Help....Reposession letter received.....

[zootscoot]

Hi Juliano1,

 

They are certainly quick of the mark in seeking possession but don't panic.

 

You can rely on s.36(2)(b) of the Administration of Justice Act 1970 which allows the court to suspend the possession order for such a term as the court considers reasonable. If the debtor can repay with in the reaonable time no possession order is granted.

 

Under s8 AJA 1973 in exercising the powers under s.36(2)(b) the court only has to consider the sums payable in arrears not any term which may render the full amount repayable.

 

What amounts to a reasonable period will depend on the circumstances of the case and can include the whole remaining term of the mortgage as occured in Cheltenham & Gloucester v Norgan. This case also stated the factors the court will take into account when deciding what is reasonable:

 

Ability to make payments now and in the future

Likely duration of financial difficulty

Reason for arrears

The period of agreement remaining

 

So basically if you can show you can pay off the arrears over the remaining period the court will not order possession. As you seem to be getting on your feet again its unlikely the court will order possession.

 

You could also put in a counter claim for the charges and ask for the case to be stayed until they have provided you with the information you need to raise your counter claim. This could be a good tactical move for you as it will delay the court date by which time you might be able to pay off the arrears alternatively it may make the mortgage company back off altogether if they feel they are going to be forced to reveal their costs in court in order to pursue you for your arrears.

 

So hopefully the issue of whether the redemption is unlawful will not arise.

 

All the best

 

You will get there in the end

 

Zoot