monies owed, including maintenance charges.

Her rental agents know where she is but, due to data protection, won't tell us where she currently lives.

I have got details from the Land Registry about who provided her mortgage and have contacted them but they say they can not do anything to help until I have the Mortgage account number for the said person!!! Argh!

How do you get that mortgage information if you don't know where the person lives or is completely uncontactable? Surely they can find her on their system - I am not interested in where she lives - just want a debt on her property paid?

Cheers

Mcpee

AnotherJoe

You cant add a debt to someones mortgage can you ?
I think you'd have to go to court, get an order to reveal the name, or have bailffs enter the property to repossess belongings, or put a charge on the flat in the LR entry so it cant be sold without clearing that.
Wont the agent pass on a message to the landlord?

mrginge

Hiding under data protection is not a valid reason when legal action is involved.

Section 35.2

Get a solicitor to formally request their details under the above, and threaten them with costs if they refuse and force you to go to court.

Edit: the same threat to the lender may also work, since they will be a bit more clued up than a halfwitted LA with the IQ of a plank of wood

Goldiegirl

When I worked at a large lender, it was not unusual for management companies to write to us to ask for payment of outstanding service charges etc.

We'd write to the borrower first to remind them of their obligations, but ultimately, if the payments were not forthcoming, in order to protect our security, we'd debit the mortgage and make the payment to the management company.

The lenders are fobbing you off asking for the account number - try another letter, and if you don't get anywhere, instruct a solicitor, and as mrginge says tell the lender that you'll expect them to pay your costs for recovering the debt.

mcpee

Thanks Goldiegirl.

I had a feeling they were fobbing me off.

I will threaten them with the Financial Ombudsman this week also.

I know they can do what I have requested as one of their "collection" team told me it was possible. I shall have another go at the "Grounds Rent Team" next.

We shall wait and see.

getmore4less

The occupant will know how to contact them, it should be on their rental agreement.

Anything in the leases that the freeholder can use to leverage the leaseholder.

magpiecottage

mcpee wrote: »

I will threaten them with the Financial Ombudsman this week also.

That will not help you. The Financial Ombudsman Service can only intervene where a dispute is between a financial services business and its own customer. That is not you.

You do not say who you contacted at the lender or whether it was by telephone.

My guess is that it was a telephone call but regardless, the person at the lender did not understand the seriousness of the issue.

The reality will almost certainly be that she holds a lease over her flat from the managent company.

You need to examine that lease and determine what the terms of the lease demand of her (usually to pay ground rent and management/maintenance charges etc.) I suggest the management company sends a letter to her reminding her of this and threatening to commence proceedings to foreclose on the lease. That should be sent to the last address you have been given for her. If that is the management agent, send it addressed to her care of the agent.

Make the address of the property clear in the letter and make clear that you are also sending a copy to her mortgage lender.

Then send a copy of the letter to the head office of the mortgage lender. This will be specified in the Land Registry record. Send a covering letter to the lender explaining why you are sending it and making clear you are writing to them and that the management company intends to withhold commencing action for eight weeks in order that they may take any action they might consider appropriate in order to protect their interests.

Get proof of posting (free from the Post Office) for both documents.

If you have not heard from the lender within four weeks, send a copy - again get proof of posting.

If you take this approach, it is most unlikely that a mortgage lender would not settle (and add the debt to the mortgage) because if you were to foreclose, they would effectively be left with no security for their loan.

Thrugelmir

mcpee wrote: »

Thanks Goldiegirl.

I had a feeling they were fobbing me off.

I will threaten them with the Financial Ombudsman this week also.

I know they can do what I have requested as one of their "collection" team told me it was possible. I shall have another go at the "Grounds Rent Team" next.

We shall wait and see.

Ask a solicitor to send a letter to the lender on your behalf. They are under no obligation and have no authority to speak or pass information directly to you.

mcpee

Right guys - I have now spoken to the mortgage lender again.

It is so frustrating and annoying, but at the same time I'm learning... so here goes...

Although the recorded documents were signed for, at the bank, on 28th Jan they now claim to have no record of them or any way of tracing the letter!!!

Because I do not have the Mortgage Account number they will not talk to me except.... to tell me to write to them again to request the mortgage account number and once I have received it from them I can call them back and they will discuss the matter further..... oh my g#d!

If only they had told me that in September when I first tried to chase this debt.

Magpiecottage and others - thank you for your advise - it was very encouraging and interesting.

You CAN request a debt be added to a mortgage, even the bank agree about that, but it seems it takes quite a while to get it done - maybe explains why solicitors sometimes take so long to sort things out.

I shall write another letter and will update as and when I get any reply.

Cheers all

Mcpee