Feel Like the major banks are taking advantage in your troubled time?
We are finding lenders are now far harder on people, as the economic situation across England and Europe gets worse mortgage lenders have adopted a far harder stance on people in arrears and will seemingly use any tactics they can to force people to pay amounts that they cannot afford.
[accordion title=”Vs Santander”]We have had many banking problem cases vs the major banks and in a recent case with Santander at Wolverhampton County Court. Our customer only had £1,600 of arrears and Santander wanted to evict her from her home. The arrears built up due to an error made the DWP not paying the benefits on time. Lender & Court Services instructed solicitors to attend Wolverhampton County Court and the Judge at first was not convinced that our client had affordability of the mortgage. However our representative convinced the District Judge that the repossession should be stopped not least due to the small arrears but due to further and more detailed assessment of our clients income and expenditure which proved that our client could pay her mortgage with the support of the DWP and make a contribution towards the arrears. The repossession was stopped on payments of the usual monthly payment plus £20 towards the arrears thus solving the banking problems the client had prior to visiting us. [/accordion]
[accordion title=”Vs GEMoney”]In another recent case regarding banking problems with GE Money at Romford County Court we assisted a 40yr old divorced Manager who had built up over £22,000 of arrears. He had over £100,000 of equity in his property. He fell into mortgage arrears due to paying unsecured debt over and above his mortgage. He tried to talk to GE Money but they just kept demanding a large lump sum to be paid before they would even discuss a plan. He did not have the money. He contacted Lender & Court Services and we sent a Barrister to court and the order was the Repossession should be stopped based on payment of the contractual monthly instalment plus £280 towards the arrears.[/accordion]
[accordion title=”Vs Kensington”]In another recent banking problems case with Kensington we assisted a married couple in their early 40’s from South- end-on-Sea with two children aged 11 & 14 who had £4,500 arrears. The arrears had built up due to a tight family budget and a period of overspending. They had now resolved their unsecured debt issue with the assistance of Payplan with who we work closely with a free debt management solution. In fact they were so worried about losing their family home that they sold many items including a car and offered to pay the FULL arrears. Kensington still refused. They contacted Lender & Court Services and we sent a solicitor to court and the Judge was furious with Kensington for wasting court time. He ordered that the Warrant of Eviction be cancelled on payment of the arrears. We were contacted with a only a few days to spare before this family would have been heartlessly removed from their home for no reason at all.[/accordion]
[accordion title=”Vs Paratus”]In a recent banking problems case in Basildon County Court we assisted a Self Employed gentlemen of 67 years of age who had £55,000 of arrears with Paratus (formerly GMAC). Due to business difficulties and monies not being paid to him time. There had been three previous eviction notices and so this was the fourth time in court. The property was a 4 bed detached house and worth just over £600,000 in which our client had just under £200,000 of equity. The property was being sold. Paratus would not wait for the sale to complete and wanted possession, ultimately to sell the property at auction, just to cover their mortgage debt. This equity represented our clients’ life savings and at his age this would have effectively made him penniless for the rest of his life. Our client was still working and could offer to pay the contractual monthly instalments plus an amount towards arrears until this large property was sold. The Judge in case ordered that the repossession would be stopped on this basis.[/accordion]
[accordion title=”Vs Bank of Scotland”]In another case regarding banking problems we helped a single man in Croydon County Court with a matter with Bank of Scotland he was employed and had just over £20,000 of arrears. There were 21 years left on the mortgage. This was a 4 bed semi detached house that was worth circa £300,000. The arrears came about due several breaks in employment due to having to look after his ill mother who also lived at the property and was suffering from depression and type 2 diabetes. Also our clients sister also lived in the property do this was the home of 4 people, our client his brother and sister and mother. Our client worked hard to bring his mother back to health and his brother moved in order to contribute towards the costs of the property.[/accordion]
[accordion title=”Vs Kensington”]We had a another case with Kensington in Derby recently with a family home with circa £30,000 arrears. Kensington hold the second charge of £100,000 with £81,000 balance with Halifax on the main mortgage. The property was worth circa £250,000 so the equity was circa £70,000. Kensington were taking the action due the high arrears. The client came to us the day before the eviction and we immediately started work. Both Mum and dad worked full time and had two young children of 11 and 8 years old. The reason that the arrears came about was due to a business which failed and instead of liquidating the business they took on the Kensington loan to pay off all the creditors. They actually purchased an existing trading business but on reflection did not undertake thorough due diligence and found that they had purchased a business with incumbent debt and not trading as successfully as presented by the previous owner. What was more complicated was that both Mum and Dad worked from home and repossession would have caused all sorts of problems – Dad would have really suffered as he is a self employed tradesman and has his workshop there.
Kensington just kept on demanding high unaffordable lump sums but they were set so high that it was impossible. Quite ironically our clients were owed over £10,000 from Kensington due to an outstanding PPI claim.
We attended court and due to the complexity involved this case was heard by a Circuit Judge (His Honour) over night our client had found some family support due to the worry and was in a position to make a large lump sum towards the arrears.
The Judge made an order as proposed. Our advocate asked the Judge to also add to the order that if payments were made as proposed then the Warrant of Eviction should be dismissed and he made the order in that regard. This was a highly complex matter with eight previous applications and the approach to Lender & Court Services was in the 11th hour.
Again this was complicated and had been before the court previously our Advocate presented the case and the Judge suspended the matter on terms proposed of the usual mortgage payment plus £100 towards the arrears.[/accordion]
Unlike the banks, all our advocates take time to sit down with our clients who have banking problems prior to the hearing to go through all the documentation and make sure everything is correct and nothing is missed. It is very important that your case is accurately prepared as the slightest mistake could mean that you be left exposed in court and not have the correct evidence to hand.