Reposession Order

My son lost his job a few months ago and like most people could not find work here but he's been lucky enough to secure work with a company based in London.

Unfortunately the position doesn't start until June 2010 so he's tried to come to some sort of agreement with his creditors who all agreed to a moratorium on loan payments until June ; once he transfers money into his Irish account from the end of June onwards.

Most of the institutions have went out of their way to be helpful all except his mortgage company who said it will take until April 2010 to have a decision on the moratorium. He has never once missed a mortgage payment.

He also told them that he cannot pay his next mortgage payment and that is why he asked for the payment break.

They told him that if he does not make mortgage payment they will seek a repossession order.
So my question is how long does it take for the repossession order to be put in place.

Ireland.1 said:

They told him that if he does not make mortgage payment they will seek a repossession order.
So my question is how long does it take for the repossession order to be put in place.

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There is a Code of Practice on Mortgage Arrears - all details here: [broken link removed]

In summary though, the lender can't start reposession for six months after he first goes into arrears & if it's AIB or BoI that increases to 12 months (cause they got our money!!)

Thank you for the link. I'll forward it on to him.

I'd rather not mention the bank he has the mortgage with but they are non-Irish and very much unapproachable.

Five months is a hell of a long time to decide on a payment break.

If your son is claiming Jobseekers Benefit or Allowance, he might be eligible for Mortgage Interest Supplement.

More information on the supplement is available here -
Mortgage Interest Supplement

Ireland.1 said:

Thank you for the link. I'll forward it on to him.

I'd rather not mention the bank he has the mortgage with but they are non-Irish and very much unapproachable.

Five months is a hell of a long time to decide on a payment break.

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They may try to wriggle out of it on the basis that they are not an irish bank.

Page 1 of that doc is very important:

This Code applies to:
the mortgage lending activities of all regulated entities operating in the State,
including:

the lending activities of all regulated entities operating in the State for which they
require to be authorised by, or registered with, the Financial Regulator; and

the lending activities of persons with an equivalent authorisation or registration in
another EU or EEA Member State when providing services in this State on a branch
or cross-border basis; and

the lending activities that are subject to the regulation of the Financial Regulator
under the Central Bank Act 1997 or the Consumer Credit Act 1995, for which a
separate authorisation is not required.

I've been to the repossession court a few times for my job, as I'm a journalist. In general, it looks really, really difficult for a lender to get a repo order, and most of the cases where I've seen it happen, the borrowers haven't paid anything at all off their mortgage for a couple of years. And even then they'll get an adjournment or a stay more often than not.

So to me it looks virtually impossible to be repossessed involuntarily in the type of timeframe you mention, particularly if you can contribute something on a regular basis. It probably doesn't need to be a vast sum, just something to show the lender you haven't forgotten your responsibilities.

Off topic slightly, but I'm doing a story on people who are in fairly serious arrears, but it'll go nowhere if I can't find people willing to talk. So if anyone here knows someone with this problem and they'd like to share what they're going through, I'd be grateful if you'd drop me a line on this thread. (Full anonymity if necessary.) At that point I'll post my phone number so we can chat (hopefully that doesn't violate any posting policy here). Many thanks.

Son rang bank this afternoon and explained to them again the situation he was in. He has no way of paying mortgage and implored with them to place a payment break on loan; all to no avail. He even went as far as sending them a copy of his contract for work commencing in 2010 along with a mammoth amount of financial documents. The guy on the phone said there was a massive amount of people applying for the same facility and that he was basically at the back of the queue.

Ochon, I do hope people contact you because it seems that a certain credit card company somewhat backed off calling customers numerous times a day when the media started reporting on same. Hopefully when the press start reporting on the problem my son and umpteen other ‘genuine’ cases are having then they might sit up and listen too.

I’d also like to say that from talking to other people and hearing what they have to say - not all banks are behaving in this manner and have very much obliged their customers who are having difficulties.

Again thanks to all for taking the time to post. All information is greatly appreciated.

hi ireland.1

sounds like his bank is playing hardball, but from my experience, the main thing is to be chill if and when legal action starts. it's hot air on their part, and they know full well it would take eons before they would get a repo order out of a judge. and to repeat, if he can contribute anything at all to the mortgage, even if it's just token, in addition to proof that a new job is imminent, hell will freeze over before a judge grants an order against him.

honestly, given his situation, i don't think you need to worry too much. and if it's just the intimidation factor of potentially having to go to court, the usual judge who deals with repo is sympathetic.

opportunism unfortunately goes with my job, and i'm not entirely comfortable with it, but i wonder if your son would be interested in a chat with me? he's not in a position of serious arrears, but he is in the ballpark of the type of article i'm writing. as i said, there would be complete anonymity if that's what he needs, or alternatively, as you mentioned in your post, it might be good if the spotlight is put on his lender.

if he's interested let me know and i'll post my number. if not, i hope it works out for him. (i'm sure it will, honestly. some lenders rely on intimidation when in reality they have much less leverage than they try and make you believe).

Ireland.1 said:

Son rang bank this afternoon and explained to them again the situation he was in. He has no way of paying mortgage and implored with them to place a payment break on loan; .

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If he is out of work and unable to pay his mortgage why is he not eligible for mortgage supplement from social welfare? Does he live in the house? Would he be better off selling it? Going in arrears is not a very good idea.

Dear Ireland 1

Your son must be in receipt of some funds, ie job seekers ? If so this is what i would advise.

1. There is no point in calling mortgage companies, all correspondance has to be in writing, register it, follow it with a fax or e mail.

2.In this letter, fully explain the circumstances of the changes and make a payment proposal, ie €100 per week or €250 a month etc. STICK TO THE AGREEMENT YOU OFFER.

3. Then when you son, takes up his new position contact the mortgage company again.

4. Apply for Mortgage interest Releif Supplement.

ITS ALL ABOUT COMMUNICATING, BUT WISELY, In WRITING...Take back the power.