Facing repossession, the process.When you agreed to your mortgage or secured a loan on your property, you agreed to the terms of the contract to make the required payments. The lender has the right to start the repossession process against you if you don’t make the required payments and fall into arrears, two months arrears is enough to allow the lender to start repossession. If you ignore the problem it will become more difficult to control your debt. Working out your options can be complicated; you may want to get independent advice before you decide what to do to resolve your position. Most lenders will try to avoid the repossession process and try to come to an arrangement with you to clear the arrears, Talk to your lender. If your lender has doubts about the amount you are in arrears or is not satisfied with how you intend to clear the debt, then they will start proceedings. To start your lender will hand your account over to the arrears collection department, they will write letters and possibly telephone you to chase the arrears. ACT STRIGHT AWAY talk to your lender, explain your situation and try to make an arrangement with them to clear your arrears. Once your arrears reach a certain amount, the account will be handed to their solicitor. The solicitor will send you a letter giving you seven days to pay off all your arrears or make a proposal for doing so, if they don’t agree they can start court action without further warning. Once you have allowed your arrears to reach six months or more, the solicitor will issue County court repossession proceeding. The court will set a hearing date which you should attend. Read Getting ready for court for further advice. What the court can decide at the hearing 1. Adjourn the case to a new date, this might happen because : The judge needs more information, you requested more time or due to absence. 2. Striking out the case, this might happen because: The correct procedure has not been followed, the claimant does not attend court or the arrears are cleared. 3. An outright possession order means you won’t have the right to live in your home after the date given in the order. 4. A suspended possession order is granted if the judge thinks that the claimant is entitled to repossess your home, but not immediately. 5. A money judgment, this allows the recovery of all the money owed under the mortgage or loan not just the arrears. 6. A Time order, the court may be able to reduce your payments (if you have a secured loan or a second mortgage) by either : changing the interest rate on your loan, or lengthening the term of your loan. If eviction is pending, even up to the day before eviction, SPQ.com may still be able to help. contact us immediately. (24Hrs Local Rate)
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