Hefferlump's Holler for Helpful Hints

trying-very-trying

I didn't contact any of my creditors until I had agreed with cccs to start my dmp. I think the idea is that you let them know you are having financial difficulties and are seeking advice for the credit agency, then send them a token payment to show good faith. It lets them see that you are not ignoring the debt, but having said that I didn't have any money to send my creditors, so I waited until I had the letter from the cccs to send them stating that I was entering a dmp.

Hefferlump

The latest update would be laughable if it wasn't so unbelievable.

First things first. We contacted CCCS and what a great organisation they are. They called when promised, listened sympathetically but also didn't pull any punches as far as our outlook was then concerned: sell the property or be made bankrupt.
Things, however, moved quicker than we wanted to, as, the following day, the summons for the possession action landed on the mat (due to be heard soon) and all seemed lost again.
Then it appeared we were saved. My partner discovered a charity, particular to our type of work, that she could apply to for a grant. She contacted them and they sent her a form asking for all her financial details and, rather frighteningly, mine as well. They were made aware of her illmess and the fact that she was not working, together with the total of ALL our debts (it is relevant to bear in mind that, although we have been together for years,we are not married and the property is solely in her name).
The action being taken by the mortgage company was for non-payment of four months' payments, a mid four figure sum. The mortgage was for under £120,000, however, on a proerty worth over £220k.
Within 24 hours the charity had offered my partner, FOR THE BOTH OF US, a figure equal to the mortgage arrears PLUS a figur to cover all our other debts (about £45k) PLUS, as she could be out of work for a while yet, a monthly income for 12 months whilst she sorts out a new career and I get a better paid job. Immediately, therefore, we go a long way to recover our credit ratings and can guarantee the mortgage payment for the next year. The interest is minute (as it is a charity) and they only wish a 'secondary' charge on the property, with the mortgagors remaining the primary charge. there would still be £30k-£40k of equity in the property, meaning that the mortgage company can allow for a fall in house prices and still get their return.

So, salvation!!!

Or not....because it appears that the mortgage company may not agree to this deal (they have not responded to any correspondence since we explained the offer) having said they are not willing to adjourn the case to allow the deal to be set up. my partner, originally believing she could remain in a property she loves, has had a relapse and I am fit to do something to the mortgagors representative that I shouldn't when it comes to court.
Can anyone think of ANY reason why the proposal is a bad deal for the mortgagor or ANY way we can make them see sense?

Hefferlump

Anyone with any views?

Gale_10

Just to bump this up for anyones information..................I wish you all the best but I really have no knowledge that would help you. Its definitely an unusual one, I guess the mortgage company solicitors may have to look at the fine print?

Gale

chevalier

The only reason why I would think they would not deal, is because they are then not the sole person with an interest in the property. But I can't think this is the case, because people regularly come on here with a mortgage and a secured loan as their outgoings. I think you urgently need to talk to a human being (or your OH if she is up to it), to ask why. And in the meantime keep plugging away with what the charity are offering you. What is the name of the charity by the way, just out of interest.

Even with all this going on, you could still be claiming beneifts on her behalf, as this will tide you over until the money comes through. Also you may be able to get single person discount on the council tax, if your partner is receiving DLA. But it is a good idea to get a specialist advisor from the CAB or similar to help you fill in the DLA forms because they can be quite difficult.

I gather from your posts that you are professional people. This being the case, an alternative form of employment for your OH, might be AQA (there is a thread on here about it). This is where you answer questions from other people and get paid so much a question. You do have to register as self employed and do the tax (but I am guessing this is already the case).

Also you may want to think about getting some form of PAYE work, to ensure a regular money supply, ie make your self employed work part time.
chev

chevalier

ps
Ref the getting married thing. I don't know whether it would make things better financially, but perhaps she has mentioned it, because sub consciously she now needs the emotional commitment due to the diagnosis of her illness? Ie maybe at the back of her mind, she is worried you might leave?

chev

Hefferlump

Thanks for the info so far.

Chev...thanks for the pointers but it has reached the stage whereby benefits, marriage etc are not relevant to the problem. No matter what happens we will be staying together, even if it is in a cardboard box!! We are just trying to find out why the mortgage company apparently won't play ball. I accept that they would not have sole interest in the property if we get the loan, but the charity are willing to have the "second" charge, meaning that the property would have to lose half its value for their money to be in danger. if we were to sell for a sum less than the combined loans then, as long as it was just a pound over the sum we owe the mortgage company the mortgage company would get their whole amount. It is not as if the second charge will take the sum secured on the property up to 100% of its value; there will still be £30-£40k of "equity" left. We have been racking our brains and cannot think of any way that it is a bad deal for the mortgage company, especially as they are guaranteed payments for the following year. We have said to them that, if there is no change in our "employment" after six months then the property would be sold anyway as we would not wish to go through this again.

tigerfeet2006

Contact CCCS again and talk to them. They may talk to the mortgage lender on your behalf and they have more clout.

I couldn't tell from your posts weather you were claiming benefits but please do look into it.

Gillianh2

Hi,
Also even at this stage if the Mortgage Company do go ahead with a Court Hearing for Possesion I cannot see the Judge granting it if you have a guarantee of mortgage payments plus the arrears for the next yer. The most I would think they would grant the Mortgagees is a suspended possesion. Which would mean you could continue to live in your home provided you kept up the repayments and that the arrears were cleared as agreed.
Your OH should be in touch with an MS nurse who will complete the DLA forms (she can claim this even if she does manage to find work). This will give you a firm income and as others have said may entitle you to a reduction in your Council Tax etc; Every little helps etc;

Good Luck and try to speak to the CAB or a solicitor offering free Half hour consultation about the Mortgage Possesion hearing. You could also try your Local Shelter organisation as they may be able to offer some help/advice.

Hefferlump

tigerfeet2006 wrote: »

Contact CCCS again and talk to them. They may talk to the mortgage lender on your behalf and they have more clout.

I couldn't tell from your posts weather you were claiming benefits but please do look into it.

Thanks for the suggestion regarding the CCCS, although we have put the offer to the mortgage company in writing and are thinking of doing nothing more until we get to court. The MC said they would consider all reasonable offers to settle the debt (and I cannot think of a more reasonable one than the one we have made) but have been silent for over a week after the offer.

Mrs H is receiving benefits.