I was repossed in 1996 and have been paying 5.00

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Since 1997 I have been sending 5.00 per month to payoff debts since my home was repossed. Because I was frightened, and my husband suffering with depression I just paid the money. I now want to stop paying it but wondered how to go about this, what I would have to go through just to get rid of it. I didn't know about anything. Other people I know who have been repossed have moved on without having to pay the debt, please help me with a solution I would be very grateful.

-- Mrs Johann Fox (johann.fox@ntlworld.com), October 14, 2004


Response to I was repossed in 1996 and have been paying £5.00

The difficulty I believe that you have is that by paying you are acknowledging the debt. Therefore the lenders have either 6 or 12 years from the date of the last payment, in which to pursue you if they wish to - including taking you to court.

There is little that you can do in the current circumstances.

Sorry to not have more positive news, but if I am wrong then hopefully someone will correct me.


-- Mark O'Keeffe (markokeeffe@btopenworld.com), October 14, 2004.

Response to I was repossed in 1996 and have been paying £5.00


As per previous advice it seems you have admitted liability for the debt. You might want to consider a one off full and final payment offer (approx 2-5% of the debt) and see if they will accept it.

If your only income is Benefits and you are in rented accommodation with no other assets you could go to CAB (citizens advice) and ask them to negotiate with the lender on your behalf...either to make a full and final settlement or reduced payments. They will complete Income and Expenditure forms which will demonstrate how much or little you can really afford. If your only income is Benefits the payments could be reduced to 1 a month or nil a month. This could well affect your credit rating but they would probably not pursue court action as you can't give what you don't have and court action would not be a financially wise decision.

Other than that, unless you had a MIG you were wrongly sold I don't know that there's much else you can do. In the event that they do ptake court action against you, you could file for bankruptcy/sequestration and although it would affect your credit status it might not be such a bad think IF you are not intending to but another house for a few years.

All the best


-- Moira (Anderston828@aol.com), October 17, 2004.

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