house repossesion(does it become statue barred

[leinad]

can anyone help please . in 1998 my house was being reposessed and i stupidly ran away from it all. ive never heard anything since . there was also a secured loan on the house . how long can they actually chase me for this money .does it ever become statue barred . any comments on this matter would be greatly appreciated

[Dipply75]

I only assisted on paperwork on a few cases involving repossesions & secured loans etc so I'm not entirely sure but, as far as I was told (possibly mistrained lol), the lender should have been paid (or as much as possible) from the eventual sale of the property. whatever balance is left over then becomes unsecured, which they should then have been chasing you for (if the lender is irresponsible enough to over secure lending on a property).

To me that means that the normal statute barred time frame comes in? if that was 1998 then depending on when it became unsecured, it may be statute barred. Can anyone else confirm or correct me?

[rory32]

On the capital owed on any shortfall they have 20 years to reclaim the shortfall. On any interest part of the shortfall the have 5 years. This would be the same for the mortgage and the scured loan. A secured loan is effectively a second charge on your property. Do you know if the property was sold for the correct market value?

[leinad]

i dont know how much the property was sold for, just dont know wether to come clean or not , can they now add 10 years of interest to the capital amount, and are the rbs any good at coming to an arrangement of monthly payments or are they likely to demand the whole sum at once
regards

[rory32]

i dont know how much the property was sold for

Okay, you can request that information and a lot more besides. Really what you want to know was was the property sold for a fair market price. What you don't want to be doing is picking up a shortfall because they under valued the property in order to get a quick sale. You would also wish to know if any charges have been added to the account.

just dont know wether to come clean or not

Have you recently received correspondence regarding this shortfall? If so who from?

can they now add 10 years of interest to the capital amount

No they can only claim 5 years interest to the capital.

are the rbs any good at coming to an arrangement of monthly payments or are they likely to demand the whole sum at once

Realistically they would have to agree to a repayment plan of some kind. Are you presently a homeowner or do you now rent?

[leinad]

hi rory
no ive not heard anything about it since i left the property , i now rent and live in england although im moving back to scotland thats why im worried about it . frightened in case i get in touch and they demand too much money

[rory32]

Well if they do get in touch that's when you start asking questions like how much they sold the property for, who valued the property, was the property maintained, etc. If they do get in touch post on here and we'll be able to advise you further.

[leinad]

thanks rory, keep up this brilliant site folks