In distress - mortgage shortfall

fatbelly

At the moment they are just saying 'you owe this'

The question you need an answer to is 'can they enforce this' and it's likely to be NO

Have CAB muddied the water here? It is quite possible to get wishy washy answers from CA. I work for them and do what I can but I am a small cog in a big wheel.

In response to your last point, it's a minuscule chance. The first stage would be them starting a court claim. I don't think they have and I don't think they will. Even so, you never see successful orders for sale. Change that minuscule to zero.

GoodEgg22

Thanks fatbelly! Great name! 😁

pamelly

I hope it's OK to add my situation to this thread. In 2013 I met with an insolvency practitioner regarding a mortgage with NRAM that I could no longer afgord to pay, as partner left to live in Canada (with his debts in my name, so stupid🙄) and house in negative equity. The shortfall was £117000. An IVA was discussed & agreed upon. He encouraged me to add in all other debts such as credit cards, etc which had never been my intention but naively thought, oh this is great. The IVA was completed in May 2015 & it was such a huge relief to receive that certificate after a broken relationship, finding a home to rent and after closing my business, and trying to find another job. So, roll on to 2024, I received multiple letters from Hessonite mortgages stating I still owe the shortfall of £117000!!! They were also calling me up to 10 times a day. Before I found this thread, a few weeks ago I sent them a letter with a copy of the IVA certificate. I feel sick to the stomach because I can't find reference to the mortgage shortfall on my IVA paperwork. I have not kept everything, not thinking it was ever going to be needed. I've called & emailed the insolvency practitioner without success. I have been renting ever since & only just managed to almost save enough to get a mortgage again later this year. I threatened that I would report Hessonite for harrassment so they have reduced the calls to a few times a week and I've had no further written communication, yet. Do I have a leg to stand on? 🙏

fatbelly

If it wasn't listed in the IVA, it wasn't covered by the IVA.

If it existed as a quantified debt in 2013 then it goes statute barred this year under the 12 year rule and there is already a 6-year rule that you can lean on.

For now I would continue to ignore but if you get a formal preaction protocol letter you do have to respond to that

See if you can find a way to block their calls

sourcrates

A two year IVA???

Well normally they last a min of 5/6 years, and some up to 7.

Why was yours so short, did you settle it early with a lump sum?

Are you certain this was a bona fide IVA?