Mortgage Interest Supplement Refusal?

[BabyPowder]

Hi there,
I wonder is there anyone can help me make sense of this.
Myself and my fiancee are both on JA at 156.40e per week each.
We applied for MIS and have just recieved a refusal letter stating " The loan agreement was entered into at a time that in the opinion of the HSE you were not in a position to meet the repayments thereunder"

I have no idea where they got this from.. Our mortgage is for 235k..1300 per month-200e trs and I think 850 interest..(we are paying 600e a month at minute to keep bank at bay)
When were started out mortgage in 2007 my fiancee was on 32k per year and I was making 23k per year so we could well afford our mortgage and other expenses..
Can anyone tell me if this is wrong?
I also just found out I am pregnant..while happy I don't want to be homeless with a newborn..

 

[STEINER]

It doesnt make sense for the HSE to say when you took out the mortgage you werent in a position to meet the repayments, if you were making repayments ok since 2007 for 2 or 3 years or whatever, until you became unemployed. you should appeal the matter, but it will take about 2 months at least for them to get back to you.