Repossession paperwork Help please

[seduraed]

As those who follow me know i am a carer for my wife and work part time. Things have got tough after we had bedbugs. This cost me of 1500 in losses after paying te exterminator and replacing beddding etc. Now we have received a notice of repossession with a hearing date of june 4th and im not sure what to do next. Arrears are about £2500 woth a morageof £117000 and propertyvalue of around £450000. We've had difficulty paying for some time but i want to stay in the house for a year or two longer so we can finish decorating and get the best price.
What I wanted to ask is ow to fill in the forms the mortgage is in joint names .Do i need to fill in a response for each of us or simply do one outlining the income and expendtiure for us both . e are still togeter although the strain is starting to show. The mortgage company have said that they are not willing to entera suspended possession but want to repossess immediatly. If raised a tousand against the arrears and hope to raise some more . i just dont know how to procede . can anyone advise.

[Diana M]

Who is the lender and who are the solicitors who have been instructed to issue these proceedings?

Is this a repayment or an interest only mortgage?

When is the loan term due to expire in case Cheltenham & Gloucester v Norgan may help you?

Di

[seduraed]

Lender was originally GE money and is now Promontoria Vantage credit. The solicitors are Aberdein Considine . The Mortgage was taken out in 2011 iirc. It is an interest only mortgage for £117000.

[seduraed]

As yo may know we let rooms should i enter the income on both income and expenditure from the court of do it once so that it is only on one persons income sheet.

[Crazy council]

generaly, does your income / expenditure show enough to pay trhe morgage pluss enough to pay the arrears over 6 months.

If i have this the right way around, you have a morgageee of 117,000 on a property worth around 450,000 ( 3/4 asset ), Arrears of 2500. There will be the cost of the application to add onto that as well. Do you have any idea of the costs

Do the arrears totaly up more than 6months payments.

It mioght be worth asking them if they will agree to a suspended possesion for 6 months, to keep costs down, depending on what they say formaly to that ( Always make these offers by emia;l/letter but be carfull what ytou say on them )

If you can pay the 1000 up, and any more before that date, you have a beeter channe of avoiding highre costs being added on. Try get the arrears below 6 months if they are more than that

[seduraed]

Monthly payment is £518 per month , we have a thousand to pay on top of this month's payment. No way can we AFFORD TO PAY OVER SIX MONTHS. it could be done over 12.I am in the process of trying to see if i can raise another 1000 from family that will take the arrears to one month. costs are £325.

[Diana M]

These are my suggestions to prevent repossession of your home:

1. Call the free Shelter Helpline on 0808 800 404 they have legal advisers trained in housing law who will help you. They can sometimes help you find free legal representation at the Hearing. You must go to the Hearing in order to increase your chances of success.

2. Find a LawWorks clinic near you and make an appointment. They are run by fully qualified solicitors and lawyers. They can sometimes provide representation at a Hearing. They can help/draft letters to your lender's solicitors. Here's how to find a local clinic > https://www.lawworks.org.uk/legal-ad...linic-near-you

3. Read this link to Shelter's website which gives you solid advice (and potential arguments) on how to prevent a Possession Order and the steps you need to take now before the Hearing next month > https://england.shelter.org.uk/housi...t_repossession

4. The aim is to get the Hearing Adjourned either in advance by consent or ask the DJ on the day. You will need to demonstrate to the court that everything is under control financially speaking. Ask for a three month Adjournment and see what they say.

5. If that can't be achieved then your next aim is it get a Suspended Possession Order. Ask for conditions to be included such as no eviction without return to court to give you the opportunity to explain why you've not been able to comply with the Order if that happens. A SPO can be for a precise time (such as 6 months) or it can be silent on the length so it only takes effect if you breach the terms of the Order.

6. This is a joint mortgage so both of your circumstances will be considered and not just your financial situation. You say you are the carer for your wife which suggests she has health issues. Make the court aware of these supported by letter/evidence from her GP etc.

7. Make the court aware of how you got into this arrears situation and give them optimism of your ability to get out of your current pickle. If you have a good track record of payment in the past (years without arrears?) then the court can see it's a temporary financial blip.

8. You have substantial equity in the property (from what you say) so the lender will not be prejudiced if they have to wait for the arrears to be cleared. It would be different if the property had no or little equity so the 'debt' (i.e. loan) was increasing.

9. There is Pre Action Protocol for possession proceedings and other options which they should consider before issuing legal proceedings as a last resort. They could consider capitalising the arrears which means the sum is added to the loan hence no 'arrears'. However this would mean interest would be charged on the 'arrears' when it becomes part of the capital sum, which in turn would increase your monthly payments. Take legal advice on this point.

10. Ask three local estate agents to value your property (no need to tell them why - tell them you're thinking of selling) this will provide evidence to the court that you have amply equity in the property and it's not just wishful thinking on your part.

11. Do you have reason to dispute the amount. My memory of G E Money mortgages is you may have. These were sold through a broker/intermediary so was there hidden commission? Was there PPI? Have you been charged unfair interest and charges? Would the loan expire after your retirement age (wife included) etc? Is there reason to raise a counterclaim? If you were given incorrect legal/financial advice at the point of sale then you may have a Defence and can ask the court to Dismiss their claim for possession.

12. Have your offers to deal with the arrears been in writing? If so show this as evidence to the court that you have made reasonable efforts to deal with this, but the lender has been unreasonable (if they have). This will help you to argue that they can claim costs from you due to their conduct (if that's the case).

I'll pop back later with more ideas.

Di

[Crazy council]

Hi

Just going through options if you asked for a suspended possession ( the costs and interest would be added as well)

it could ber paid over 12 months on top of your monthly payment ( payment plus 200 ( without paying the 1000 )
or if you paid the 1000 and did the rest over 12 months, ( payment plus 120 pm )
Your intent would be to sell in about a year, when some updating is done ?

Your arrears are just under 5 months. ( 2.5k )
You have had the morgagee since 2011
Your asset in the property is approx 3/4 300k

I need to ask someone about interst only morgagess, and how there currently dealt with though the courts ( they have current experience ) before i add the rest.

Have you had arrears before, or prior action by the morgagee co.

just on point

As yo may know we let rooms should i enter the income on both income and expenditure from the court of do it once so that it is only on one persons income sheet.

make sure your getting that accounted for in the best way. Ir, run your house as a busness and make a loss or small income after costs.
or
Adding it on top of your income, and classing your morgagee as a personal bill, not a busniess costs

[seduraed]

These are my suggestions to prevent repossession of your home:

1. Call the free Shelter Helpline on 0808 800 404 they have legal advisers trained in housing law who will help you. They can sometimes help you find free legal representation at the Hearing. You must go to the Hearing to increase your chances of success.

2. Find a LawWorks clinic near you and make an appointment. They are run by fully qualified solicitors and lawyers. They can sometimes provide representation at a Hearing. They can help/draft letters to your lender's solicitors. Here's how to find a local clinic > https://www.lawworks.org.uk/legal-ad...linic-near-you

3. Read this link to Shelter's website which gives you solid advice (and potential arguments) on how to prevent a Possession Order and the steps you need to take now before the Hearing next month > https://england.shelter.org.uk/housi...t_repossession

4. The aim is to get the Hearing Adjourned (either in advance by consent) or ask the DJ on the day. You will need to demonstrate to the court that everything is under control financial speaking. Ask for a three month Adjournment and see what they say.

5. If that can't be achieved then your next aim is it get a Suspended Possession Order. Ask for conditions to be included such as no eviction without return to court to give you the opportunity to explain why you've not been able to comply with the Order of that happens. A SPO can be for a precise time (such as 6 months) or it can be silent on the length so it only takes effect if you breach the terms of the Order.

6. This is a joint mortgage so both of your circumstances will be considered and not just your financial situation. You say you are the carer for your wife which suggests she has health issues. Make the court aware of these supported by letter/evidence from her GP etc.

7. Make the court aware of how you got into this arrears situation and give them optimism of your ability to get out of your current pickle. If you have a good track record of payment in the past (years without arrears?) then the court can see it's a temporary financial blip.

8. You have substantial equity in the property (from what you say) so the lender will not be prejudiced if they have to wait for the arrears to be cleared. It would be different if the property had no or little equity so the 'debt' (i.e. loan) was increasing.

9. There is Pre Action Protocol for possession proceedings and other options which they should consider before issuing legal proceedings as a last resort. They could consider capitalising the arrears which means the sum is added to the loan hence no 'arrears'. However this would mean interest would be charged on the 'arrears' when it becomes part of the capital sum, which in turn would increase your monthly payments. Take legal advice on this point.

10. Ask three local estate agents to value your property (no need to tell them why - tell them you're thinking of selling) this will provide evidence to the court that you have amply equity in the property and it's not just wishful thinking on your part.

11. Do you have reason to dispute the amount. My memory of G E Money mortgages is you may have. These were sold through a broker/intermediary so was there hidden commission? Was there PPI? Have you been charged unfair interest and charges? Would the loan expire after your retirement age (wife included) etc? Is there reason to raise a counterclaim? If you were given incorrect legal advice at the point of sale then you may have a Defence and can ask the court to Dismiss their claim for possession.

12. Have your offers to deal with the arrears been in writing? If so show this as evidence to the court that you have made reasonable efforts to deal with this, but the lender has been unreasonable (if they have). This will help you to argue that they can claim costs from you due to their conduct (if that's the case).

I'll pop back later with more ideas.

Di

my memory is that the loan has no ppi as i checked . i expires when i am 66.

[seduraed]

no clinics nearer than london. the website doesn't seem helpful. i've borrowed 4000 from the family and have 1000 maybe two form my own resources.

[Diana M]

Lender was originally GE money and is now Promontoria Vantage credit.

G E Money stopped lending in 2015 so that may be the time your loan was assigned to Promontoria Vantage.

If Promontoria Vantage is the Claimant in these proceedings (are they?) then they would need to prove that they own the debt and that the Deed of Assignment was correct at the time.

Promontoria has its roots in Ireland so you need to establish whether there are any potential jurisdiction issues with this claim.

Promontoria is not authorised or regulated by the FCA so that may cause them difficulties.

According to Companies House Promontoria Vantage is a "non trading" company. > https://beta.companieshouse.gov.uk/company/09578284


They may need to get their house in order before they can take away yours.

(Can you give me a little more information about the assignment please - Promontoria has many different 'names'.)

Di

[Diana M]

we let rooms should i enter the income on both income and expenditure from the court of do it once so that it is only on one persons income sheet.

Under the Government's Rent-a-Room scheme you can take in lodgers tax exempt up to £7,500 pa.

Is the rent paid direct to you or to your wife? It may matter.

You can read about that here > https://www.gov.uk/rent-room-in-your...-a-room-scheme

(Before setting up as a business you need to take advice on the pros and cons taxwise.)

Di

[Diana M]

The Mortgage was taken out in 2011 iirc..

How many years left on the mortgage term?

Cheltenham & Gloucester Building Society v Norgan [1996] 1 WLR 343 is case law which basically states that the arrears can be paid off over over the life of the loan (i.e. by the mortgage expiry date not six months).

Read about the Court of Appeal decision here> https://www.independent.co.uk/news/p...m-1525672.html

The COA case law is here > http://www.bailii.org/cgi-bin/markup...method=boolean

Di

[Diana M]

Lender was originally GE money and is now Promontoria Vantage credit. . . . The Mortgage was taken out in 2011 iirc. It is an interest only mortgage .

Do you have a financial vehicle to pay off the loan when it expires such as a pension or endowment policy?

Were you 'sold' an insurance product when you took out the loan with G E Money?

Did you arrange this loan through a broker?

I note you'd like to remain in the property for another two years at least. Does the loan expire in two years' time or before/after?

If so, and you don't wish to leave, then the FCA Guidance on interest-only loans tells a lender to agree to a further two years in the interests of Treating Customers Fairly.

The only snag I foresee is that Promontoria don't appear to be authorised by the FCA.

This is the FCA Guidance from 2013 > https://www.fca.org.uk/publication/f...ce/fg13-07.pdf

Were both your wife and you in employment when you took out this mortgage?

Even if you can borrow the funds from family and other sources this shouldn't put you in hardship. If there's another way (defend the proceedings could be one) then at least explore it.

You say you found a website I had suggested "unhelpful" (which one?) but you can ask me questions if that helps.

Di

[Diana M]

i've borrowed 4000 from the family and have 1000 maybe two form my own resources.

I've asked you a lot of questions over a number of posts to deliberately keep each legal issue separate as some may have strength and others may fall by the wayside.

I've had a Suspended Possession Order on my home so I know how you must be feeling.

I remained in the property for twelve years and eventually sold it (my choice) for three times what I paid for it. I fought tooth and nail to keep it because it wasn't a "house" it was my "home".

This is what motivates me to do what I do today.

I hope you can also fight back against this situation of yours.

Di