Mortgage Arrears

greenspun.com : LUSENET : Repossession : One Thread

I am beside myself with worry over this problem, and wonder if anybody else has had a similar experience or can advise me.

I have a mortgage with Nationwide B/Soc, and currently I am in arrears to the tune of 3,000. At the time these arrears built up I was unable to arrange with Nationwide any form of repayment plan due to the fact that I have been unemployed for 6 months. I have now returned to work and for the past 3 months have been paying regular monthly payments together with 50 extra per month to help clear the arrears. An 'Order for Possession' was put on the property which I am sticking too.

Meanwhile, I was unable to pay my 'ground rent' and the Nationwide where approached by my Freeholder to claim the monies of just over 1,000. The Nationwide agreed to pay this on my behalf to protect their own interests. They sent me a form for me to give my permission which I consented to.

Unbeknown to me, I thought everything was synchronised into one account i.e. 'one Order for Possession'. It was not and to my complete horror I have been issued another 'Order for Possession' on my property.

I contacted the Nationwide this morning to try to make some arrangement to clear the 'freehold bill' but they said I had left it too late and that an 'Order for Possession' had already been sent to the court.

They have advised me that when I receive an 'eviction' date to apply for an 'application hearing' to get the second order suspended as well. I am out of my mind with worry that I will not have enough time to apply for the 'application hearing' before the eviction date issued by the Courts.

Please can somebody help me and advise me as to where to go next - even if I was too late surely the Nationwide can accept some sort of installment plan.

The situation now is that for the past 3 months I have been paying off my regular mortgage amount together with 50 extra off the arrears but I have still got a 'Possession Order' on the property and now I will have another 'possession order' for the freehold bill.

Please help!

-- Miss Deanna Ann Tomkins (deanna.tomkins@topjobs.co.uk), July 23, 2001

Answers

Get onto your local Citizens' Advice Bureau straight away. I would hope that because Nationwide paid the ground rent, that you owe the money to Nationwide as part of general arrears, and, when you go to court, Norgan rules will apply. That is, as long as you present the court with a realistic plan to pay off the arrears in the long term (even if it's over the whole term of the mortgage) you will be allowed to stay in your home. *Don't* ignore the court hearing - it's your chance to go and sort this out properly, and to come to a realistic and amicable arrangement you can stick to. But like I say, the CAB can tell you the full story - I'm just repeating what I've read over the past year or so, and can't advise you properly. Good luck.

-- E Scott (eleanor.scott@btinternet.com), July 23, 2001.

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