URGENT HELP NEEDED - eviction notice

jimc_2

girl1980 wrote: »

The repayments on the loan have defaulted

Re-reading this, I mis-interpreted the impersonal reference to 'the loans have defaulted' as meaning the friend was not the responsible person but had somehow lost out because of someone else's non-payment.

Sorry.

girl1980

thanks for all your messages.

I understand your confusion and it is possible that I dont have all the information but here is the issue as i know it:

The property is mortgaged and owned by my friend.

She took out the loan again the property but hasn't been able to keep up the repayments and the loan has defaulted.

She has received a 2 week eviction notice unless she can pay £1000 which is the total amount of the default by the end of the 2 weeks.

It concerns me that someone mentioned that she wouldn't get an evicition notice if it was her property and am now wondering what is really going on.

Thanks again for your help, I am going to go and see her again and try and get to the bottom of it.

BettiePage

I thought they'd have to take her to court before getting her repossessed? They can't 'evict' her.

Snooze

girl1980 wrote: »

It concerns me that someone mentioned that she wouldn't get an evicition notice if it was her property and am now wondering what is really going on.

Afaik, you can't be served an "eviction notice" on your own property if you've defaulted on a loan (someone correct me if I'm wrong).

If she owns it and has a mortgage on it then as it's a secured loan I'd imagine it would be a Charging Order which, if she can't pay anything at all, would lead to an Order for Sale (forcing a sale of the property) but I can't see it being this heavy-handed for £1000.

I think you've got your wires crossed somewhere.

Rob

silvercar

I would guess that the loan company have written to your friend saying that they will go to court to seek repossession if she doesn't come up with £1000 in the next few weeks.

The loan company would have to go to court, at which point your friend should seek help and attend court. She would show the judge income and expenditure forms and agree a payment schedule to repay the loan arrears. The judge would then issue a suspended repossession order meaning repossession would be granted if your friend didn't keep up with the agreed payments.

Do seek help on the debt free board, your friend is best tackling this now. Talk of eviction suggests a standard form letter has been used from the secured loan company.

mroller

this is a troll guys, i dont believe it for a second

Snooze

mroller wrote: »

this is a troll guys, i dont believe it for a second

:huh: :huh: :huh:

BobProperty

silvercar wrote: »

I would guess that the loan company have written to your friend saying that they will go to court to seek repossession if she doesn't come up with £1000 in the next few weeks.

The loan company would have to go to court, at which point your friend should seek help and attend court. She would show the judge income and expenditure forms and agree a payment schedule to repay the loan arrears. The judge would then issue a suspended repossession order meaning repossession would be granted if your friend didn't keep up with the agreed payments.

Do seek help on the debt free board, your friend is best tackling this now. Talk of eviction suggests a standard form letter has been used from the secured loan company.

This makes a lot more sense unless your friend has been ignoring several court hearings. To others questioning the £1000, this is presumably a bit more than 2 months payments on the secured loan which is why it doesn't seem to be a lot of money compared to today's typical mortgage repayments but is sufficient to allow court action.

jimc_2

OP. Here is a recent article that seems to discuss your friends concerns. I agree with BobProperty and silvercar that you need to find out exactly what form the threat of 'two week eviction" is in before anyone can advise properly.

jmp1

Firstly this applies to whoever actually owns the property rather than the sitting tennants.

I've been in the situation whereby I couldn't maintain the payments on the secured loan (known as a second mortgage) or the mortgage due to the interest percentage going through the roof. The mortgage was 16% and the secured loan was just under 20%.

I believe that what they have received is a Notice to Seek Possession (which does say that they can apply within 14 days - but it still has to go through the Courts).

At this stage complete the N9 (acknowledgement of service) and request the maximum amount of time in which to reply (I believe it's 28 days rather than the usual 14).

WITHIN the 28 days - If you don't dispute the claim amount complete form N9A, if you do dispute the amount complete form N9B (i.e. if you've paid something since you received the notice of seeking possesion).

DO ATTEND the hearings, it goes better for you - there is usually a CAB or other qualified duty solicitor there, but you might like to check there attendance dates as not all Courts have one every day.

Courts usually accept an amount that will clear the arrears within a maximum of 4 years, and you must show that you can afford to make the payments, also specify when you would like to make the payments (e.g. when you get paid for instance) a suspended possession order is a good thing if it gets you out of trouble.

If you fail to maintain the agreement then the creditor has the right to go back to the Court and seek service of the possession order so if you find that you can't afford to keep up the repayments you should apply back to the Court to vary the order using form N245 (available from most Court websites).

If you find that you really can't manage to make any payments and it's all getting too much, I would complete the above document and request suspension of the possession order so that you can sell your property.

If you are going to sell the property as a way out of the situation, DO make sure that the Court are aware of your intentions at the outset as the creditors will try their hardest to obtain possession and sell the property themselves. Put the property on the market as soon as possible and try to sell it and complete BEFORE they can take it away from you.

Once again DO attend any hearings, it's much better if you defend yourself. You will have to show proof of your intentions, solicitors letters etc. An acutal confirmation of offer would be so much better. The Courts may allow you extra time in which to compelete your sale, but it's not a guarantee.

We had to sell ours and managed it, but we only came away with a few thousand - be aware that you may have to undersell your property in order to get rid of it quick, but don't so undersell it that it won't cover the the creditors and the costs you have to pay the solicitors, estate agents etc.