Repossession?

homeworkgirl

You and your daughter have been through enough already. Make the right decision about the house for the right reason.

You may be happier elsewhere. I don't presume to know your partner. But as a husband and father; I know that I would prefer my wife & kids to live elsewhere, be happy and have happy memories of this house rather than fight to keep it, building up sad memories along the way

Hi, thanks for your help.

My daughter and I definitely want to stay in the house if we possibly can, that is my priority. It really upsets me to think that after losing her Dad she could lose her home too.

Also, if we did have to leave, we would probably have to get rid of our animals which we love and that would break her heart too.

utterbar

silvercar wrote: »

Excellent post by HelpWhereIcan, the only thing I would add is that there is a court precedence for arrears payments.

Noridge vs. C&G (hope I've spelt that right) allowed for the arrears to be paid back over the whole term of the mortgage.

Of course, agreeing a repayment plan with the court only works if you can afford the repayments. If you can't you are just delaying the inevitable.

The case is C&G v Norgan [1996] 1 All ER 44, which (in brief summary) states that the starting point for arrears is clearance over the remaining term of the mortgage. It should be emphasised that this is merely a starting point and the mortgagee also has rights which the court will consider and suspended orders are not often made that do spread the payments over the full term.

utterbar

A good post from HelpWhereIcan but there are a couple of minor points that it may be useful to address:

HelpWhereIcan wrote: »

A suspended order will force the C&G to accept a certain level of payment with no recourse to possesion unless you break the agreement. At which point they have to go back to court to have the order enforced and you will have another chance to "put your case".

If a suspended order is broken C&G can just apply to have a warrant issued. No further hearing is required. Once the mortgagor receives the notice of eviction they can apply to the court for a suspension or vacation of the warrant but the onus is on the borrower to make this application.

HelpWhereIcan wrote: »

It is possible that the court would order an interest only payment plus a certain amount towards the arrears, but it is easier for them if the arrears are repaid.

If the current mortgage is a repayment mortgage the court has no jurisdiction to suspend on a basis that effectively turns the agreement into an interest-only mortgage. The test the court effectively applies is the ability to pay the sums due under the mortgage plus something to clear the arrears. First National Bank v Syed [1991] 2 All ER 250 prevents the court making an order that means that possession is suspended on payments of less than the normal mortgage payment plus a contribution to the arrears.

If they grant a repayment towards arrears they would normally expect the arrears to be repaid within 6 - 12 months. In your case this would mean a payment towards the arrears of between £100 and £200 per month on top of the interest only payment. It may be different due to your ill health. This is the sort of thing to discuss with CAB and any free legal advice you may have through your home or motor insurance.

Normally a balance is struck between the remaining term of the mortgage and the mortgagee's wish to have the arrears cleared immediately. It should be possible to persuade the court to suspend over 3-5 years if there's evidence of income to support that level of repayment.

You know yourself and your daughter better than anyone. Best of luck and my thoughts are with you.

As are mine.

homer_j_3

how much are the arrears?

what are the actual monthly repayments supposed to be?

this will give us a better idea of how deep in you are.

homeworkgirl

homer_j wrote: »

how much are the arrears?

what are the actual monthly repayments supposed to be?

this will give us a better idea of how deep in you are.

The arrears amount to approx £1200, monthly repayment just gone up to £513.00.

homeworkgirl

Well I have just heard back from my financial adviser that BS will still not budge on changing the mortgage to interest only, despite a second attempt to persuade them. He says he is amazed at their unhelpful attitude in this case and cannot understand it at all as it is a case of affordability. I am so upset by their unsympathetic attitude towards myself and my daughter's predicament that I feel like going to the press and naming and shaming them. I have really struggled to send them what I can over the past few months and now I wish I hadn't bothered as it seems it has made no difference at all and they will go ahead and repossess my house anyway. What makes me mad is the way they are always bleating on about contacting them if you find yourself in difficulties so they can help........just where is the help here?

bikerqueen

there was a long post from helpwhereican offering some excellent advice.

Merlot

Homeworkgirl, you have had some really good advice on here.

I think it is time unfortunately to call it a day and stop fighting the repossession, you have been through enough and you will find happiness in your new home, it is time to start looking at your other options, private rental, contact your local council, contact Shelter (they can advise you).


http://england.shelter.org.uk/advice/advice-2901.cfm


I know this is the last thing you want to hear, but reality is sometimes very painful and you have fought and fought, unfortunately for you, you couldn't change the mind of your lender and you must seriously think about the next step.

You are in my thoughts, I only remember you too well, when you were asking for help late of night on the DFW board, I only wish I could offer you some positive and practical help.

Merlot.x.

ThriftyBeanie

bikerqueen wrote: »

there was a long post from helpwhereican offering some excellent advice.

I think you are misunderstanding HWG's rhetorical question about where is the help...I read it that she means from the lender, not the board.

Some very good advice from HelpwhereIcan and others. I add my best wishes but sorry, can't think of any other advice that hasn't already been mentioned.

mightymouse

Hi

A Lender must have a procedure in place for dealing with arrears (FSA).

I set their (FSA) (slightly shortened) Guidance for dealing with customers in this situation:


"In relation to using reasonable efforts to reach an agreement with a customer over the method of repaying any payment shortfall , customers:


(1) should be given a reasonable period of time to consider any proposals for payment that are put to them; in addition, and depending on the individual circumstances, a firm may wish to do one or more of the following in relation to the regulated mortgage contract or home purchase plan1 with the agreement of the customer:

(a) extend 1its term1 ; or

(b) change 1its type1 ; or

(c) defer payment of interest due on the regulated mortgage contract or of sums due under the home purchase plan or

(d) treat the payment shortfall as if it was part of the original amount 1provided1 ;"


I would go back to the lender and ask it to follow its own guidlines.