Mortgage Payment

060158CND

I need some help.  My Mortgage Company are asking for balance payment of £36,000 by the end of the year.  I don't have that sort of money - and am due to retire in January.  Is there anything I can do  

The_Unready

Is this request a surprise to you? In other words, do you believe that it is an unreasonable or incorrect request?

Why are they asking for the balance?

Strummer22

We need much more information.

Why are the asking for this balance? 
- was it part of the original terms of the mortgage?
- is it the repayment of the capital at the end of an interest-only mortgage?
- will you have any income after retirement?

If you've always known this repayment was due but your circumstances have changed meaning you can't pay it, you need to talk to your mortgage provider to discuss what provisions they can make to help you.

If it's always been due and you never had a plan to repay it, that's kind of on you... but if you have any income after retirement I suggest talking to a broker to set up a repayment mortgage to eventually pay off the balance.

If you never suspected this was due and it's a big surprise, you need to find out whether it's a real debt or if the lender has made a mistake (unlikely).  

jimjames

060158CND said:

I need some help.  My Mortgage Company are asking for balance payment of £36,000 by the end of the year.  I don't have that sort of money - and am due to retire in January.  Is there anything I can do  

Have you got an interest only mortgage and made no plans to repay it? In terms of what you can do, you can sell the house to buy somewhere cheaper if you don't have the money to repay.

dunstonh

Mortgages are long term debt.  So, this day has been coming for a long time.  What provision do you have to repay it?  You say nothing but what about your pension?

If there is no pension or money then there is potential equity release or sell up.