# How did your mortgage provider act when you told them you were claiming benefits



## Alwyn (17 Aug 2011)

I am self employed.  Both myself and my wife are falling further into debt and are closing the business down.  

We are both going to apply for JSA or JB.  

We are currently paying part interest on our mortgage.  We are not entitled to mortgage supplement.

We are both very concerned about what our mortgage provider will do when they hear we are both signing on.

I have never signed on in my life and haven't a clue were to start.

Our main concern is the reaction of our bank.

Any advice would be greatly appreciated.


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## wbbs (17 Aug 2011)

The bank are not going to be surprised or shocked and horrified, they are hearing this day in day out and all of them have systems in place to try and come to some arrangement, however there are no long term solutions in place at the moment so no one knows right now what the end result is going to be when all arrangements are exhausted.

The new Mortgage Arrears Resolution Process (MARP) requires the lender to work with you and these difficulties.   They will again fill in a financial/budget planner to see what you can pay, you say you are not entitled to mortgage interest supplement, will this change now that you are both unemployed?


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## Alwyn (17 Aug 2011)

Thanks alot Wbbs. 

We are currently trying to sell our home but the prospect of that happening is looking less every day. We are in relatively high negative equity and nobody is going to pay the amount we are asking for, when the houses all around us are selling for far less. 

I am not sure if we are entitled to any supplement. This is an area I no very little about but will have to look further into in the next few days.

I have a mortgage on a property in the west also. I was thinking of claiming from there as there would be less of a waiting list than here in Dublin or am I wrong

Will my main mortgage provider query why I am claiming from that address?


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## wbbs (17 Aug 2011)

You can only make a claim for the house you are living in, your principal residence, the second property will be assessed as means, also if the mortgage on your house was for any other purpose other than for purchasing it  then that portion would not be included for supplement.   For example if you remortgaged your house to put money into the buisness, buy a car, use as deposit on the second home etc etc none of that would be taken into account and you could only be assessed for the portion of the mortgage that was used to purchase or repair your principal private residence.


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## Alwyn (18 Aug 2011)

I have already entered a MARPS agreement.  I have continued to stick by the agreement but obviously now that unemployment is looming I will have to break this agreement.  Will they look to repossess?


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## Bronte (26 Aug 2011)

Is the property in the west in negative equity?


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