In MARP but my arrears are still rising?

Corkgirl1
I actually don't know where that leaves you in terms of the MARP, this is one of those situations which would not have been considered when the Code was being devised. The fact that you have made an out of course, lump sum payment was something that you voluntarily did yourself. With some mortgage providers I think this lump sum payment can be taken back out again at any stage in the future.
Under your existing contract you are scheduled to make monthly repayments for 20/30 years etc. and the fact that you have not made these payments for a number of months means that you are in arrears as each month you have not made a full monthly repayment. Even though your balance at this stage is less than it was scheduled to be, due to your lump say payment, you are not honouring your scheduled monthly repayments. Because they have not agreed to a moratorium they will treat this as being an arrears case and you may be reported to the ICB as such.
 
Good point. I had a car loan some years ago with AIB that I would make extra payments too evey so often. I was able to move those extra payments as they were outside of the scope that was my contract and place them in my current account if I was ever stuck for money.

Corkgirl, lets say you paid the bank a lump sum of 10k and your arrears are 3k. Maybe you could ask them to deduct the 3k from the 10k and reissue you with the remainder. It is definitely worth a try.
 
Hi CorkGirl

The point you make about the Central Bank's definition of arrears means that you are not in arrears, is absolutely brilliant.

I won't withdraw my letter to the Central Bank, but I did bring your post to their attention as it shows how wrong their definition is.

brendan
 
Thanks Brendan, my sarcasm detector may be set a little high.

I will be writing to them on this point and requesting suspension of all payments until we are back on schedule. I'd say we have 2 chances, but still worth a try.
 
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