Mortgage arrears

[Blushingm]

We have got into a bit of a mess - we have mortgage arrears of £2300. We had the demand the week of Christmas

We have done a income expenditure thing and our calculations show every month we have £400 left after everything (inc groceries etc).

Have spoken to mortgage co today and they say it needs to be paid ASAP but their calculations don't take dla or cb or tc as income so their computer says we are actually £200 short

As their computer says we are short the file has to go to their solicitors

With the extra our calculations say we have left every month and shares I have that I can cash in in march of about £1700 we can be completely cleared by March and back on the straight and narrow.

I was just wondering if anyone had been in a similar situation. How likely would the mortgage co be to spread the arrears and wait til march or could we be repossessed by then????

We have never been in arrears before - I've just struggled (mh issues) and have kind of been ignoring stuff, dh will now look after finances from now on. We've been with our mortgage co for about 10 years

Thanks

i dont really have much useful advice, but it might be worth seeing if you can set up a repayment plan with them, so they know how much your planning on paying back, when youll be back on track etc? :/

hope someone more helpful comes along!!

How many months in arrears are you?
How much equity is there in the house?
Could you reschedule the loan - add a couple of years to reduce the monthly payment and then catch up with yourselves later?

They will not go for legal action unless you are actively obstructive.

Sit tight till next week.
Go through your numbers with a fine tooth comb - looking at actuals for the last two years from your bank and card statements
download my budget spreadsheet (I'll bump the thread to the top of the board)
then agree a face to face meeting with them taking your analysis

and work out an agreed plan - and STICK TO IT

Thank you - we are not behind months as such just the payments were short. As dh is paid weekly I made payments weekly by bank transfer but there were about 4 occasions where I forgot spit looked like the monthly payment was short - if that makes sense???

I look at that budget thingy tomorrow - thank you! Xx

We were four months in arrears - our repayments were about £700 a month, at first they wanted us to pay nearly 1k a month and we just couldnt manage - in the end they let us go "interest only" so we paid our interest (whatever that was) and the rest went towards the arrears - it cleared it in about six months irrc. We are with Barclays - we are often late paying as DP is self employed and money is erratic. We got screwed over by one of his employers one month this year and couldnt pay - so we are currently paying an extra £100 a month, but its ok. It does depend on who you bank with.

You need to get some professional advice ASAP - start with CAB or one of the debt agencies. The bank have to HAVE to work with you to make payment arrangements before they go down the reposession route.

ARe there other "non-priority" debts you can rob from in order to pay the mortgage? Go onto The national debt line website, theres a budget calculator where you put your incomings and outgoings, it prioritises debts like mortgage, HMRC, fuel bills, council tax and the others get a pro-rata amount of what is left. They are very likely to accept reduced payment offers, again the national debt-line can help you wiht letters etc.

PM me if you want any more advice - been there, its hell, got through it x