Advice please

sunderland1

Hi All
Really would appreciate some accurate advice please.
Myex wife and myself parted some 7 - 8 years ago and are now divorced.
Unfortunately due to some bad business mistakes, we lost our business and home.

We both took out a DMP and eventually my ex made herself bankrupt and included the large mortgage debt in the bankruptcy.
I took up Stepchanges advice and disassociated myself from any financial association with my ex and have a letter to confirm this.
I have not heard from Northern Rock for a number of years and they were not included in my DMP.
Am looking to pay off my DMP next week and was hoping to be debt free, however I have received a letter today from Landmark Mortgages stating that as they had not informed me of a change in their interest payment, they will not add the additional £19 to the outstanding mortgage balance.
Does this mean that LandMark can still chase me for the outstanding mortage arrears?

Thanks in anticipation

fatbelly

You are referring to 'mortgage arrears' - that is a term used when you are still living in a mortgaged property. I am assuming that the property has been sold, the sale price did not fully redeem the mortgage and you now have a mortgage shortfall debt.

If this was a mortgage shortfall debt from a joint mortgage then you remain liable. Your ex's bankruptcy would have no effect on your liability.

The Limitation Act gives the lender 12 years in which to start a court claim on debt that was previously secured, regarding the capital element. The interest carries a limitation period of 6 years. MCOB rules may give more weight to a 6-year period and there could be some debate over when that period started.

In conclusion, if they are not demanding money and not starting a court claim, I'd continue to just leave it alone for now.

sunderland1

Hi Fatbelly

Thanks for your response and advice, it is appreciated, just concerned that as they have not been in touch for a number of years, they suddenly get in touch.
Will speak to Stepchange next week.


Kr

Steve

fatbelly

sunderland1 wrote: »

Hi Fatbelly

Thanks for your response and advice, it is appreciated, just concerned that as they have not been in touch for a number of years, they suddenly get in touch.
Will speak to Stepchange next week.


Kr

Steve

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