Shortfall 9 years on!!

[**Tilly**]

Not sure if this is the right place to put it has bèen a while lol please feel free to move it.

 

back in 2008 I repossessed.

Not once was I ever contacted by Mortgage company

 

I am right in thinking that if you haven't heard from them on 6 years they can write off the debt,

 

if so i do go after them and chase them for any charges or fees applied or will I be opening a can of worms or let sleeping dogs lay.

 

Apologies for any typo mistakes blame the phone lol

[unclebulgaria67]

Are they chasing you ?

 

Do they know your current address ?

 

The 6 year council for mortgage lenders rule only applies to members of that.

And if they are a member and have not written to the person owing the shortfall,

then usually it means they can't enforce it.

 

The 6 years runs from the date the shortfall debt was created, which may be when the house was sold, although i am not 100% on that.

 

If you are not being chased, i would leave it alone.

[sgtbush]

The Limitation Act 1980 sets out the rules on how long a creditor (who you owe money to) has to take certain action against you to recover a debt. If, by law, your creditor has run out of time the debt is ‘statute-barred’.

 

There has been some confusion in the past about mortgage shortfalls and the Limitation Act. However, the Court of Appeal has now decided that the following limitation periods apply to mortgage shortfall debts.

 

If you owe mortgage capital

 

Mortgage capital is the money you originally borrowed. For this part of a mortgage shortfall debt, the lender has 12 years to use court action to make you pay. This is under section 20 (1) of the Limitation Act.

 

If you owe interest

 

Mortgage interest is the interest you were charged to borrow the money. Your lender may also charge interest after your home is sold. For this part of a mortgage shortfall debt, the lender has six years to use court action to make you pay. This is under section 20 (5) of the Limitation Act.

 

 

 

In short they can chase you for 12 years

[unclebulgaria67]

This link might help the OP in regard to limitations act and the 6 year CML rule. See pages 9&10.

 

https://www.cml.org.uk/documents/cml-statement-of-practice-handling-of-arrears-and-possessions/STATEA&P.pdf

[dx100uk]

Its sb'd

But its pointless going after the charges etc anyway

Unless they've sold the shortfall on

Which I suspect you'd know about

As the debts buyers would have found you and chanced their arm at fleecing you already

 

So if the OC still own the shortfall all they'd do is offset your winnings anyway

[mercyblue]

For what its worth if anybody is interested a mortgage is a deed as opposed to a "simple contract". A deed has a 12 year limitation period against 6 for a simple contract.

[**Tilly**]

Are they chasing you ?

 

Do they know your current address ?

 

The 6 year council for mortgage lenders rule only applies to members of that.

And if they are a member and have not written to the person owing the shortfall,

then usually it means they can't enforce it.

 

The 6 years runs from the date the shortfall debt was created, which may be when the house was sold, although i am not 100% on that.

 

If you are not being chased, i would leave it alone.

 

Hi UB no not being chased not heard a dickie bird in 9 years

[unclebulgaria67]

Hi UB no not being chased not heard a dickie bird in 9 years

 

Probably best to leave it being quiet. If your current address is listed on credit records and you have not changed your name, then they could find you if they wanted to. Just keep a note of the info on this thread including the document i linked to.

[**Tilly**]

Its sb'd

But its pointless going after the charges etc anyway

Unless they've sold the shortfall on

Which I suspect you'd know about

As the debts buyers would have found you and chanced their arm at fleecing you already

 

So if the OC still own the shortfall all they'd do is offset your winnings anyway

 

Thanks Dx that makes sense no point in opening a can of worms

[**Tilly**]

Probably best to leave it being quiet. If your current address is listed on credit records and you have not changed your name, then they could find you if they wanted to. Just keep a note of the info on this thread including the document i linked to.

 

Only 3 years to go so like you say keep it quite. Have changed my name and address so hopefully I'm lost lol x