Case study Help and advice please on keeping family home

Quofan

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Please copy and paste this post into a new thread. If you give comprehensive information, it will maximise your chances of getting comprehensive and useful results.


Income details
Net monthly 2500 paye employee
Income history; in same job since 2008 but increased family now four kids
Net monthly income partner/spouse: nature of income
Income history:
Amount of child benefit received 530
Amount of Mortgage Interest Supplement received (MIS is the social welfare payment to unemployed people, don't confuse with TRS)

Personal circumstances so we can calculate your reasonable living expenses
The Insolvency Service has published Guidelines for Reasonable Living Expenses based on the family size, whether or not you need a car for work, childcare costs and other exceptional circumstances. By filling in this information, we (or you ) can calculate what your reasonable monthly living expenses should be.
One adult family or two adult family two adult family
Do you need a car for work or do you use public transport? company car
Number of children 0- 2 years old:
Number of 3 years old children: 1
Number of 4 - 11 years old: 1
Number of 12 - 18 years old: 2
Monthly childcare costs:
Montly spend on special circumstances: e.g. exceptional healthcare costs



Home loan
Lender: pepper bank
Amount outstanding: 337,000
Value of home: approx 200,000
Interest rate: specify whether tracker or SVR or fixed rate 5.25 svr
Monthly repayment should be 1565 but I was paying between 800 and 1000
Amount in arrears 40,000

Summary of discussions and agreements with the banke.g. in Marp since Jan 2011 . Have been is constant arrears but made regular payments. paid 800 for 12 months approx and from Nov to May paid 1000 and less for the last three months

Investment property - Now with receiver.
Lender:
Amount outstanding:
Value of home:
Interest rate:
Monthly repayment
Amount in arrears
Monthly rent received

Credit Union
Amount of shares 0000
Amount of loan outstanding 13500
Monthly repayment
Term left


Other loans and creditors - delete those which don't apply to you
none all dealt with and clear

Other savings and investments

Do you expect any lump sums in the medium term future?
Redundancy, inheritances, injuries awards.


How important is retaining the family home to you? Essential
Which of the following best describes your situation?

I really want to keep my family home and have tried to personally negotiate with the bank but they are now putting me under intense pressure to sell it or give it to them. they have had my home valued and it looks like they are no longer interested in coming to a long term solution for me and my family. it looks like they have every intention to pursue me and my family for our home...


Any other relevant information

What is your preferred realistic outcome?
For example: Iwant to stay in my family home but the bank seem to be taking a new hard ball approach with me.

All advise to keep me and my family in the house we love would be greatly appreciated
 
Hmmm. lack of anyone giving advise makes me think I am ruined. thought someone on here could help after visiting site a few times. Over two hundred views on my question but no help....
 
Your total income is around €3000 per month.

If you were paying your full mortgage payments it would take around half of your monthly income, leaving you with €1,500 to support 6 people and repay the credit union loan.

I just don't see how that's do-able.

If you sell will the bank write off the debt?
 
Hmmm. lack of anyone giving advise makes me think I am ruined. thought someone on here could help after visiting site a few times. Over two hundred views on my question but no help....

There is a lot of unnecessary material in the first post which makes it hard to read which puts folk off.

I have read it and wonder what this means:

Investment property - Now with receiver.

Is the company car 100% free or are you paying BIK and if so is that gone out of the 2500?
 
Agreed that post is difficult to follow & some details such as credit union amounts unclear. However based on information given & in an effort to maximise income I suggest you look into claiming Family Income Supplement, a quick calculation based on 2500 net per month & 4 children would give an entitlement of approx 135 Eur per week. That would make a big difference to you monthly. Also do you have a medical card if no apply for one, if yes make sure you only paying USC at max rate of 4%. Apply for back to school allowance too.

Have you been offered a long term solution? You are in what appears to be stable employment & have been making regular payments towards mortgage you may be candidate for a long term solution such as a split mortgage, write off or mortgage to rent option. I suggest you have a look at the Insolvency Services website www.isi.gov.ie and consider contacting a Personal Insolvency Practitioner to discuss your options. Are Pepper covered by MARP?
 
What age bracket are you in? Can you extend the term of the mortgage to lower repayments?

Could your partner look for part-time work to boost your income? When will your youngest start school? Could your partner do some childminding at home for an added income?

Paying out 50% of your income in mortgage payments is difficult to maintain in the long term. What has the bank said will happen to the residual debt if the house is sold? That is crucial to helping you decide what to do.
 
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