What will happen is this:-(posted 7684 days ago)1. NR will apply to the court for a hearing date. You will then be sent a summons for possession of the property. That summons will contain a response form upon which you send your reply in to the court either admitting or denying their right to possession of the property. If you are in arrears, you have to accept their right to a possession order.
2. Before the hearing date, negotiate with your lender to accept something off the arrears plus the ongoing monthly instalments.
3. THIS IS MOST IMPORTANT - GO TO THE HEARING - THIS IS PARAMOUNT AND TAKES PRECEDENCE OVER JOBS, DEATH - EVERYTHING!!!
4. At the hearing, say what arrangement you have reached with your lender and ask the Judge to make a suspended possession order under the Norgan rules (which effectively allows you the rest of the mortgage term to pay off the arrears if necessary!) Have with you details of your income and expenses and be prepared to show the judge that you can indeed afford your offer.
5. The judge will make a suspended possession order - this will state that you have to give up possession by such and such a date - usually 28 days hence - but the order is suspended so long as you pay ..........(i.e. what you have agreed).
6. The judgment for the whole of the money due under the mortgage is also suspended (so neither the possession or the judgment will go on credit bureau records) and it only becomes "unsuspended" if you do not keep to the terms under the order.
7. If the worst happens and you default on the SPO arrangement - you can go back to the court to ask them to vary the order. If you have defaulted since the SPO then the lender can issue a Warrant for Possession which allows the Bailiffs to come and evict you. If you reach this stage, all is still not lost because you can apply to suspend the Warrant - but you will have to show good reasons as to why the judge should give you another chance at this very late stage.