Repossession hearing on Monday

[Kezzakins]

Hi

 

I wonder if you could help us.

 

My boyfriend has a remortgage for £80 k on a studio flat, fixed term interest.

 

Currently, he is unable to work due to long-term depression, and while the benefits agency are paying some towards the monthly payment, they aren't paying much - £200 per month. He needs to find £400 to make it up.

 

He only receive £186 per fortnight in benefits, so needless to say, he's finding it a big struggle.

 

At present, his arrears stand at just over £2000.

 

He is due to attend a repossession hearing on Monday, and has worked out what he can afford to make up the shortfall, which is £50 per week.

 

He cannot afford anything else until he's in a position where he's able to go back to work, possibly in the next 6 months.

 

Is the court likely to accept this, or is the situation hopeless?

 

Also, what options are available to him?

 

Kxx

[Kezzakins]

Sorry to bump this - I'm stressed to the limit and have spent most of the day crying.

[vickson]

Kezzakins.

 

Who is the lender, is the mortgage interest only or repayment?

Has he written to the lender informing them of the situation?

Judges will not normally give outright possessioin to the lender at the first attempt, however your boyfrend has to show up in court and defend the case.

Has he sent in a defence?

at court he should show how he is going to make up the shortfall, he will most likely end up with a suspended order which means as long as he sticks to the payments he will not lose the property.

 

Try not to worry to much and help your boyfrend put all his paperwork together he will need you to be strong at this time.

[Kezzakins]

The mortgage is GE money and it's interest only.

 

He has advised them of the situation by phone, but they don't seem to be very helpful. It's a case of "oh well, it goes to court on monday, so it's not our problem"

 

He didn't receive any defence forms, so I have managed to find them online.

 

We are hoping to go for arrears capitalisation or a time order, because we would like to sell this place, but obviously, not this quick, as he needs to find another property place.

 

Kezzakins.

 

Who is the lender, is the mortgage interest only or repayment?

Has he written to the lender informing them of the situation?

Judges will not normally give outright possessioin to the lender at the first attempt, however your boyfrend has to show up in court and defend the case.

Has he sent in a defence?

at court he should show how he is going to make up the shortfall, he will most likely end up with a suspended order which means as long as he sticks to the payments he will not lose the property.

 

Try not to worry to much and help your boyfrend put all his paperwork together he will need you to be strong at this time.

[Kezzakins]

Ok, we have been in touch with the National Debtline who have advised us that the best thing to do is to ask for an ajournment so we can sell the property.

 

We are wondering about these quick sale schemes?

 

Our mortgage is for £85 k and the value last year of the property was £120K. What sort of price would we be looking at getting if we did this? Also, can anyone recommend a reputable company?

 

Thanks

 

Kxx

[Kezzakins]

Following on from this, we have been in touch with the lender this afternoon again, to ask what our options are.

 

The infuriating thing is that every time we speak to them, we get a different story.

 

First, we were told they were only going for a suspended possession. Now, we have spoken to them today, and they rather rudely said they are going for full possession as soon as possible. Not what they have been saying in the past.

 

Anyway, we have spoken to a friend of ours who is a financial advisor. He has advised that we should offer to pay the shortfall at £362.79 per month plus an extra amount towards the arrears. So we've worked out that we can just about squeeze to another £70 per month, but would prefer it to be an extra £50 per month if we can as we have more chance of being able to afford that.

 

He also advised that we shouldn't inform the lender we are selling as they'll want to get in there first. The mortgage is for £85k and the value of the property is around £120k. It's my guess, they're going to do quite nicely out of it.

 

At present our arrears stand at nearly £4000. (all the bloody charges they've been adding from the months we were unable to pay!) What really annoys me, is we got into difficulties back in december and sent a form off to the lender for them to fill in their part for the dwp to help with the mortgage payments. The DWP received it back from them in February! So, if they'd have sent it back quicker, we wouldn't have so much arrears. I feel as though we've been well and truly stitched up!

 

Anyway is the judge likely to agree this arrangement? We are going to contact the lender again tomorrow to see if they will accept this.

 

It will leave us with practically nothing, and to be honest, I'd feel happier offering less, but if it means it buys us a bit of time, then this is what we have to do I guess.

 

If the lender/judge is agreeable to this, we are going to pay until we can sell - a quick sale really, as we want out asap and get into the rented sector. We have a few properties to look at, and would like to move into one of them asap.

 

We have looked at national homebuyers, who want nearly £500 for a survey before even giving us an offer - we simply don't have that kind of money and have even less now!

 

So, are there any quick sale companies out there, who are reputable and don't charge such fees?

 

Also, what are we likely to get from that sale? We would like to use the money to pay the rent and secure the deposit on a new place.

 

If we could have an answer as quickly as possible that would be good. We have managed to download and print the defence forms (we contacted the court and said they hadn't been sent. The court said as long as we get them in tomorrow that will be fine), so really an answer tonight is needed so we can put this offer in our defence.

 

If Ell-enn (sp?) is about, would she be able to help us at this incredibly stressful time?

 

Thanks in advance

 

Kerry

[Ell-enn]

HI there, firstly - I wouldn't bother contacting GE again - just wait for the court hearing to put your case. Have you written to them in the past advising of the situation, or has it all been phonecalls?

 

Secondly - unless you have absolutely no option you shouldn't consider the quicksale companies. You will be lucky to get 75-80% of the value of the property - a nice little earner for them!! the equity would be much better in your pocket than theirs!

 

If you are able to make the mortgage payment each month plus a little towards the arrears then you should get a suspended possession order which will give you time to sell. It doesn't matter whether GE ask for outright possession, it's not their decision - it's the judge's decision, and it is very unlikely that he would give possession at the first time of asking and especially if you can show you are able to make payments.

 

If the lender is claiming £4,000 arrears and have added their charges into that amount then the arrears figure is wrong and you have to advise the court of that - monthly arrears charges cannot be included in arrears amount - you can only be in arrears with contractual monthly installments.

 

If you would like me to draft a statement for Q.27 of the N11M defence papers then I will happily do so, just let me know.

 

I think that £50 extra per month would be enough to offer in the circumstances and the judge should accept that.

 

When you fill in the income and expenditure part of the N11M you should make sure that £50 is what is left over after everything else has been accounted for. If you need any help with filling in the rest of the form just shout.

 

Ell-enn

[Kezzakins]

Hi Ell-enn

 

Thank you so much for your help.

 

They are including admin charges in that amount. How would we go about informing the court on the defence form of this?

 

Also, if you could help us with q27, that would be fantastic. What sort of information do you need to be able to do this?

 

Thank you so much.

 

Kerryxx

 

HI there, firstly - I wouldn't bother contacting GE again - just wait for the court hearing to put your case. Have you written to them in the past advising of the situation, or has it all been phonecalls?

 

Secondly - unless you have absolutely no option you shouldn't consider the quicksale companies. You will be lucky to get 75-80% of the value of the property - a nice little earner for them!! the equity would be much better in your pocket than theirs!

 

If you are able to make the mortgage payment each month plus a little towards the arrears then you should get a suspended possession order which will give you time to sell. It doesn't matter whether GE ask for outright possession, it's not their decision - it's the judge's decision, and it is very unlikely that he would give possession at the first time of asking and especially if you can show you are able to make payments.

 

If the lender is claiming £4,000 arrears and have added their charges into that amount then the arrears figure is wrong and you have to advise the court of that - monthly arrears charges cannot be included in arrears amount - you can only be in arrears with contractual monthly installments.

 

If you would like me to draft a statement for Q.27 of the N11M defence papers then I will happily do so, just let me know.

 

I think that £50 extra per month would be enough to offer in the circumstances and the judge should accept that.

 

When you fill in the income and expenditure part of the N11M you should make sure that £50 is what is left over after everything else has been accounted for. If you need any help with filling in the rest of the form just shout.

 

Ell-enn

[Ell-enn]

Hi there, I will need the following information:

 

1. Did you write to GE regarding the situation, and if so did you keep a copy?

2. Do you have written evidence of how much DWP are paying, and also how long GE took to send the form back to the DWP.

3. Do you have any evidence of your boyfriend's medical condition?

4. How much of the £4,000 is actual missed payments?

5. Do you have an up to date statement of account from GE showing the arrears charges?

 

I will make a start on your statement while waiting for you to answer.

 

In the box at Q.27 of the form you need to write "please see affixed statement". Do you need any help with the rest of the form?

 

Ell-enn

[Kezzakins]

Hi Ell-enn

 

Have just double checked the claim form.

 

The phone call to GE money this afternoon does not compute at all! lol

 

According to the claim papers, the arrears stand at £2212.29 which works out at missed payments £617.10 from 15 December 2008 to 15 March 2009.

 

So they are just going for installment arrears and not admin fees as well. I think my boyfriend spoke to somebody who was rather unhelpful this afternoon, so yes, we will avoid contacting them again - its obviously they've got their case prepared, so we will concentrate on ours.

 

How we are going to afford the installments + arrears is by me donating some of my salary to him. Would that go under other income? The mortgage is not in my name, but to help him, I've agreed to give him this money every week.

 

It has just been phone calls to GE money - in hindsight, probably not the best idea. It would seem they're all in a call centre and the right hand doesn't talk to the left.

 

The next step is getting the property on the market - so if anybody can offer help with that, please do. Again, do we need to pay up front for a survey, or will it be deducted from the sale along with fees etc?

 

Thank you

 

Kerryxxx

[WelshMam2009]

On a personal level, has your boyfriend submitted a claim for DLA??

 

It's usually difficult to get the mobility element but he may be awarded care at either the lower or middle rate.

 

The extra cash may help a little...

[Kezzakins]

1. As my partner is ill with a mental illnsss and therefore unable to properly deal with his affairs, we did contact them by telephone, but found them very unhelpful.

 

2. We have written evidence of what the DWP are paying, but we have nothing to say how long GE took to send the form back to them. I know we sent the form on the 15 December, and the money from the DWP has been back dated to when I assume GE Money dated the form, which is 27 January. I don't however, have any evidence that they didn't send forms back until to mid to late February, or possibly even early March if my memory serves me correctly - which was when we contacted the DWP to find out what on earth was taking so long.

 

It did, however take time for the DWP to process it, and the first payment, back dated was made on 27 March! This again, has meant that we have accrued arrears as a result of this delay.

 

3. We have been advised to get a doctor's note, by GE money, this week. However, the doctor is on holiday until Monday! We can of course arrange for a doctors note to be written and sent to either GE Money or the court, should that be allowed.

 

4. As per my previous message, despite what the guy at GE Money told my boyfriend today, the claim is for arrears of £2212.29, which is missed payments from 15 December until 15 March. These payments are at £617.10 per month.

 

5. The arrears statement we have at present is dated 15 March and states the arrears are at £2468.40, which includes administration fees, additional interest, debt counselling (what debt counselling, we didn't have any?!) and direct debit recall charges.

 

 

At this stage I don't think we need any further help with the form, except for the section about priority debts.

 

We are currently in dispute with the electricity company because our bills are extremely high, and we suspect there is a fault with the meter. However, the electricity board will not come out unless we pay £80 for them to inspect it! We also suspect that we are paying for the building's electricity, and not just our own flat's supply, but they are unable to help us with that.

 

At the moment though, we are looking at getting a key meter installed at the end of the month. So, would it be worth putting that on the form, to explain that we are in dispute with them?

 

Any further info you need, please don't hestitate to ask! Thank you once again for you help!

 

Kerryxxx

Hi there, I will need the following information:

 

1. Did you write to GE regarding the situation, and if so did you keep a copy?

2. Do you have written evidence of how much DWP are paying, and also how long GE took to send the form back to the DWP.

3. Do you have any evidence of your boyfriend's medical condition?

4. How much of the £4,000 is actual missed payments?

5. Do you have an up to date statement of account from GE showing the arrears charges?

 

I will make a start on your statement while waiting for you to answer.

 

In the box at Q.27 of the form you need to write "please see affixed statement". Do you need any help with the rest of the form?

 

Ell-enn

[Kezzakins]

Thank you for that. He has been in touch with the DWP today and they are sending him a claim form. I am told however, to get it for mental illness is very difficult. But, we don't know unless we try!

 

On a personal level, has your boyfriend submitted a claim for DLA??

 

It's usually difficult to get the mobility element but he may be awarded care at either the lower or middle rate.

 

The extra cash may help a little...

[Ell-enn]

How much are the DWP paying towards the installment each month & did you get a backdated lump sum paid?

[WelshMam2009]

Thank you for that. He has been in touch with the DWP today and they are sending him a claim form. I am told however, to get it for mental illness is very difficult. But, we don't know unless we try!

 

I might be able to help you there!! Will send you a pm.

[Desperate Daniella]

Kezzakins,

 

You are in the very best hands here. Ell-enn is brilliant.

 

Good luck.

 

Daniella

[Kezzakins]

Ok, the figures are as follows:

 

From 27 January 2009 to 2 March 2009, they are paying £40.05 per week.

 

From 3 March 2009 to 6 April 2009 they are paying £27.93 per week

 

From 7 April 2009 to 13 April 2009 they are paying £31.27 per week

 

And from 14 April 2009 they are paying £30.43 per week.

 

There was a lump sum paid on 27 March of £256.11, which I believe was the back dated payment, plus the payment up until 27 March 2009 although it is all very confusing!

 

I have copied the weekly installments verbatim from the letter we have from the DWP.

 

So I hope you can make sense of it! lol

 

Kerry xxx

 

How much are the DWP paying towards the installment each month & did you get a backdated lump sum paid?

[Ell-enn]

Hi there, I calculate that the DWP are paying approx £131 per month (£30.43 x 52 divided by 12) - if the normal monthly payment is £617 this leaves a deficit of £486 per month without any payment towards the arrears??? Are you able to make that payment + £50 towards the arrears?

[Kezzakins]

Only just, but it's going to be a huge struggle. Is it worth reducing it by £10 to make it easier?

 

Kxxx

 

Hi there, I calculate that the DWP are paying approx £131 per month (£30.43 x 52 divided by 12) - if the normal monthly payment is £617 this leaves a deficit of £486 per month without any payment towards the arrears??? Are you able to make that payment + £50 towards the arrears?

[Ell-enn]

You need to offer what you are sure you can pay - so if it's £40 extra then so be it. That would make your monthly commitment £526.

 

What are you including on the income and expenditure part of the N11M? are you including a contribution from yourself? i.e. Q.17 "Others living in my home give me"

 

Ell

[Kezzakins]

I don't actually live with him, but we do plan to live together when he gets a bigger place. I have just offered this to him.

 

Getting a bigger place was on the cards all along, but obviously not under these circumstances!

 

Is the judge likely to accept £40 extra a month for these arrears?

 

Kxxx

 

You need to offer what you are sure you can pay - so if it's £40 extra then so be it. That would make your monthly commitment £526.

 

What are you including on the income and expenditure part of the N11M? are you including a contribution from yourself? i.e. Q.17 "Others living in my home give me"

 

Ell

[Ell-enn]

OK, but are you including a contribution to his income from yourself in Q17?

 

The judge will consider what is affordable and if £40 is what he can afford then I should think that will be OK. The judge has the power to order payments over a long period of time if he sees fit (and in cases of very high arrears he can order that they can be repaid over the remaining lifetime of the mortgage).

[Kezzakins]

Yes, that is what I will do. Will that be ok?

 

Like I said, it's going to be hard, but needs must until we can sell and get the hell out of it!

 

Kxxx

 

OK, but are you including a contribution to his income from yourself in Q17?

 

The judge will consider what is affordable and if £40 is what he can afford then I should think that will be OK. The judge has the power to order payments over a long period of time if he sees fit (and in cases of very high arrears he can order that they can be repaid over the remaining lifetime of the mortgage).

[Ell-enn]

OK, make sure that the income and expenditure part of the form adds up properly to show you can afford the £486 plus £40 (the £486 should go in the section for monthly mortgage amount) and the £40 should be what's left over after everything else has been accounted for.

 

Affixed is the statement for Q.27. You need to enter information where I have put XXX's at the top - you may need to ring the court in the morning to get the claim number.

 

When you print out the statement make sure the printer is set for A4 paper (not letter size) as the statement needs to print out on one page.

 

You then need to assemble as follows:

 

N11M form

Statement

DPW letter showing payment schedule

 

Take a photocopy of all of the above so you have 2 packs - you will need one to take with you on the day of the hearing in case you need to refer to it (make sure you staple the docs securely before taking to the court).

Kezzakins Q.27 Statement.doc

[Kezzakins]

Thank you so much for that Ell-enn

 

I will keep you informed of how we get on, fingers crossed my boyfriend will still have somewhere to live on monday. xxx