how do I write the letter to mortgage company?

Gina_of_course!

Hi,

I lost my job the beginning of October and have buried my head a bit about contacting my mortgage company, Im sat here now having put my address, their address and thats it!!!

I have been in tears with having to request a reduction and or interest froze on my account for about six months, as I am now having to claim incapacity benefit and due to my history of cancer and the way that i lost my job, I have lost so much confidence ( had that prior to the job loss as well)

I am appealing the work decision and probably going to tribunal as well. I have to, I cant let go what they have done to me.

Anyway, back on track!! how do I write the letter, my mind goes blank.

Thank you for any advice.

I luckily have nothing else apart from maintaining my car, and the ordinary household bills plus mobile phone contract so I am aware that my position is not as bad as it could be. Im so afraid of losing my house. I have had cancer 3 times so will be hard to get another job on top of everything else.

sarkin

Hav e you tried phoning your bank, they usually have a department to help. Who is your lender

silvercar

The first thing to check is that you are getting all the benefits you are entitled to. It may be that you can get some help with your mortgage interest.

There are generally two ways that lenders often offer. The first is to change to interest only (if you are currently on a repayment mortgage). This should reduce your payments considerably. The second is to take a payment holiday, this means that you make no payments for the holiday time, but the unpaid interest is added to the loan and will make the loan larger/ need to be repaid at some point.

By not keeping up with agreed repayments, you need to make some sort of arangement with the lender. Effectively you have given yourself a payment holiday without permission. This can result in monthly arrears charges.

The way forward is:

a) make contact with the lender and explain your problems.
b) agree the way forward including how the arrears will be tackled.

With no current employment you do not have the option of moving your mortgage to another lender, so you need to work with this one.

Consider whether you can afford the mortgage if you are paying interest only. If you can't then you may need to face up to the possibility that you will need to sell your home.

Lenders do have an obligation to "treat customers fairly", so you should find them approachable. At the end of the day it is in their interest and yours to reach a satisfactory solution.

If you feel able to post the name of your lender, I'm sure people on here will be able to comment on their general attitude.

KentishLady

Remember if you take a payment holiday the interest will continue to accrue and your mortgage balance will increase. The mortgage company I work for, and the company I have my mortgage with would not consider a payment holiday in your circumstances (although you'll only be able to find out your lender's policy by contacting them).

So if you can't get (or don't want) a payment holiday you could consider switching to interest only. I can't comment on your lender however the company I work for levies a small administration charge for switches to/from interest only or repaymennt. Again bear in mind that when you eventually switch back to repayment you will be paying back that mortgage balance over a shorter term (and therefore your payments will increase) unless you apply to increase the term of your mortgage by aproximately the length of time you have been on interest only.

You might want to contact your lender, either on the phone, or by speaking to one of the advisers in branch.

Qual123

Firstly, well done for posting on here. you should speak to you lender asap, and also to the CAB. there is no need to write to them, i would phone them and ask for someone to call you back (it could be a long call, so make them pay for it!) banks have a duty of care to all there customers and will not be looking to get your house. there are a few options but it often depends on the banks own policys. then speak to the CAB and ensure you are getting everythin your intitled to. they will also be able to give you good advice. good luck.

Gina_of_course!

Thankyou for the above posts and information, I'm lacking loads in even picking up the phone hence I feel better writing a letter and due to some of the actions from my ex employers, I have a bit of thing about things being truthfully written down.

I will re read later as I have to go to oncology now. thank you again