We are losing our home - please help!!

[issys house]

Hi,

We are about to lose our home and I am about to go mad. I have 2 small children, am on my own and I really need some help and some guidance so I can challenge my bank, which is HSBC.

 

I had a loan in 2004 from them to buy a house when I left my marriage. They wouldnt give me a mortgage as I had one on my marital home. I had my own business at the time and they did it because of the income in that, but it was always secured in my name not the company's. The Bank Manager then understood that it was in place of a mortgage and the rate was set at 2% above base. It was written into the agreement that they would replace this loan with a residential mortgage when the marital home was sold which it was in September 2009, but with very little equity left given the housing drop.

 

But the bank didnt do this. Instead in October 2009 a new bank manager comes in. He puts the interest rate up overnight without any discussion to 6% above base doubling the monthly payment. Then in September 2010 he demands I pay him £5,000 or he will increase it by 100% again. I ask for details about why he has done this when interest rates are so low, again no answers. He then sends me a reviewed agreement which is very odd and says something along the lines of 'whilst we assume this loan is for buying a house we recognise it can be used for other things.' I am still paying £750 a month which was the pre Sept 2010 figure as I cannot afford the £1400 post Sept 2010 figure.

 

They have now called in the loan and it has gone to the recovery dept. They are not very nice people. I asked for a subject access request in December 2010. I got all the electronic files but no paper files despite it being in a structured system and have now been told I cant have it as it is for 'internal use only'. I have sent a complaint to the ICO.

 

I want to be able to prove that they should have converted this to a mortgage in Sept 2009 as that is what they promised they would do. Some contracts it is written into, in others it isnt but is was always the underlying premise.

 

They have also set me up with a service account so I pay my money into there rather than the loan. It is a business account yet I am not self employed and the company folded in 2005. When the new manager put up the rate he sent it to the marital home (I dont know why, the previous manager sent it all here and had meetings with me here too so it was clear where I was living) and all the account statements. My ex took great delight in presenting it to the court as it was about 5k overdrawn as I didnt know about the interest rate change and hadnt been paying in enough. I cleared it but it now keeps happening so I am getting charged an unagreed overdraft interest on top of the mortgage making the mortgage interest about 28% above base. I'd like to be able to get those charges back.

 

I dont understand why they would offer me a loan for 12 years, which he did last September, and not a mortgage as they promised. When I asked he said 'I am not a mortgage broker'. I asked to be put in touch with their mortgage team and nothing happened.

 

I have put the house on the market. It is breaking my heart as it was my Mum's house and I bought it back from siblings, so Ive pretty much lived in it on and off all my life. Its been a safe bolt hole for me and the children but I dont know what else to do. I am really worried that they can make me bankrupt instead of go for possession ... I am all over the place.

 

Im sorry this is so long but I want to try, I just dont know how.

[rebel11]

Hi issy

 

Welcome to CAG

 

The guys will be happy to advise as soon as they are available.

[issys house]

I hope so - I dont think I ever felt quite so desperate!

[Lea_HTH]

http://www.consumeractiongroup.co.uk/forum/showthread.php?318027-Please-help-repossession-threatened&p=3537506#post3537506

 

http://www.consumeractiongroup.co.uk/forum/showthread.php?317960-Please-help-us-to-not-lose-our-home!!!&p=3537531#post3537531

 

Advice is still the same as when you asked previously: you need a solicitor.

[mumisskint]

Hi,

As I said previously, I cant afford the 10+K the solicitor I went to see said this would cost to pursue without having any clear idea of what was wrong. There is not enough equity in the house to secure a fee arrangement and there is no one who can pay any fees or act as a guarantor. Hence I am going to try and do it on my own. The CAB wont touch it as they are not funded to deal with business cases and there is no Law Centre. I have absolutely nothing to lose. So whilst I might need a solicitor I dont have have the luxury of that option.

 

So, if its Ok, I will keep posting up where I am going with this and if anyone can throw in some words of advice, support or encouragement we would be really gratefulo.

 

Thanks.

[mumisskint]

Also, to clarify, there is no all monies charge in the agreement, which I havent signed as I dont agree with it.

The new agreement which has come through is terming this as a base rate term loan. The account into which the money is paid is oddly a business account.

[mumisskint]

It would be really helpful if I could figure out what legislation / provisions govern the agreement as there is nothing in the 'contract'.

[Lea_HTH]

Hi,

As I said previously, I cant afford the 10+K the solicitor I went to see said this would cost to pursue without having any clear idea of what was wrong. There is not enough equity in the house to secure a fee arrangement and there is no one who can pay any fees or act as a guarantor. Hence I am going to try and do it on my own. The CAB wont touch it as they are not funded to deal with business cases and there is no Law Centre. I have absolutely nothing to lose. So whilst I might need a solicitor I dont have have the luxury of that option.

 

So, if its Ok, I will keep posting up where I am going with this and if anyone can throw in some words of advice, support or encouragement we would be really gratefulo.

 

Thanks.

 

I didn't realise you were after support and encouragement - I was under the impression from the questions posed you actually wanted legal advice. There is plenty of support and encouragement available on this site, and undoubtedly you will get plenty of that.

 

However, the best advice you're going to get is from a lawyer, who is clearly telling you that you need the assistance of a solicitor. Fair enough, you state you cannot afford one - but the usual point with issues such as these is that you cannot afford NOT to have one, the implications are too great.

 

But it is your choice - and I am not sure how many other lawyers there are who post on here - perhaps someone will be willing to give advice without seeing the paperwork - personally I think that is foolhardy.

 

Good luck.

[mumisskint]

Prostitution it is then! The children will be so proud!

[ukaviator]

Have you made an official complaint to the bank head office?

 

Have you made a complaint to the Financial Ombudsman about looking into this for you?

 

Do you have all documentation for the loan now and the previous one?

 

Have you looked into shared ownership?

[debbie do dar]

Dont worry mumisskint...i too am fighting hard for something and am doing all my research on law myself, Its hard work but you can do it.Pm me if you need a fellow woman to chat to xxx