Mortgage Arrears caused by benefits shortfall

[di30]

Re: Reclaiming Mortgage Arrears Charges

Thank you Mgfboy.

I can recall when I was in this position, when our insurance ran to the expiry of 12 months, (where hubby worked at the time, the steel company liquidised), it was during the recession period as well, so that didn't help, it taken 8 attempts to deal with our mortgage interest through the dwp, they kept losing the forms, which did not help on the arrears.

We did on many occasions let the lender know the position, of dwp losing and resending forms all the time, and they were aware of that, as we were forever sending these forms to the lender for completion each time, so yes a letter to start with will help.

[The Tech Clerk]

Re: Reclaiming Mortgage Arrears Charges

Thank you Mgfboy.

I can recall when I was in this position, when our insurance ran to the expiry of 12 months, (where hubby worked at the time, the steel company liquidised), it was during the recession period as well, so that didn't help, it taken 8 attempts to deal with our mortgage interest through the dwp, they kept losing the forms, which did not help on the arrears.

We did on many occasions let the lender know the position, of dwp losing and resending forms all the time, and they were aware of that, as we were forever sending these forms to the lender for completion each time, so yes a letter to start with will help.

Liquidised (turned to water)run away? oopppsss sorry.

That situation is terrible so called letters lost? as if you were not under enough stress at the time!

[di30]

Re: Reclaiming Mortgage Arrears Charges

Liquidised (turned to water)run away? oopppsss sorry.

That situation is terrible so called letters lost? as if you were not under enough stress at the time!

lol yeah it was like that lol!

It was a very bad time, 400 steelworkers thrown on the heap just days before xmas in 2007.

[The Tech Clerk]

Re: Reclaiming Mortgage Arrears Charges

lol yeah it was like that lol!

It was a very bad time, 400 steelworkers thrown on the heap just days before xmas in 2007.

Even worse that time of year!

[transformer999]

Re: Reclaiming Mortgage Arrears Charges

Just had a quick look at the tread, I would say until the arrears ( no matter how they where created)until cleared will keep on increasing at the same rate.

Do you know why the DWP pay the mortgage late and if so , it may be worth getting a letter from them stating it wasn't your fault as to the late payment. This may help with your claim for unfair charges.

I dont know if the DWP cause hardship though their incompentance if you can claim against them????

Thanks di & mgfboy.....If my complaint is upheld then that will be great as it will reduce the arrears balance....but will not hope too much at present for that...just have to wait and see what response they give.

I will find out in detail tomorrow which day the DWP actually pay Paratus and which day Paratus take mortgage payments....then I will be able to calculate accurately what and how these arrears out of thin air Paratus have made.

Thank you so much for that info...very useful and definitely will be a good point to argue against the charges if I have to go that far.

[transformer999]

Re: Reclaiming Mortgage Arrears Charges

I have dug up a transaction history of payments to see if I could try and work out myself.....would appreciate any help with this.

I know they have only shown one payment pf £39 for arrears on this but there are more...and that is what I have included in my complaint to Paratus.

[PlanB]

Re: Reclaiming Mortgage Arrears Charges

Hi Di,

I was hoping to pick your brains please. I received another arrears reminder letter from Paratus saying that I am now £970.57 in arrears.

I have been checking my credit file and according to that I am in 2 months arrears. All this is because the DWP pay late my mortgage interest. As you know I have on going compliant going with Paratus about the charges and adding the acceptance fee twice to my account.

I have attached a printout of my credit file so you see this...I am just thinking how the hell I am in £970.57 arrears? It is important and better to nip this in the bud as this amount is rising month by month and god knows what for.

Keep an eye on this situation because if you become technically three months in arrears the lender may issue possession proceedings. You can then dispute the sum owed as part of your defence or maybe as a counterclaim but all this will do is give the DJ discretion to order a suspended possession order subject to payment of a recalculation of the arrears figure

[transformer999]

Re: Reclaiming Mortgage Arrears Charges

Hi planB & thanks....thats the thing I am not sure what kinda arrears I am in...and the last thing I need is another possession claim

The DWP pay £164.76 towards the mortgage and my mortgage is approx £250'ish a month...it has occured to me that I have not been paying the shortfall...oh shitty shite!!!!!!

I have been up and over my head with so much to deal with last year that maybe now it is understandable how they have calculated their sums.....Not really sure what to do now....I guess this latest sum of £970.57 that they are asking for are the payments of shortfalls added up...oh what a dickhead if that were true...and there' s me blaming it all on them....lol

First thing I need to know is the sum being asked the shortfall between the DWP payments and the actual payments? if so are there any charges included or have been added.....plus is it possible I could ask them to add these arrears to the mortgage? before it escalates any further?

[PlanB]

Re: Reclaiming Mortgage Arrears Charges

Hi planB & thanks....thats the thing I am not sure what kinda arrears I am in...and the last thing I need is another possession claim

The DWP pay £164.76 towards the mortgage and my mortgage is approx £250'ish a month...it has occured to me that I have not been paying the shortfall...oh shitty shite!!!!!!


First thing I need to know is the sum being asked the shortfall between the DWP payments and the actual payments? if so are there any charges included or have been added.....plus is it possible I could ask them to add these arrears to the mortgage? before it escalates any further?

The DWP pay mortgage interest at a standard rate which is often well below the actual interest rate for some lenders such as Paratus (formerly GMAC). The amount paid is also (normally) capped at a maximum of a £200k per mortgage.

Ask your lender for a statement and we'll take it from there

I don't want to alarm you because I'm familiar with your possession proceedings relating to a secured loan on this same property in another thread in the legal protected section. But you need to check whether these "arrears" relate to over-charges by the lender or underpayments by the DWP

[transformer999]

Re: Reclaiming Mortgage Arrears Charges

Thanks planB will do that but I think it maybe be to do with the DWP making under payments....and don't worry about alarming me. My bell's batteries went flat a long time ago and I'm running on solar now.....

About asking for a statement? Do I just wrote and ask for one? just that the one I attached in post 36 only dates for one year and I will need a statement going back from the beginning of when I owed these arrears to date? hope that makes sense?

[PlanB]

Re: Reclaiming Mortgage Arrears Charges

Di

Is it ok with you if I move this thread to the Debt & Housing section because it seems this poster's issue may be more about people on benefits being underpaid by the DWP and therefore at risk of possession proceedings rather than about reclaiming bank charges, although there may be some unexplained charges too

Plan B x

[transformer999]

Re: Reclaiming Mortgage Arrears Charges

Good idea planB....as this does relate to Debt & Housing more than reclaiming mortgage arrears....

[transformer999]

Re: Reclaiming Mortgage Arrears Charges

Bloody hell £20 fee charged for copy of mortgage statement.......

[transformer999]

Re: Reclaiming Mortgage Arrears Charges

I am going to write to Paratus and ask them to send me a copy of my mortgage statement. Only thing is I am not entirely sure if I have to ask for one dating back x amount of years...or if this will automatically be done and full details of payments...arrears....charges will show on my mortgage statement?

[di30]

Re: Reclaiming Mortgage Arrears Charges

Di

Is it ok with you if I move this thread to the Debt & Housing section because it seems this poster's issue may be more about people on benefits being underpaid by the DWP and therefore at risk of possession proceedings rather than about reclaiming bank charges, although there may be some unexplained charges too

Plan B x

Hi hun

Yes please do that will be great, thank you xx