Age:
51
Spouse’s/Partner's age:
Divorced
Annual gross income from employment or profession:
E72,000
Annual gross income spouse:
n/a
Type of employment:
Private sector
Expenditure pattern:
In the current climate frugal, and a borrower. Before downturn, just frugal.
Rough estimate of value of apartment
Currently, around E315,000
Mortgage on apartment
E215,000 – have been paying for 19 months. No payments missed. E1,470 per month. Borrowed 54pc of original value. Used inheritance for deposit.
Mortgage provider:
First Active
Type of mortgage: Tracker, interest only, fixed rate
Fixed.
Interest rate
5.5pc 3.5 years to go on fixed.
Other borrowings – car loans/personal loans etc
E11,000 credit union. 4.5 years to go. Paying back at E250 pm. Will need to borrow about E12,000 more to pay unforseen educational expenses (see other outgoings).
Do you pay off your full credit card balance each month?
No
Savings and investments:
E4,500 in credit union. Keeping it there as loan collateral.
Do you have a pension scheme?
Yes. E470 per month into company defined benefit scheme (I expect changes here soon as employer has hinted a move defined contribution soon).
Do you own any investment or other property?
No
Ages of children:
14, 16, 18
Life insurance:
Yes.
Other outgoings:
Maintenance – E1,200 per month. Drops 33pc in 3.5 years as eldest reaches 21. Drops again in 4 and 6 years time.
Am paying extra E4,000 pa unexpected educational fees for middle child for next three years.
Electricity, gas, car insurance, car repairs, holiday and Christmas money, monthly bus ticket, broadband, TV, birthday present money etc deducted from pay at source via company-related credit union. About 700 per month goes here.
What specific question does you have or what issues are of concern to you?
At the start of 2008 I could pay all above (loans, bills etc) and still have about E1,200 per month to live on for the month (would pay pocket money and various children's smallish expenses from this also), although things were quite tight. Now, July 09 that has been reduced to around E650 per month due to pay cut, loss of extra paid work, two tax levies, work expenses cut, PRSI increase and mortgage TRS reduction.
My ex-wife, though her finances are separate to mine since divorce, has also seen her income drop drastically, placing further unforeseen pressure on me.
Although I have not gone into arrears yet, I expect this will start to happen soon.
At this stage nothing less than a move to an interest free mortgage for four years (when my outgoings should start to drop – see above) will help me. Although my apartment is not the family home as such, I paid more to remain close to my children, who are in walking distance and visit regularly to stay night and for meals etc.
I have heard that MABs will represent borrowers in talks with lending institutions. Is it worth approaching them?
51
Spouse’s/Partner's age:
Divorced
Annual gross income from employment or profession:
E72,000
Annual gross income spouse:
n/a
Type of employment:
Private sector
Expenditure pattern:
In the current climate frugal, and a borrower. Before downturn, just frugal.
Rough estimate of value of apartment
Currently, around E315,000
Mortgage on apartment
E215,000 – have been paying for 19 months. No payments missed. E1,470 per month. Borrowed 54pc of original value. Used inheritance for deposit.
Mortgage provider:
First Active
Type of mortgage: Tracker, interest only, fixed rate
Fixed.
Interest rate
5.5pc 3.5 years to go on fixed.
Other borrowings – car loans/personal loans etc
E11,000 credit union. 4.5 years to go. Paying back at E250 pm. Will need to borrow about E12,000 more to pay unforseen educational expenses (see other outgoings).
Do you pay off your full credit card balance each month?
No
Savings and investments:
E4,500 in credit union. Keeping it there as loan collateral.
Do you have a pension scheme?
Yes. E470 per month into company defined benefit scheme (I expect changes here soon as employer has hinted a move defined contribution soon).
Do you own any investment or other property?
No
Ages of children:
14, 16, 18
Life insurance:
Yes.
Other outgoings:
Maintenance – E1,200 per month. Drops 33pc in 3.5 years as eldest reaches 21. Drops again in 4 and 6 years time.
Am paying extra E4,000 pa unexpected educational fees for middle child for next three years.
Electricity, gas, car insurance, car repairs, holiday and Christmas money, monthly bus ticket, broadband, TV, birthday present money etc deducted from pay at source via company-related credit union. About 700 per month goes here.
What specific question does you have or what issues are of concern to you?
At the start of 2008 I could pay all above (loans, bills etc) and still have about E1,200 per month to live on for the month (would pay pocket money and various children's smallish expenses from this also), although things were quite tight. Now, July 09 that has been reduced to around E650 per month due to pay cut, loss of extra paid work, two tax levies, work expenses cut, PRSI increase and mortgage TRS reduction.
My ex-wife, though her finances are separate to mine since divorce, has also seen her income drop drastically, placing further unforeseen pressure on me.
Although I have not gone into arrears yet, I expect this will start to happen soon.
At this stage nothing less than a move to an interest free mortgage for four years (when my outgoings should start to drop – see above) will help me. Although my apartment is not the family home as such, I paid more to remain close to my children, who are in walking distance and visit regularly to stay night and for meals etc.
I have heard that MABs will represent borrowers in talks with lending institutions. Is it worth approaching them?