Lilly's Repossession

[lilly1203]

Re: Lilly1203 Diary

Lily, I hope you and the kids are settling into your new home.

Even though NRAM took possession of your house yesterday they still have a duty to sell it for the best price and according to your previous posts you were NOT in negative equity even after satisfying the GE Money secured loan (which NRAM's solicitor will do for you at the point of sale). Keep in touch with that estate agent you instructed so you know what's going on.

Sadly the lender will add any further mortgage payments due (but with no more interest added!) until it's sold, and also the agent's fees plus legal costs. Even so I don't think you'll be left with an outstanding balance to pay. Even if there's a small amount due to GE Money they will probably write it off if you challenge all their unreasonable charges

I've looked at your diary and your other unsecured debts only total about £3,700 so maybe think twice and twice again before going BR because some of those could be UE or settled/written off because the individual amounts are low in the grand scheme of thinks (I have £150k to sort )

Hi PlanB, we are doing fine thanks. Got all my money in last week, paid all my bills, got little envelopes with £10 in towards car tax - MOT - repairs,and we have a little left over and the kids love the new house. Dad has decorated and helped us get sorted. It feels very safe at the moment. I was not going to tell anyone my new address, I was going to give my forwarding address as "C/O" dads address, he has offered to deal with all the paperwork via templates etc, do you think that is best. I am looking forward to the sunshine and a few days out, and the occasional glass of Rose' Love Lilly x

[lilly1203]

Re: Lilly1203 Diary

Quite true, I handed keys back 20+ years ago. Took about a year for DCA's to find my new rented address, loads of threats, I told them, please make me bankrupt. No chance, no CCJ's no court, nothing . Until one DCA tried it on 10 years later, wrote to my new employer. Basta-ds. Still got nothing. As stated, if you've got nowt, that's all they can take.

Hi Enforcer, I see what you mean, Dad said a similar thing. Maybe I will wait and see what happens. We had to buy a fridge freezer from eBay but we bought it in dads name same as the TV so we can show receipts to say it is not mine. Got a valuation from "we buy any car" and they say is only worth £1100. The rest of my stuff is very ordinary and not worth much. CAB have done a I&E to show I have nothing spare so as you said "I got nowt so what can they take, cheers Lilly x

[The Tech Clerk]

Re: Lilly1203 Diary

Hi PlanB, we are doing fine thanks. Got all my money in last week, paid all my bills, got little envelopes with £10 in towards car tax - MOT - repairs,and we have a little left over and the kids love the new house. Dad has decorated and helped us get sorted. It feels very safe at the moment. I was not going to tell anyone my new address, I was going to give my forwarding address as "C/O" dads address, he has offered to deal with all the paperwork via templates etc, do you think that is best. I am looking forward to the sunshine and a few days out, and the occasional glass of Rose' Love Lilly x

Brill!!!

[The Tech Clerk]

Re: Lilly1203 Diary

Hi Enforcer, I see what you mean, Dad said a similar thing. Maybe I will wait and see what happens. We had to buy a fridge freezer from eBay but we bought it in dads name same as the TV so we can show receipts to say it is not mine. Got a valuation from "we buy any car" and they say is only worth £1100. The rest of my stuff is very ordinary and not worth much. CAB have done a I&E to show I have nothing spare so as you said "I got nowt so what can they take, cheers Lilly x

Webuyanycar also deduct about £45 admin charge from their estimate!

[DoTheyMeanMe]

Re: Lilly1203 Diary

Got a valuation from "we buy any car" and they say is only worth £1100.

If you need a LOW valuation for a car that is the very best place to go. No good for selling your car because they offer well under market prices but good to prove how 'little' it is worth.

[Enforcer]

Re: Lilly1203 Diary

Just sit tight, all of my daughters letters come to my house, done same as your dad. From now on, don't even bother to reply to anything from DCA's. Not replied to anything for my daughter, technically she has 3 creditors chasing around £12,000. All are enforceable. Single mum, low wages, a pittance from CSA. Council house, no car. They can write to her as much as they like, don't even show her the letters, shredded.
They can do whatever they choose, but she cannot pay them, they were irresponsible lenders.
It will all have been written off against tax by now.

[lilly1203]

Re: Lilly1203 Diary

Hi Guys, things have been going well for Lilly, she is settled in her little rented house with the children and all is well. Her old property has been repossessed after her husband died and sold, we have had a letter from NRAM stating they sold it for £152,000 which is £20,000 under valuation and they say there is a shortfall on the mortgage of £3,500 and they want it. We had it on the market for £164,999.00 still £10,000 under estate agent valuation for quick sale, this would have paid everyone off but NRAM did not want to know, they wanted it in court despite all the offers we made. Just wondered if anyone had any suggestions on our next course of action, Lilly also had a secured loan with GE for £9000 and that is still owing although there is no longer anything to secure it too, Lilly has no assetts, no money and nothing of value except a car woth £2000 that she has to go to work in, we have not heard from GE for some time, any suggestions or guidance would be really appreciated, many thanks Lilly's Dad

[PlanB]

Re: Lilly1203 Diary

Good to hear that Lilly and the kids are settling into their new life

The mortgage shortfall is small in the grand scheme of things and NRAM are unlikely to keep chasing her for long. But she needs to get a statement now with a full breakdown of all the add-ons such as legal costs, agent's fees, interest, and redemption charges etc. These can be challenged if they are excessive (they will be!). She needs to get that £3.5k figure down to as low as possible so they may write off the balance. She would have been responsible for the mortgage payments up until completion of the sale. She also needs to check whether they will be adding interest (sometimes they can) to that £3.5k shortfall which could add up over the years if she ignores it.

In some ways she has saved money by not being repossessed through the courts because she would have had to pay all NRAM's legal costs for that process too. She did a voluntary repossession (she handed in the keys) but that doesn't mean the lender should take advantage of the situation. They have a duty to get the best price and it looks as if they didn't. So the quick answer to your question is she should get the figures from NRAM and make a complaint to the FOS who do take repossession underselling seriously. I hope she's kept the valuations she had done which evidence a market value of £20k - £30k more than it was sold for. She needs comparables of similar houses sold locally (within a 5 mile radius) which she can get from the www.Zoopla.co.uk or www.nethouseprices.com websites. Just enter the postcode and voila. The recent figures take two months to become available (they're based on Land Registry figures so they will be accurate).

Here's a case where the FOS awarded compensation to someone whose house was undersold by the lender following repossession. I hope she finds this encouraging:

http://www.financial-ombudsman.org.u...ears.html#cs11

[PlanB]

Re: Lilly1203 Diary

Lilly also had a secured loan with GE for £9000 and that is still owing although there is no longer anything to secure it too, Lilly has no assetts, no money and nothing of value except a car woth £2000 that she has to go to work in, we have not heard from GE for some time

One step at a time. Lilly should set up a Royal Mail Redirection service from her old home so she at least knows what GE Money are *thinking* of doing. Once the property was sold Land Registry would have made GE Money aware of the transaction since they had a charge registered on the house which will now have been removed. At that point GE Money's legal department would have no idea whether Lilly is a multi-millionaire or a scoundrel, but they will assume the latter unless they hear different.

Lilly can expect a letter any day soon from GE Money. Post up what it says. They can chase (and will) this debt for six years (possibly 12 years) so sometimes it's not a bad idea to try to knock it on the head from Day 1. If it was me I would go for sympathy. I see no harm in responding to the letter (there will be a letter) informing them of the truth. She could tell them of her husband's death (again) and her inability to pay. She should ask them to write off the debt (they may not but worth a try). She'll be laying a paper trail. That's all. I see no need for her to give them her new address but they will trace her as the years go by.

Tell her not to worry about GE Money at this stage

[PlanB]

Re: Lilly1203 Diary

Something has just occurred to me. Since Lilly's GE Money loan is less than £25k it may be covered by the CCA. Post up details of the start date etc in case the agreement turns out to be UE. GE Money were known to be very sloppy with their paperwork And there was loads of mis-selling through their broker network

[lilly1203]

Re: Lilly1203 Diary

Good to hear that Lilly and the kids are settling into their new life

The mortgage shortfall is small in the grand scheme of things and NRAM are unlikely to keep chasing her for long. But she needs to get a statement now with a full breakdown of all the add-ons such as legal costs, agent's fees, interest, and redemption charges etc. These can be challenged if they are excessive (they will be!). She needs to get that £3.5k figure down to as low as possible so they may write off the balance. She would have been responsible for the mortgage payments up until completion of the sale. She also needs to check whether they will be adding interest (sometimes they can) to that £3.5k shortfall which could add up over the years if she ignores it.

In some ways she has saved money by not being repossessed through the courts because she would have had to pay all NRAM's legal costs for that process too. She did a voluntary repossession (she handed in the keys) but that doesn't mean the lender should take advantage of the situation. They have a duty to get the best price and it looks as if they didn't. So the quick answer to your question is she should get the figures from NRAM and make a complaint to the FOS who do take repossession underselling seriously. I hope she's kept the valuations she had done which evidence a market value of £20k - £30k more than it was sold for. She needs comparables of similar houses sold locally (within a 5 mile radius) which she can get from the www.Zoopla.co.uk or www.nethouseprices.com websites. Just enter the postcode and voila. The recent figures take two months to become available (they're based on Land Registry figures so they will be accurate).

Here's a case where the FOS awarded compensation to someone whose house was undersold by the lender following repossession. I hope she finds this encouraging:

http://www.financial-ombudsman.org.u...ears.html#cs11

Hi Plan B, thanks so much for your reply and support. Do I just ask for a breakdown or is there a template, I presume this will have to be from Lilly rather than me although she has sent a letter giving me authority to deal. Hope to speak soon, Lilly's Dad

[lilly1203]

Re: Lilly1203 Diary

One step at a time. Lilly should set up a Royal Mail Redirection service from her old home so she at least knows what GE Money are *thinking* of doing. Once the property was sold Land Registry would have made GE Money aware of the transaction since they had a charge registered on the house which will now have been removed. At that point GE Money's legal department would have no idea whether Lilly is a multi-millionaire or a scoundrel, but they will assume the latter unless they hear different.

Lilly can expect a letter any day soon from GE Money. Post up what it says. They can chase (and will) this debt for six years (possibly 12 years) so sometimes it's not a bad idea to try to knock it on the head from Day 1. If it was me I would go for sympathy. I see no harm in responding to the letter (there will be a letter) informing them of the truth. She could tell them of her husband's death (again) and her inability to pay. She should ask them to write off the debt (they may not but worth a try). She'll be laying a paper trail. That's all. I see no need for her to give them her new address but they will trace her as the years go by.

Tell her not to worry about GE Money at this stage

Again many thanks, GE are writing to Lilly at my address so that is covered. I will post up anything we get from them and I will write to them to explain all that has happened, we do have a CCA from them which I requested back in April this year, shall I sent it to Niddy to see what he thinks? I am told this was done via a man who called at the house. I will check when this was. cheers Lilly's Dad

[lilly1203]

Re: Lilly1203 Diary

Something has just occurred to me. Since Lilly's GE Money loan is less than £25k it may be covered by the CCA. Post up details of the start date etc in case the agreement turns out to be UE. GE Money were known to be very sloppy with their paperwork And there was loads of mis-selling through their broker network

Just to update you, I have checked the CCA we had from GE and the date this was taken out was 08.10.2007, is this to late for any UE, thanks Lilly's Dad

[Undercover Elsa]

Re: Lilly1203 Diary

Hi Lilly's Dad,
The law changed in April 2007 sadly, but I'd still send it to Niddy for appraisal as the more points of contention you can raise, the better.
I'm so glad your daughter and family are settled in their new home after all their troubles.
It might be an idea to send a Subject Access Request to NRAM to get all the info they hold on her including the final breakdown.
Here's the advanced request template-amend to suit: http://www.all-about-debt.co.uk/inde...vanced-request

Once you have all the info to hand, if you get to the stage of needing letters requesting a write off on humanitarian/extreme hardship grounds do give me a shout if you need any help.
What's the current total of all her debts combined?
kind regards,
Elsa x

[PlanB]

Re: Lilly1203 Diary

GE are writing to Lilly at my address so that is covered.

. . . we do have a CCA from them which I requested back in April this year, shall I sent it to Niddy to see what he thinks? I am told this was done via a man who called at the house.

I feel a second SAR coming on. Wait until Niddy has seen the agreement, but UE isn't only about s.78. An agreement can be unenforceable in court for a whole host of reasons

Was there any PPI on that GE Money loan?