So scared ... it looks likely that my home will be repossessed before Christmas

[jellyjem]

I am so worried, its looking very likely that we will loose our home by Christmas.

My DH was made redundant 18 months ago and despite applying for hundreds of jobs he has been unable to find work, he is 47 so I think his age is against him on the jobs market. He is trying to earn money selling cosmetics on a market stall but it is very slow and hard work.

Our mortgage company agreed that we could pay interest only for 6 months but this agreement runs out next month and they have informed me that they will not grant another interest only period and expect us to go back to our full payments plus a bit extra to catch up on the payments we have missed. There is no way we can do this. DH is hardly earning anything and I only work part time.

I think we really need to go bankrupt to clear our debts and start again with a clean slate as I just cannot see how we will ever clear our credit cards and loans, we are being chased for payments we cannot afford. I have stopped paying our unsecured debt and already have 2 CCJ's which are obviously also going to show up on any credit searches a letting agent would do if we had the house repossessed and tried to rent somewhere.

I have never rented before. Will we be able to rent a house with CCJ's, repossession and possibly bankrupcy too. I never thought this would happen to me. I can't sleep or think about anything else, I feel like I have failed my little girl and we are all going to end up homeless.

Good luck jellyjem. Step change really helped a member of my family. Thinking of you.

Pay the minimum amount back each month on the credit card.

We transferred the car loan to a 0% card.

Spread council tax payments over a year and not 10 mths.

Could you get a lodger? Rent out your drive way? Sell stuff you don't need?

Do you need a car? Could you bus/bike to work?

Has your dd got any savings that you can use?

Look at the National Debt website as they talk about getting loans wiped out.

How much extra per month is the mortgage going to be?

I think you need to urgenty get professional debt advice from somewhere like CAB, National Debtline or CCCS ... because a lot of your assumptions appear (to me at any rate) to be incorrect. You're leaping forward to house repossession and bankruptcy and I'd be amazed if there weren't other options.

Good luck

Can I ask what area of the country you live?

I doubt it will be before Christmas. It does take time, there's a deferred repossession order (can't remember the name exactly). You go to court with a plan (e.g this is our situation we can pay xyz, or we have the sale going through with a projected completion date of...) and you speak to the mortgage representative before you go in, chances are it will be agreed. If you default within the agreed term it will be automatically be repossessed.
It is truly shit, I've been there but came out the other side xxxx

Oh and bankruptcy I believe but I'm not 100% on this one. If a partner / hubby goes bankrupt the other party can buy their equity in the property back for £5.
I've been told that by 2 different people, but I've not checked it out myself

I've not read all of the above but suggest you go and get debt advice from the citizens advice bureau. If you can meet the interest only payments on your home they may be able to help with your mortgage company, too. Ask the CAB for details of any local credit union you may have too. Get help getting all your cc debts together. You can do this.

Hi jellyjem, im so sorry for the situation you've found yourselves in, unfortunately its too common these days but one thing you haven't done is failed your daughter. Ok things haven't gone to plan but she's got her mum & dad with her every day, will have a roof over her head & food in her mouth because you will do your best to provide both & there are places out there to help too.
My ex-boyfriend with who i have a 11 year boy with, set his own company up just over 10 years ago, at the time when money was being chucked around, and made loads of brass. He went off with his new woman & got a huge house, big Audi Q7, flashing the cash everywhere. Unfortunately for him he was too dumb to run his company, the recession hit & he lost the lot. Made bankrupt, house has been on the market for years & they've just been paying interest only payments. But that said, they've had quite a lot of help & not just been dumped on the street. They have a buyer for their house & are facing starting all over again in renting a property & they are 48 & 50 years old...not ideal is it.
None of that helps you, but hopefully it will reassure you that you havent failed anyone. It's life, none of us know what could happen with our jobs & we all make decisions what we think are the best at the time.
I think the best thing you can do is be honest with your close family, you never know they may have been through similar & you dont know yourself. Or they may know how to help. Honesty is the best policy & i wish you lots of luck to get the situation sorted out for you all xx

Jellyjem, I wish you all the best. We are heading the same way unfortunately - dh out of work, I can't get more hours, we have debt due to previous unemployment, for now we are managing, but not sure how much longer.

I recommend National Debtline's website. We used their income and outgoings planner to work out how much we have to make reduced payments off our debt and mse forum is very helpful too.

I too am worrying how we will rent if we have to sell the house (before it is repossessed) as our credit rating is awful, so great advice here.

I don't sleep well at night either, all these worries go round and round in your head, don't they?

I hope you get it all sorted.