# Struggling to make mortgage payments. What should I do ?



## thefridge05 (29 Mar 2009)

Hi all,
I'm i a bit of a predicament. My girlfriend is not working and i am only earning 22k per year as the overtime in work has stopped.
At the moment i have a mortgage of 830 per month, car loan of 260 per month and personal loan of 160 per month. I am only coming out with about 1700 per month so we are struggling to survive.
I have mortgage with EBS and was wondering if intereset only would be an option or better again if i could take a break from payments for 8 months.
If i could take a break i could clear the car loan and would have more money every month after.

Would this be an option or is it even possible to do this?

What way would this effect my rating with EBS ?? Does it look bad to ask for this??

Please Help..

Thanks in advance


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## Senna (30 Mar 2009)

*Re: Mortgage help !!*

EBS seem fairly flexible with this, payment breaks are not seem in a bad light and will not affect your credit rating.  I think up to 6 months can be given fairly easily, not too sure about longer.
Probably best to talk to someone in the branch and don't be afraid to let them know that your repayments are tight at the moment, so a break would allow you to clear off other loans.  They might also have other options, did you take the easy-step payments at the start of the mortgage?  That might be an option, or even interest only for awhile.

Also if repayments are that tight, i'd maybe start looking at fixed rates for when you do start paying again.


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## thefridge05 (30 Mar 2009)

Thanks Senna I'm going to ring them today to see what response i get


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## PaulHoughton (31 Mar 2009)

Would you apply for mortgage interest supplement from your local health centre?
http://www.citizensinformation.ie/c...-welfare-schemes/mortgage_interest_supplement

Is your girlfriend not entitled to some form of welfare payment?


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## DUO (9 Apr 2009)

*EBS seem fairly flexible with this, payment breaks are not seem in a bad light and will not affect your credit rating. I think up to 6 months can be given fairly easily, not too sure about longer.
Probably best to talk to someone in the branch and don't be afraid to let them know that your repayments are tight at the moment, so a break would allow you to clear off other loans. They might also have other options, did you take the easy-step payments at the start of the mortgage? That might be an option, or even interest only for awhile.*

Hi Senna - do you have experience that EBS are flexible with payment breaks ?

I am struggling to make payments on my fixed rate mortgage with ebs. I went to local ebs office.  Euro 6500 to break out of fixed rate. Asked for payment holiday or to move to interest only. Was told I cannot do this. I was told I need to miss three payments before ebs will do anything to allow me to reduce payments. Worried about how this will affect my credit history.

Does anyone have experience with reducing payments with ebs ?

thefridge05 - did you have any joy with ebs ???


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## thefridge05 (9 Apr 2009)

I was on to them and was told a break was not an option and interest only is given to certain circumstances. I wrote a letter in to them saying I needed to go interest only for a while due to unforseen circumstances. I'm wiring to hear back from them but will keep you posted.


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## DUO (9 Apr 2009)

After emailing ebs I was told to write to underwriters department to explain why I wanted to move to interest only. Did this, outlining in detail my predicment with not being able pay due to 30% wage reduction etc, I got letter back to say they do not do interest only. full stop. Dont know where to go from here ???  please let me know if you have any better luck.


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## iscritto (10 Apr 2009)

If you have no arrears and good c-rating, might be an option to change mortgage now, I know timing is not great but if ebs won't help then changing might. Also I would be putting pressure on them for reasons.... in light of whats happening around us the banks have to be flexible saying "we don't do that" is not good enough. 
Other than that maybe try lower the car or personal loan.


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## Senna (10 Apr 2009)

DUO said:


> Hi Senna - do you have experience that EBS are flexible with payment breaks ?



If your in a fixed rate they wont give you a IO or payment break, even if they were still offering them, which they possible (more than likely from the sounds of it) have stop completly;

My comments were regarding a family members experience with EBS, he got a 3 month payment break because he went travelling last summer.  This was in the summer of 2008 and he said it was a simple process, they gave him the option of 3 months interest only or payment break, he took the payment break.  Just need confirmation in writing and it was done.
I just suppose (like most banks) there not that flexible anymore, but certainly were before the banking crisis. 

Even so, i would still try.


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## agapanthus (10 Apr 2009)

You need to try and renegotiate the other 2 loans first, the banks view is that your home should be priority.   After doing that then go back to your bank with a budget planner showing exactly your outgoings, be realistic but there must be no extravagant spending in it, any extras that you can economise on must be done.   Only then will the bank seriously consider your predicament, this is my opinion of course, but I am dealing with this every day and find that is the best route to take.


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## thefridge05 (2 May 2009)

Ok guys I have been on to them and they agreed to allow interest only payments for 6 months


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## Complainer (2 May 2009)

thefridge05 said:


> Ok guys I have been on to them and they agreed to allow interest only payments for 6 months


Well done, that's a pretty decent result for you. HOpe it allows you to keep your head above water.


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## DUO (8 Jul 2009)

thefridge05 well done on getting a result from ebs. 

I am struggling to understand why I was told by ebs that they do not offer interest only payments despite explaining my inability to meet the repayments.

Did you apply to the underwriters or elsewhere...This was the email I received when I asked how to get interest only...

*To apply to the underwriters you must send in a written request signed by everybody on the mortgage title. You must state the reasons for needing the interest only and also the length of time you wish for the interest only period be applied for. Send this letter to.* 

This is the address I sent the letter to ...

EBS Head Office 
Underwriting Department 
2 Burlington Road 
Dublin 4 

I would appreciate any advice on how I should word the letter or if you applied elsewhere. 

Thanks


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## thefridge05 (9 Jul 2009)

Hey mate my advise would be to deal with the Newbridge branch. Manager down there is very helpful and will do everything he can to help people out.


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## maxol (9 Jul 2009)

terrible that the banks are mking it so hard for people who are genuinely trying to maintain their committments instead of burying their head in the san and allowing defaults to happen.

i rang UB yesterday looking to have my personal loan switched from a monthly DD to a weekly one as i get paid weekly and i was told No Way!
I explained i would find it less of a burden if that money just went every week instead of a lumpsum at the end of the month. Can't be done I was told


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## The Pool Boy (9 Jul 2009)

maxol said:


> i rang UB yesterday looking to have my personal loan switched from a monthly DD to a weekly one as i get paid weekly and i was told No Way!
> I explained i would find it less of a burden if that money just went every week instead of a lumpsum at the end of the month. Can't be done I was told



Set up a new bank account in the same branch, and get your monthly loan payment paid from this account. Divide this monthly payment by 4, and set up a standing order for this amount to go out of your main current account weekly. You get to budget for it weekly, the bank gets it's monthly payment.


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## cazmayo (9 Jul 2009)

Hi there,

Glad you read you got interest only for 6 months.

Due to my hubbies wages being cut twice in 5 weeks, I did up a spreadsheet of income and then loan commitments, and then living expenses, which showed a significant shortfall.

I listed what I planned to do to reduce loan commitments across the board, so I wasnt just asking them to reduce my mortgage.  Im also 9 months pregnant and thus unable to increase income by me working.

They awarded us 6 months interest only which was a reduction of 400 per month.  Also negociated on other loans.  Plan to use the time to pay off credit card and sell the car, so when it kicks back in, we are in a better position.

A letter asking to go interest only is not enough, you need to show them that you cant afford by detailed income and expenditure (for anyone trying to renegoicate).

Cheers
Caz


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