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Help with Halifax repossession


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My sister is in deep trouble which sadly she has kept from the whole family.

Her husband and her split up about 18 months ago, she remained in the family home with her two children, he went on and bought a house elsewhere.

 

It's now come to light that she is unable to pay the mortgage as in all the time that has elapsed since he left, her husband has refused to pay anything against the mortgage.

She works part time as she has the children more or less full time apart from school, her husband has them on an occasional Sunday.

 

I've now learnt 3rd hand that the bank are repossessing due to the arrears on the mortgage :!:

 

I have no idea what she owes arrears wise, I've arranged to visit her tonight to see if I can get the full story. From what I've been told it sounds like she is ready to walk away from the house and hand the key back

 

I know her mortgage was for around £100k the house is probably worth about £180k in today's market.

 

The question is does the bank have to give her the option of transferring the mortgage to an interest only one? Or is it at their discretion?

I'm sure if we can get the mortgage changed over to a interest only one, the family can rally round sort out the arrears and hopefully get the house up for sale.

it's a big house much larger than she needs and I'm sure if she could sell it and end up with a decent deposit for a cheaper, smaller house it would be a huge help.

 

I'm not in possession of all the facts at the moment so bare with me lol

just wanted to know if the interest only option was one we could force the Halifax to grant, surely the court wouldn't look favourably on them if this was denied?

 

thanks in advance :-D

9-1-07 S.A.R - (Subject Access Request) sent:o !! Lloyds and Halifax!

20-1-07 S.A.R - (Subject Access Request) sent Capital One

20-1-07 S.A.R - (Subject Access Request) sent Halifax Card Services

20-1-07 S.A.R - (Subject Access Request) sent Marbles

20-1-07 S.A.R - (Subject Access Request) sent Halifax (Birchave0's sis)

8-3-07 PPI refund Lloyds TSB Loan £1200 + £2900 off loan balance

22-5-07 Halifax *Won* £1025

23-9-07 Goldfish 8k balance written off, £2300 PPI + charges returned, no agreement

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Hello,

 

There is an extremely good advisor called Ellenn here who will be able to provide you with more advice.

 

Perhaps in the meantime you can give details such as:

 

1. The total amount of arrears

2. How long is left on the mortgage.

 

If this does go to court, the judge would require evidence that the arrears can be paid off. My suggestion is that you should not let the bank bully you into making possibly unrealistic payments over a short term, since the arrears can be repaid over the entire length of the mortgage.

 

As for the mortgage company switching to interest payments, they would need to be contacted and needs to be requested. Failing this, it may be possible to switch to another mortgage provider who will offer interest only payments.

 

As I've said, there is an extremely good advisor Ellenn who will be able to provide you with better advice.

If I've given you advice, then it is just my thoughts / opinions - doesn't mean I am right!

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thank you, hopefully I'll have that info by tonight

9-1-07 S.A.R - (Subject Access Request) sent:o !! Lloyds and Halifax!

20-1-07 S.A.R - (Subject Access Request) sent Capital One

20-1-07 S.A.R - (Subject Access Request) sent Halifax Card Services

20-1-07 S.A.R - (Subject Access Request) sent Marbles

20-1-07 S.A.R - (Subject Access Request) sent Halifax (Birchave0's sis)

8-3-07 PPI refund Lloyds TSB Loan £1200 + £2900 off loan balance

22-5-07 Halifax *Won* £1025

23-9-07 Goldfish 8k balance written off, £2300 PPI + charges returned, no agreement

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Hi, come back when you have seen your sister. We need to know how much the arrears are and how many payments she has missed.

 

It might be an idea to do a budget sheet with her to see what her position really is. I have affixed the one we normally use (it calculates automatically as you fill it in) - if you can't do it on a computer then print it off and fill in by hand.

Budget Sheet.xls

Help us to keep on helping

Please consider making a donation, however small, if you have benefited from advice on the forums

 

 

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My advice is based on my opinion and experience only. It is not to be taken as legal advice - if you are unsure you should seek professional help.

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Hi everyone, I now have an idea of what's going on.

 

I also have some figures.

 

ok, original mortgage was for £138k to date it's £106k plus arrears of £4.5k

The house is valued at £180k. I t was a 25 year mortgage (I think ) in 2003

When they split up my sister's husband bought a cheap house on a loan which has been secured against the property, not sure how that works??? the loan is for £28k

So he lives in this new house and pays the loan every month, yet has paid nothing against the mortgage for over 2 years.

 

My sister had paid the mortgage alone since April 2012.

The Halifax agreed for her to pay the interest only on the mortgage in April 2012, this agreement ran until October 2013. The monthly payment of the mortgage is £820.42, the interest only section is £416.00 which she has paid every month.

 

Last October Halifax refused to continue the interest only payments and insisted on full payments which they know my sister can't afford. She did a breakdown of her living costs which shows after everything is paid she has zero left.

it appears that it is now the Halifax's policy not to arrange meetings in your branch!!!

My sister requested an appointment, they refused and told her she has to ring up and talk to someone on the phone!!!

 

She wrote and complained to them in October, told them she was not in a position to pay the full mortgage she'd already provide evidence of her earnings.

She received no response. She rang them 2 weeks ago after getting the "we are going to repossess you home" letter.

They told her they'd responded to her letter/complaint back in November 2013 and would send her a copy which they did

Because the date is over 6 months ago I suppose she can't go to the FOS?

 

So because she's continued to pay her interest only payments they claim she is now in arrears of £4.5k

She said they are a complete bunch of t**** to deal with and everytime she rings she gets passed around and never speaks to the same person twice :|

 

In her budget she can afford to pay the interest only but not the full mortgage

She wants to be able to swap the mortgage for an interest only so she can try and sell the house and then move on with her life.

 

In all of this her husband pays child support for the children but nothing else.

 

the breakdown of her earnings/benefit is below

 

wages £320.00

child benefit £146.00

child tax credit £815.00

child support £217.00

 

her outgoings excluding the mortgage are £1064

 

She's asked if I can get some advice can I ring Halifax and pretend to be her lol, she's wasted £100 on a financial advisor who admitted the Halifax were a nightmare but doesn't appear to have helped her at all!!! :-x

9-1-07 S.A.R - (Subject Access Request) sent:o !! Lloyds and Halifax!

20-1-07 S.A.R - (Subject Access Request) sent Capital One

20-1-07 S.A.R - (Subject Access Request) sent Halifax Card Services

20-1-07 S.A.R - (Subject Access Request) sent Marbles

20-1-07 S.A.R - (Subject Access Request) sent Halifax (Birchave0's sis)

8-3-07 PPI refund Lloyds TSB Loan £1200 + £2900 off loan balance

22-5-07 Halifax *Won* £1025

23-9-07 Goldfish 8k balance written off, £2300 PPI + charges returned, no agreement

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Hi, I think the best thing to do is for her to write to them formally requesting they re-instate the interest only until the house is sold. I can draft a letter if you need me to?

Help us to keep on helping

Please consider making a donation, however small, if you have benefited from advice on the forums

 

 

This site is run solely on donations

 

My advice is based on my opinion and experience only. It is not to be taken as legal advice - if you are unsure you should seek professional help.

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Unfortunately many people are in similar situations these days.

 

Has your sister considered a lease option for the property? This could result in her mortgage payments being taken over by another party, while your sister could remain in the property and pay rent for an agreed period of time so that she could get back on her feet financially

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She would have to be very careful when considering either sell and lease back or rent back - there are lots of companies who will offer a quick sale but will only give 75-80% ( or less in some cases) of the property, effectively robbing you of your equity so they can sell and take a big profit. They will offer to rent your home back but often they don't tell you it is only for a short time and then suddenly they will want to sell to get the equity. Be careful !

Help us to keep on helping

Please consider making a donation, however small, if you have benefited from advice on the forums

 

 

This site is run solely on donations

 

My advice is based on my opinion and experience only. It is not to be taken as legal advice - if you are unsure you should seek professional help.

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Hi, I think the best thing to do is for her to write to them formally requesting they re-instate the interest only until the house is sold. I can draft a letter if you need me to?

 

thanks, that would be great :-D

9-1-07 S.A.R - (Subject Access Request) sent:o !! Lloyds and Halifax!

20-1-07 S.A.R - (Subject Access Request) sent Capital One

20-1-07 S.A.R - (Subject Access Request) sent Halifax Card Services

20-1-07 S.A.R - (Subject Access Request) sent Marbles

20-1-07 S.A.R - (Subject Access Request) sent Halifax (Birchave0's sis)

8-3-07 PPI refund Lloyds TSB Loan £1200 + £2900 off loan balance

22-5-07 Halifax *Won* £1025

23-9-07 Goldfish 8k balance written off, £2300 PPI + charges returned, no agreement

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Share on other sites

Unfortunately many people are in similar situations these days.

 

Has your sister considered a lease option for the property? This could result in her mortgage payments being taken over by another party, while your sister could remain in the property and pay rent for an agreed period of time so that she could get back on her feet financially

 

I don't think that's an option, she just wants to get it sold, move on and make a new start

9-1-07 S.A.R - (Subject Access Request) sent:o !! Lloyds and Halifax!

20-1-07 S.A.R - (Subject Access Request) sent Capital One

20-1-07 S.A.R - (Subject Access Request) sent Halifax Card Services

20-1-07 S.A.R - (Subject Access Request) sent Marbles

20-1-07 S.A.R - (Subject Access Request) sent Halifax (Birchave0's sis)

8-3-07 PPI refund Lloyds TSB Loan £1200 + £2900 off loan balance

22-5-07 Halifax *Won* £1025

23-9-07 Goldfish 8k balance written off, £2300 PPI + charges returned, no agreement

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Hi, I'll draft a letter and put it on here in the morning.

Help us to keep on helping

Please consider making a donation, however small, if you have benefited from advice on the forums

 

 

This site is run solely on donations

 

My advice is based on my opinion and experience only. It is not to be taken as legal advice - if you are unsure you should seek professional help.

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Hi, I'll draft a letter and put it on here in the morning.

 

thank you so much, I'm very grateful x

9-1-07 S.A.R - (Subject Access Request) sent:o !! Lloyds and Halifax!

20-1-07 S.A.R - (Subject Access Request) sent Capital One

20-1-07 S.A.R - (Subject Access Request) sent Halifax Card Services

20-1-07 S.A.R - (Subject Access Request) sent Marbles

20-1-07 S.A.R - (Subject Access Request) sent Halifax (Birchave0's sis)

8-3-07 PPI refund Lloyds TSB Loan £1200 + £2900 off loan balance

22-5-07 Halifax *Won* £1025

23-9-07 Goldfish 8k balance written off, £2300 PPI + charges returned, no agreement

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No problem, you're welcome :)

Help us to keep on helping

Please consider making a donation, however small, if you have benefited from advice on the forums

 

 

This site is run solely on donations

 

My advice is based on my opinion and experience only. It is not to be taken as legal advice - if you are unsure you should seek professional help.

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Hi, affixed is the letter to send to the Halifax. Your sister should complete the budget sheet I gave you on a previous post and send with letter (she needs to keep a copy of the letter and budget sheet).

 

Send by special (or recorded) delivery and keep the receipt safe so you can check on the royalmail website a few days after posting to print off the signature receipt - then keep that safe with the copy letter - it's very important you do this as we will need the copy letter and proof it was received, if we have to defend court action.

Help us to keep on helping

Please consider making a donation, however small, if you have benefited from advice on the forums

 

 

This site is run solely on donations

 

My advice is based on my opinion and experience only. It is not to be taken as legal advice - if you are unsure you should seek professional help.

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thank you so much

I'll drop this off tonight and get to post it ASAP :-)

9-1-07 S.A.R - (Subject Access Request) sent:o !! Lloyds and Halifax!

20-1-07 S.A.R - (Subject Access Request) sent Capital One

20-1-07 S.A.R - (Subject Access Request) sent Halifax Card Services

20-1-07 S.A.R - (Subject Access Request) sent Marbles

20-1-07 S.A.R - (Subject Access Request) sent Halifax (Birchave0's sis)

8-3-07 PPI refund Lloyds TSB Loan £1200 + £2900 off loan balance

22-5-07 Halifax *Won* £1025

23-9-07 Goldfish 8k balance written off, £2300 PPI + charges returned, no agreement

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don't forget the budget sheet :)

Help us to keep on helping

Please consider making a donation, however small, if you have benefited from advice on the forums

 

 

This site is run solely on donations

 

My advice is based on my opinion and experience only. It is not to be taken as legal advice - if you are unsure you should seek professional help.

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don't forget the budget sheet :)

 

that too :-)

9-1-07 S.A.R - (Subject Access Request) sent:o !! Lloyds and Halifax!

20-1-07 S.A.R - (Subject Access Request) sent Capital One

20-1-07 S.A.R - (Subject Access Request) sent Halifax Card Services

20-1-07 S.A.R - (Subject Access Request) sent Marbles

20-1-07 S.A.R - (Subject Access Request) sent Halifax (Birchave0's sis)

8-3-07 PPI refund Lloyds TSB Loan £1200 + £2900 off loan balance

22-5-07 Halifax *Won* £1025

23-9-07 Goldfish 8k balance written off, £2300 PPI + charges returned, no agreement

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Latest on this my sister has now received court papers.

The letter we sent must has crossed in the post.

There were 2 letters, first one the court letter, then one from a legal firm who are acting for Halifax. Their letter was an invitation to contact them about coming to an arrangement.

I rang them, pretended to be my sister, basically there are three options

1. she pays all the arrears to date and begins to pay the FULL monthly mortgage payment

2. she arranges to pay off the arrears and begins to pay FULL monthly mortgage payments

3. they take the house

 

They refused to discuss anything else, told me I needed to get independent legal advice

 

I then rang Halifax again most unhelpful, repeated the above options, not their policy to let my sister continue to pay the interest only, refused to discuss a new mortgage due to the arrears.

The court hearing is on 12th August if she can get her house on the market they MAY choose to suspend the repossession for 3 months, but she has to prove the house is up for sale but they can't guarantee they will stop the action......

 

what a mess :(

9-1-07 S.A.R - (Subject Access Request) sent:o !! Lloyds and Halifax!

20-1-07 S.A.R - (Subject Access Request) sent Capital One

20-1-07 S.A.R - (Subject Access Request) sent Halifax Card Services

20-1-07 S.A.R - (Subject Access Request) sent Marbles

20-1-07 S.A.R - (Subject Access Request) sent Halifax (Birchave0's sis)

8-3-07 PPI refund Lloyds TSB Loan £1200 + £2900 off loan balance

22-5-07 Halifax *Won* £1025

23-9-07 Goldfish 8k balance written off, £2300 PPI + charges returned, no agreement

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OK, if she really wants to sell the house, then get it on the market as soon as possible - you will need to provide proof of this to the court (i.e. contract with estate agent). We can then help you with defence papers for the court hearing.

 

I note that Halifax say they may choose to suspend possession - it's not their decision ! the judge makes the decision ! and I'm sure he would be very interested to hear that Halifax are telling you differently . If the house is on the market and your sister can carry on with the payments she is already making, there is a very good chance the judge will suspend possession pending sale of the house.

Help us to keep on helping

Please consider making a donation, however small, if you have benefited from advice on the forums

 

 

This site is run solely on donations

 

My advice is based on my opinion and experience only. It is not to be taken as legal advice - if you are unsure you should seek professional help.

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  • 4 months later...

http://www.consumeractiongroup.co.uk/forum/showthread.php?437042-repossessed-house-undervalued&p=4652965#post4652965

 

My sister lost the house :-(

 

the above link is for a new thread I've created as she now has new problems

9-1-07 S.A.R - (Subject Access Request) sent:o !! Lloyds and Halifax!

20-1-07 S.A.R - (Subject Access Request) sent Capital One

20-1-07 S.A.R - (Subject Access Request) sent Halifax Card Services

20-1-07 S.A.R - (Subject Access Request) sent Marbles

20-1-07 S.A.R - (Subject Access Request) sent Halifax (Birchave0's sis)

8-3-07 PPI refund Lloyds TSB Loan £1200 + £2900 off loan balance

22-5-07 Halifax *Won* £1025

23-9-07 Goldfish 8k balance written off, £2300 PPI + charges returned, no agreement

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