Large Mortgage Repossession Shortfall 40K+ - How Should We Go About Trying to Settle It?

[mav777]

Hi all,

 

Any help would be much appreciated.

 

Basically my wife and I have/had a property each, both of us had properties prior to getting married and we had sole names on the mortgage along with sole bank accounts and sole loans etc.

 

A while back I handed back the keys to my property and the property sold for a lot less than the mortgage leaving a shortfall of around 40K+ but the valuation and sale seems correct.

 

I now have the mortgage companies solicitors writing asking me to make a f&f settlement offer or monthly offer of the remaining amount, they have also included I & E forms for me to complete.

 

My expenditure is around £50 to £100 over per month and I only get by due to help from my family and a large overdraft.

 

My main concern is, there is around £30K of equity in my wifes property but I have never contributed to the mortgage or maintenance of the house due to these very reasons, I am currently living there though and they have contacted me at this address.

 

My questions are as follows:

 

1. I am able to loan a few thousand from family as a f&f settlement offer, does anyone know how much I should start with as if the amount they required was too much I would prefer not to say anything to my parents or family as not to worry them.

 

2. Should I send them the income and expenditure form as I have nothing to hide with regards to this or should I just send a letter with an offer?.

 

3. Should I include a small monthly offer i.e £5 or £10 pcm even though I can't really afford it, my concern is if I don't they may take me to court and the thought of this is totally unbearable given my mental state at present, even if solely to declare myself bankrupt.

 

4. Could they bring my wifes property into the equation and if so would that mean they would say I would own half of the equity in the house so around £15K, does that mean they could force my wife to sell?.

 

5. If I did declare myself bankrupt again would my wifes property be looked at and sold?, we do have 3 young children.

 

6. Finally should I try a softly softly approach and be sincere i.e explain that we have had very difficult times even splitting for long periods and having financial difficulties, or should I basically keep it brief make a fair offer and if they get abusive basically tell them to make me bankrupt which I believe wouldnt make any sense as the judge could see that I cant possibly afford this debt.

 

Thanks again

All the best

Mav

[mav777]

bump

 

Any help out there guys?

 

Thanks

Mav

[Happyhippy1959]

Mav

 

As the amount is now unsecured there is not much they can do. Will be having the same problem myself shortly as I am handing back the keys to my BS after struggling on my own for three years with a secured loan attached and no help from Mrs Hippy. Now first things first, the wife's house is in her name only correct ????

 

If that is the case there is little they can do there it is her house ( whether married or not ) just to confirm, do you own any property yourself.. !!!! ???? if not again what can they do. Offer what you can afford, you do not have to send them anything in writing it is a courtesy if u do, only a judge can ask you to fill in a I&E a lot of people on here won't but I always mention to the DCA that only a judge can order a I&E but out of courtesy and nothing to hide I send one. Also attached is a statement saying this is not open to discussion. If you have answered correctly mate i.e No property not on wifes property they are going to struggle unless you have the crown jewells or other assets stashed somewhere.

[mav777]

Mav

 

As the amount is now unsecured there is not much they can do. Will be having the same problem myself shortly as I am handing back the keys to my BS after struggling on my own for three years with a secured loan attached and no help from Mrs Hippy. Now first things first, the wife's house is in her name only correct ????

 

If that is the case there is little they can do there it is her house ( whether married or not ) just to confirm, do you own any property yourself.. !!!! ???? if not again what can they do. Offer what you can afford, you do not have to send them anything in writing it is a courtesy if u do, only a judge can ask you to fill in a I&E a lot of people on here won't but I always mention to the DCA that only a judge can order a I&E but out of courtesy and nothing to hide I send one. Also attached is a statement saying this is not open to discussion. If you have answered correctly mate i.e No property not on wifes property they are going to struggle unless you have the crown jewells or other assets stashed somewhere.

 

Thanks for your reply happyhippy it is much appreciated,

 

I don't own any property, I will as you say offer what I can afford and i've spoken to my parents who can stump up a few thousand to place as a lump sum whether they will be happy with that, thats upto them. I will be sending my I&E forms and evidence to back this up hopefully this week so they can see where i'm coming from.

 

I have no assets car, house or savings, but at the same time I don't want them to send me to court just to make me bankrupt even though I'm not telling them that, thats why I'm trying to co-operate as best I can. What do you think the chances are they would take me to court?.

 

Thanks for your help and advise

Mav

[Happyhippy1959]

mate,

 

With no assets, they would be out of there tiny minds to make you bankrupt. They will go no-where near a court knowing you have nothing. As with borrowing from your parents PLEASE PLEASE DO NOT !!!!!!!!!! end off... There is nothing they will do, they will at a 5% chance take it to a county court for a CCJ, you are playing right into there hands also THE OFT states a debtor should not go into further debt by borrowing even if from relatives. Please mav, just offer what you can afford, whats the use in making u BR,,, u have nothing, it will cost them £2k plus and then the debt is dead if they do that. Hold firm my friend please do nothing stupid like borrow off parents

[mav777]

mate,

 

With no assets, they would be out of there tiny minds to make you bankrupt. They will go no-where near a court knowing you have nothing. As with borrowing from your parents PLEASE PLEASE DO NOT !!!!!!!!!! end off... There is nothing they will do, they will at a 5% chance take it to a county court for a CCJ, you are playing right into there hands also THE OFT states a debtor should not go into further debt by borrowing even if from relatives. Please mav, just offer what you can afford, whats the use in making u BR,,, u have nothing, it will cost them £2k plus and then the debt is dead if they do that. Hold firm my friend please do nothing stupid like borrow off parents

 

Hi happyhippy,

 

Thanks for the advise I can see exactly what you are talking about, I'm going to take your advise and just offer what I can afford and take it from there.

 

I will keep you informed on how it goes.

 

Thanks again for helping me with this.

 

All the best

Mav

[nattybz]

Hi Mav

 

I have just found out today that I am

In the same situation for £30k.

 

How are you getting on with it?

 

Best of luck