We need advice on handing in the keys!!!!!

greenspun.com : LUSENET : Repossession : One Thread

Dear Sir/Madam We are in financial difficulty at present. At the moment we are that much short of money we are finding it difficult to put food on the table for our two children.


We owe around #8000 to credit card companies, I lost my job some 7 months ago, and have been struggling to make ends meat since. Every month we are getting more and more overdrawn with the bank. Our overdraft limit is #925 and we are #1200 overdrawn. which means when my wife gets paid the overdraft will eat it and again we will be left with no money for food for the month.


This month Feb we have been unable to pay the mortgage and would like to know what happens if we hand the keys in. If we do should we leave a forwarding address, and also in the next 2 years we are planning to move to the USA will they be able to trace us there.


We have discussed this between ourselves in great detail and think it would be best to move into council accommodation in Manchester (we live in Blackpool) because it would be a lot cheaper and at least we could afford to eat. I know that if they repossess us it may leave a shortfall in what we owe and what they sell the house for but is this still the case if we hand the keys in, are we still liable.


There is no equity in the property at all. The house is for sale for #48.950 and our last redemption statement showed that we owed #45.746. Because we have not been in the property for 5 years they are putting a redemption fee of #1.820.45 plus cashback to solicitors of #380.00, as our fees we paid for when we obtained the mortgage. So apart from what we owe on the mortgage there is an additional #2.200.45 being added on because we are selling before 5 years. We did have a buyer a few months ago for the house but they couldn't afford the whole amount, but if we didn't have the redemption they could have afforded it. I contacted the building society (Nationwide) who are aware we are in financial difficulties and told them the situation about we could sell the house if it were not for the redemption but they said it had to be paid and there was nothing they could do about it.


I have in the last few months negotiated a lower monthly amount from them but now this has ended and they are unwilling to help us further. We cannot go on like this it is affecting our health and we need to put food back on the table. Please can you help us in anyway and tell us what will happen and answer all the questions I have mentioned. I appreciate your time and trouble Yours sincerely Simon Foy

-- simon foy (simonfoy@uk.packardbell.org), February 22, 2000


No judge in the land prioritises a mortgage lender over your health and the well being of your children. If you cannot afford this property simply hand your keys back. You must not continue to deprive yourselves and your children of every day essential needs. Release yourselves of this pressure now.

-- steve (steve@turnell.fsbusiness.co.uk), August 30, 2000.

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