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We took a mortgage out with Northern Rock in 1999 for 125k.
We then took out a secured loan with First Plus in 2006 at which point the property was valued at 240k,
with the secured loan we took out PPI.
At the time we only wanted to borrow 30k a rep came to the house and we ended up borrowing 50k plus with PPI payments on top, the money was to pay off 20k student loan, a car loan and some credit cards.
We could easily afford the payments, as my wife is a teacher and myself a building surveyor,
our income at the time was approx 80k per year.
In feb 2009 I was made redundant, at the time I was on a rolling 12 month contract,
I was made redundant as a direct result to the credit crunch, at the time we had 7k in savings, so for the first few month we were able to meet our obligations, when I realised that there was no chance of obtaining employment, I approached both lenders to negotiate lower payments.
NR said they would look at lower payments only if FP would undertake the same, contacted FP who said we should claim on our PPI, this was about May 2009.
As I was first named on the PPI agreement, I did not think there would be a problem.
About 4 weeks later a decision came back and they refused my claim, I could appeal,
I had to send information to Barclays in the Republic of Ireland.
it took nearly 3 months for a response, again refusing to pay our PPI claim,
citing that I was not the first named on the document, but here in front of me was a copy of the agreement showing I was first named.
I contacted First Plus about lower payments, they responded by saying that they could not lower payments
as the rate was linked to LIBOR. Which at the time was 8.6%, BOE rate was 3.5%.
This was the first time I had heard of LIBOR, as I thought interest rates were BOE related, they then said I was also in arrears and could not discuss the account until the account was brought up to date.
We where still making payements to both NR and FP of approx 60% of the monthy payments,
NR asked us for Income & Expenditure statements, we filled in approx 4 from Nov 2009 until Aug 2010.
NR finally responded and said the calculated payments for I&E statements came in to low
and that they could not accept (came in at £600 per month) full payment should have been £1100.
FP would not consider a lower payment,we where paying £300 (50%) of the monthly payment of £600 per month)
Aug 2010 we received a summons from the Court for FP for repossession,
a couple of weeks later a summons for NR, about this time I managed find some employment on a zero-hour contract working nights at a hostel for the homeless, (ironic).
The case went to court for FP, at which the judge threw out because of the issue of PPI, The first case for NR was adjourned, FP sent another summons, and we also received another court date with NR which was first, the case was on a monday morning 18th of October, 2010, the wife had not been involved with the court cases as she had been off work for about 7 months with depression, at the time I didn't think it wise to have her involved with court, I had just worked 4 nights in a row, the court case was at 09:30 in the morning, I got in from work at about 08:15, had a brew and subsequently fell asleep in the chair,by the time I woke up it was to late, the case had been heard in my absence, with NR given a possession order for the 18th Nov, 2010.
We subsequently found rented accommodation and left the premises on the 18th of Nov in compliance with the repossession order, I contacted Norther Rock about the house keys, all they said was to keep the house insurance in place which we did,
we gave NR our new contact details, we heard nothing from NR until March 2010 saying bailiffs where coming to take possession of the property, and they would be there I think 10.00 am in the morning, when I arrived at the property one of the neighbors came out and told me that there had been a burst pipe in the property in the December, he and another neighbor broke in and turned off the water, but significant damage had been done, I waited for the bailiff to arrive before entering the property, the kitchen ceiling and all the kitchen units had been damaged, the property had been valued at 240k in 2006.
NR sold the property for a 135k leaving me with a shortfall of 100k. I keep being told the credit crunch is due to the bankers, I lost my job due to the credit crunch and subsequently my house.
Points
FP did not pay PPI causing subsequent problems.
FP claimed interset payments where linked to LIBOR, FP are a subsidiary of Barclays
who have been found guilty of manipulating the LIBOR market.
NR had a possession order for the 18/11/10, but did not take possession of the property until march 2011.
I dont believe either company followed government guidance at the time in terms of repossession.
I'm working again as a building surveyor and my wife is still a teacher,
we are in rented accommodation with no chance of obtaining a mortgage.
Looking for legals for intial advice and if it is feasible to issue a counter claim
We then took out a secured loan with First Plus in 2006 at which point the property was valued at 240k,
with the secured loan we took out PPI.
At the time we only wanted to borrow 30k a rep came to the house and we ended up borrowing 50k plus with PPI payments on top, the money was to pay off 20k student loan, a car loan and some credit cards.
We could easily afford the payments, as my wife is a teacher and myself a building surveyor,
our income at the time was approx 80k per year.
In feb 2009 I was made redundant, at the time I was on a rolling 12 month contract,
I was made redundant as a direct result to the credit crunch, at the time we had 7k in savings, so for the first few month we were able to meet our obligations, when I realised that there was no chance of obtaining employment, I approached both lenders to negotiate lower payments.
NR said they would look at lower payments only if FP would undertake the same, contacted FP who said we should claim on our PPI, this was about May 2009.
As I was first named on the PPI agreement, I did not think there would be a problem.
About 4 weeks later a decision came back and they refused my claim, I could appeal,
I had to send information to Barclays in the Republic of Ireland.
it took nearly 3 months for a response, again refusing to pay our PPI claim,
citing that I was not the first named on the document, but here in front of me was a copy of the agreement showing I was first named.
I contacted First Plus about lower payments, they responded by saying that they could not lower payments
as the rate was linked to LIBOR. Which at the time was 8.6%, BOE rate was 3.5%.
This was the first time I had heard of LIBOR, as I thought interest rates were BOE related, they then said I was also in arrears and could not discuss the account until the account was brought up to date.
We where still making payements to both NR and FP of approx 60% of the monthy payments,
NR asked us for Income & Expenditure statements, we filled in approx 4 from Nov 2009 until Aug 2010.
NR finally responded and said the calculated payments for I&E statements came in to low
and that they could not accept (came in at £600 per month) full payment should have been £1100.
FP would not consider a lower payment,we where paying £300 (50%) of the monthly payment of £600 per month)
Aug 2010 we received a summons from the Court for FP for repossession,
a couple of weeks later a summons for NR, about this time I managed find some employment on a zero-hour contract working nights at a hostel for the homeless, (ironic).
The case went to court for FP, at which the judge threw out because of the issue of PPI, The first case for NR was adjourned, FP sent another summons, and we also received another court date with NR which was first, the case was on a monday morning 18th of October, 2010, the wife had not been involved with the court cases as she had been off work for about 7 months with depression, at the time I didn't think it wise to have her involved with court, I had just worked 4 nights in a row, the court case was at 09:30 in the morning, I got in from work at about 08:15, had a brew and subsequently fell asleep in the chair,by the time I woke up it was to late, the case had been heard in my absence, with NR given a possession order for the 18th Nov, 2010.
We subsequently found rented accommodation and left the premises on the 18th of Nov in compliance with the repossession order, I contacted Norther Rock about the house keys, all they said was to keep the house insurance in place which we did,
we gave NR our new contact details, we heard nothing from NR until March 2010 saying bailiffs where coming to take possession of the property, and they would be there I think 10.00 am in the morning, when I arrived at the property one of the neighbors came out and told me that there had been a burst pipe in the property in the December, he and another neighbor broke in and turned off the water, but significant damage had been done, I waited for the bailiff to arrive before entering the property, the kitchen ceiling and all the kitchen units had been damaged, the property had been valued at 240k in 2006.
NR sold the property for a 135k leaving me with a shortfall of 100k. I keep being told the credit crunch is due to the bankers, I lost my job due to the credit crunch and subsequently my house.
Points
FP did not pay PPI causing subsequent problems.
FP claimed interset payments where linked to LIBOR, FP are a subsidiary of Barclays
who have been found guilty of manipulating the LIBOR market.
NR had a possession order for the 18/11/10, but did not take possession of the property until march 2011.
I dont believe either company followed government guidance at the time in terms of repossession.
I'm working again as a building surveyor and my wife is still a teacher,
we are in rented accommodation with no chance of obtaining a mortgage.
Looking for legals for intial advice and if it is feasible to issue a counter claim
