Mortgage Reserve Advice Needed

CraftyCrafter01

My husband got the mortgage on our house nearly 20 years ago, (Before we met), He was told the mortgage reserve was part of the mortgage so he didn't have the choice to opt out,also he wasn't clued up on the it's & outs of mortgages so simply accepted the £30 k. We have been repaying it at nearly £200 per month on top of the mortgage re payments of around £700. 
The mortgage reserve amount does not go down, he's been paying it for nearly 20 years and the balance is more or less the same, we have been told even when he dies it will still need to be paid, although the mortgage will be paid off on his passing away. 
The problem is he is now 68 & unable to retire from his  self-employment which is taking its toll on him physically, he gets a state pension but its not enough to cover everything, i dont work due to disability so even with my PIP it's not enough to live on, we do get a little bit from the DWP but it doesn't cover all out bills. We are too old to get another mortgage ,we have spoken with Barclays on a number of occasions & we get told the same thing, there's nothing they can do to help until he is behind with payments ,Because of the nature of his job ( Construction)he is struggling more & more, We do not see an end to this situation apart from sell the house he has worked so hard for. 
Neither of us are sufficiently clued up to see a way forward. 
Please Help 

sammyjammy

If you are both of state pension age have you looked into pension credit if he gives up work?  What did he do with the £30k?  Is the payment on this interest only?  Your description of it doesn't really fit with what I though a mortgage reserve was so I'll let someone more knowledgeable help.

Flugelhorn

The term reserve is usually related to offset accounts - you only pay the reserve if you have withdrawn the money 

penners324

You've never remortgaged in that time?

How long is left on the mortgage?

Maybe name the mortgage provider so people can investigate what the product was

Hoenir

CraftyCrafter01 said:

 He was told the mortgage reserve was part of the mortgage so he didn't have the choice to opt out,also he wasn't clued up on the it's & outs of mortgages so simply accepted the £30 k. 

The reserve which probably is a secured overdraft facility. Would have been zero when the mortgage was originally advanced. At some point money was withdrawn and spent. As matter stand what you are currently paying does little more than cover the interest. Not addressing the issue earlier is what has come back to bite you. The capital needs to be repaid somehow. 

Is downsizing an option? Clear your debts once and for all. 

ACG

penners324 said:

You've never remortgaged in that time?

How long is left on the mortgage?

Maybe name the mortgage provider so people can investigate what the product was

It will be Barclays. 

ACG

CraftyCrafter01 said:

My husband got the mortgage on our house nearly 20 years ago, (Before we met), He was told the mortgage reserve was part of the mortgage so he didn't have the choice to opt out,also he wasn't clued up on the it's & outs of mortgages so simply accepted the £30 k. We have been repaying it at nearly £200 per month on top of the mortgage re payments of around £700. 
The mortgage reserve amount does not go down, he's been paying it for nearly 20 years and the balance is more or less the same, we have been told even when he dies it will still need to be paid, although the mortgage will be paid off on his passing away. 
The problem is he is now 68 & unable to retire from his  self-employment which is taking its toll on him physically, he gets a state pension but its not enough to cover everything, i dont work due to disability so even with my PIP it's not enough to live on, we do get a little bit from the DWP but it doesn't cover all out bills. We are too old to get another mortgage ,we have spoken with Barclays on a number of occasions & we get told the same thing, there's nothing they can do to help until he is behind with payments ,Because of the nature of his job ( Construction)he is struggling more & more, We do not see an end to this situation apart from sell the house he has worked so hard for. 
Neither of us are sufficiently clued up to see a way forward. 
Please Help 

The reserve account was like an overdraft. Presumably that money has been spent and the £200 per month is the interest to cover it? That money must have gone somewhere. If it has not, then you have a reserve account but the balance is £0. Although my understanding is that Barclays tried to close or reduce as many reserve accounts as they could a few years ago, so I assume there is actually a balance outstanding. 

I think your only real option if unable to pay it off is to downsize. 

CraftyCrafter01

Thanks Everyone for your advice & comments. 
The 30k was used for home improvements, The mortgage was with Barclays. I don't get a state pension because I am 60 so under the threshold. I will look into pension credit & Down sizing is the last resort.