CML Guidelines

ash2260

Hi All

After some advice if anyone has any. I recently got contacted about an old joint mortgage shortfall this was the first contact i had about it. Been about 10/11 years in total. After some advice on this forum i came to the point when i was to use the CML guidelines template letter. To which i have had a response today saying that they sent a letter on the 24th August 2011. I can whole heartedly say i never received this letter as ive worried about it every single day since the property was taken. Also just a side note im pretty certain i didnt even live at that address at the time they stated that letter was sent, i dont know how id go about proving that as i bounced from friends sofas for a while, as i was finding my feet again. I have no idea really what my next step would be as they've sent an expenditure form to fill out. Would it even be worth getting in touch with the ombudsman? any advice would be greatly appreciated 

thanks 

sourcrates

I would have kept quiet if I had been you, mortgage shortfall debts become statute barred after 12 years.

What exactly did you say in the letter ?

ash2260

it was a joint mortgage and by the looks of it the person i took mortgage out with has been making payments.
the letter i sent was this template
https://www.nationaldebtline.org/sample-letters/ask-your-mortgage-lender-not-pursue-mortgage-shortfall/

ash2260

Just wondering if you would happen to know aswell i believe the property was brought by us for 124k yet it sold for just 65k would that be a normal selling point half the original value. Ive tried looking on zoopla to see the prices of flats in the same place around the same time and the closest i can find was sold in 2008 for 120k same spec and mine at the time. Yet they got vacant possession in 2009 but didnt seem to do anything for a couple of years when it sold in 2011

ash2260

sourcrates said:

I would have kept quiet if I had been you, mortgage shortfall debts become statute barred after 12 years.

What exactly did you say in the letter ?

Hi just wondering if you had any thoughts on my next steps at all. Thanks

sourcrates

ash2260 said:

sourcrates said:

I would have kept quiet if I had been you, mortgage shortfall debts become statute barred after 12 years.

What exactly did you say in the letter ?

Hi just wondering if you had any thoughts on my next steps at all. Thanks

They appear to have sent you the income/expenditure form in response to your National Debtline letter.

Depends what your intentions are, if you can`t afford payments, make the form say as much, on the other hand, if you want to pay it, that`s your choice.

These type of debts usually involve large sums of money, most people can`t afford to pay anything, if that`s the case with you, make the form show that, simple.

ash2260

sourcrates said:

ash2260 said:

sourcrates said:

I would have kept quiet if I had been you, mortgage shortfall debts become statute barred after 12 years.

What exactly did you say in the letter ?

Hi just wondering if you had any thoughts on my next steps at all. Thanks

They appear to have sent you the income/expenditure form in response to your National Debtline letter.

Depends what your intentions are, if you can`t afford payments, make the form say as much, on the other hand, if you want to pay it, that`s your choice.

These type of debts usually involve large sums of money, most people can`t afford to pay anything, if that`s the case with you, make the form show that, simple.

Thanks for reply. How would it work with me owning my own property though? only been in a year so i wouldnt have any equity and i used the htb scheme so the government will own alot more than i do

thanks

sourcrates

Repossessed houses nearly always go to auction, they are supposed to get you the best price they can, but at an auction, anything can happen, and the bottom line is they want it sold, so the selling price will always be 20/40% lower than a conventional sale would reap.

As you are a homeowner again, then you need to be careful here, don`t go giving them any more information than is necessary.

Even though you have no equity in the house, they could, potentially put a charging order, or a restriction on it, there is a long legal process first of course, starting with a letter before action, which would allow you to come to an agreement, if that`s possible, so don`t worry about the security of your new home.

I would talk to National Debtline before doing anything else, I would also be interested to hear fatbelly`s view on this.

ash2260

sourcrates said:

Repossessed houses nearly always go to auction, they are supposed to get you the best price they can, but at an auction, anything can happen, and the bottom line is they want it sold, so the selling price will always be 20/40% lower than a conventional sale would reap.

As you are a homeowner again, then you need to be careful here, don`t go giving them any more information than is necessary.

Even though you have no equity in the house, they could, potentially put a charging order, or a restriction on it, there is a long legal process first of course, starting with a letter before action, which would allow you to come to an agreement, if that`s possible, so don`t worry about the security of your new home.

I would talk to National Debtline before doing anything else, I would also be interested to hear fatbelly`s view on this.

its been over the 6 years since property was sold soi cant do anything about that.

i spoke to debtline for a couple hours at the weekend and they gave me some options and have since filled out the expenditure form, im basically left with less than a tenner a month, they can have that but wont account for the fact in a couple years the interest period will end on the htb loan so that will need paying out of that also, plus the fact that energy is rising in april, and the issue with a tenner a month would take forever to make a dent in it.
I have also done the letter asking to write the debt off but i cant see that happening one little bit. More due to that fact that its a joint mortgage but i am separated from my wife currently not spoken or seen her since last year and due to her losing her job mid last year im footing all the bills for the house but i cant help that else i wont have a house and will end up in same position as i am now. Just have no idea what the next step is once they reject writing it off, as the person i brought it with years ago looks to be paying some off so im sure that will go against me.

What did you mean by giving them any more information than is necessary? what would you class as more? ive put on expenditure form my monthly mortgage price but not thats its an asset but on the letter ive put in the special comments section about the htb loan in couple years, the energy rising and that im struggling with the spliting up with my wife

thanks

sourcrates

Make your budget look as though you have no disposable income, they cannot verify what you tell them, nor are you obligated to fill their form in at all, ideally you want them off your back, make yourself look as unattractive financially as you possibly can.

ash2260

sourcrates said:

Make your budget look as though you have no disposable income, they cannot verify what you tell them, nor are you obligated to fill their form in at all, ideally you want them off your back, make yourself look as unattractive financially as you possibly can.

Hi so ive heard back after sending budget form off. They have said they want 3 months bank statements, 3 months wage slips, proof of creditors and mortgage statements and valuations. To be honest i dont want to send them any of this. So im not sure what to do.
thanks in advance