Arrears paid but still threatening repossession

[bev336]

I built up arrears of £1048 with Southern Pacific, through Capstone Mortgages, they give me until 30th July to come to some arrangement or pay the arrears. I managed to pay off the arrears by 30th July and August payment was still made ok, however i have received a letter from them telling me that my case has now been passed to their solicitors for repossession proceedings to commence. I have actually overpaid by just over £20 so there is no arrears at all and they have acknowledged this, don't know what else to do.

[OLIVE.FAMILY]

try not to panic. Ell-en will be along very soon and she will help you. I am sure IF it went to court that the judge will just laugh it out and give the mortgage company a right good telling off
olives xx

[bev336]

i hope so there isn't much else I can do, all arrears are paid and the mortgage is up to date. All I get from them is that I will be hearing from their solicitors in due course.

[Ell-enn]

Hi there, they really are stupid aren't they!! I suspect as with most subprime lenders, their internal communication is a shambles, and the payments section has not advised the legal section etc etc.

You should write to the address on the letter you received enclosing proof of payment and also a copy of their confirmation letter that you have paid the arrears (don't send any originals). Send the letter by recorded delivery and keep the receipt with a copy of the letter.

As Olive says, if this were to get to court the judge would not be pleased with your lender !! (almost makes you want them to do it).

Please don't worry - you are in the right and they most certainly are not.

Kind Regards

Ell-enn

[bev336]

Thanks for you reply, i have already contacted Capstone and they have acknowledged that all arrears have been paid and that the mortgage is fully up to date, but they say it took to long to get posted to my account and it has already been passed to their solicitors who have already started the process of repossession of my home. The person on the phone was extremely unhelpful and basically only gave one word answers wherever possible. I will however try writing to them.

[Ell-enn]

Typical response, communication again. Right, well if their solicitors want to start a claim for possession they are going to have to show the amount of arrears in their particulars of claim, and since there are no arrears they will be stuffed!

If they are stupid enough to carry on with the claim, we can put a defence in and see what the court has to say about it. The claim would be withdrawn like a hot potato I should imagine!!

Ell-enn

[bev336]

I'll let you know what their response is when i write to them

[Ell-enn]

OK, keep us updated. We're here if you need us

Ell-enn

[bev336]

Thanks i will keep you updated

[repoman]

This will be very entertaining. In order to issue proceedings the mortgage has to be two payments or more in arrears (Law of Property Act 1925). Yours isn't. They're just being foolish. Tell them to bring it on.

RM

[bev336]

I wasn't even 2 payments in arrears until the end of the month, i am now in credit with them by £20 as i overpaid

[Ell-enn]

Originally Posted by Ell-enn

Typical response, communication again. Right, well if their solicitors want to start a claim for possession they are going to have to show the amount of arrears in their particulars of claim, and since there are no arrears they will be stuffed!

If they are stupid enough to carry on with the claim, we can put a defence in and see what the court has to say about it. The claim would be withdrawn like a hot potato I should imagine!!

Ell-enn

Originally Posted by repoman

This will be very entertaining. In order to issue proceedings the mortgage has to be two payments or more in arrears (Law of Property Act 1925). Yours isn't. They're just being foolish. Tell them to bring it on.

RM

As Repoman says - bring it on - Idiots!! would be worth going to court to see them get an a$$ kicking from the judge!

[Bona]

An you can get all yyour costs day of work travelling compensation it could be fun

[sutton6344]

I had a case along these lines.

The lender went ahead with a repossession order despite all arrears being paid.

I assumed once the arrears were paid the case would be withdrawn and went on holiday and forgot about it, imagine my horror when I returned and opened a letter from the court stating my house had been repossessed!!!

They apologised and said they wouldn't enforce the repossession (that's good of them) and the error was due to the payment not being applied to my account.

I have written confirmation from their bank that they quoted my name and loan reference number with my payment.

[repoman]

Personally I'd apply to the Court to get the possession order set aside.

RM

[sutton6344]

Thats already been done

[sutton6344]

Does anyone know of any county court precedent regarding this ???

Or any Laws or Acts that have been broken???

[notreadytogiveupyet]

Hey people..

Hopefully you will have got this sorted by now!!! But please make sure they dont try to add their costs to your balance... You will be paying for it forever...