Tracker mortgage with Ulster Bank €70,000 approx is outstanding balance. House is worth €150,000. Have been in arrangement to clear arrears of €1200 paying an extra €100 a month. Son is in college which is putting a huge strain on finances and we missed October payment but paid it in full with the November payment. Ulster Bank have written to us and told us that we have broken our deal and need to do another Financial Statement which we are in the process of completing. Our arrears are €432 - even though we have spoken with the mortgage centre last week we have had several phone calls and letter which to be honest have frightened the life out of us - saying that we will be deemed as "not co-operating" and threatening legal action and sale of our mortgage. I have written to the bank to outline the full repayment of the €432 in January we are very upset at the tone of the letters coming - could we loose our home over this? Thank you.
Small mortgage arrears - banks threatening letter
- Thread starter htbgwm
- Start date
No because you won't be in arrears after the €432 is cleared. If you don't clear the arrears , but continue paying your mortgage, there's not a hope of the bank litigating, never mind getting an order against you. If it was me, and I was under any sort of pressure with Christmas coming up , I wouldn't be giving them the €432 in January. I'd clear it when it suits me and I'd be telling them that. I wouldn't be wasting my time filling in SFSs either. Relax and enjoy your Christmas.
NoRegretsCoyote
Registered User
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Read the papers. It takes up to a decade of non-payment for a bank to reposess. This is just standard procedural stuff from them.
You are engaging and on track to clear arrears. Not a hope of them taking legal action for years from now.
Block the phone number and write them a polite letter to say you will clear arrears as agreed. Don't send an SFS.
You are engaging and on track to clear arrears. Not a hope of them taking legal action for years from now.
Block the phone number and write them a polite letter to say you will clear arrears as agreed. Don't send an SFS.
Brendan Burgess
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Unfortunately the tone is set by the Central Bank. The bank must warn you that if you do not pay, you are at risk of losing your home. But as the others have pointed out, for such small arrears there is little chance of legal action, much less repossession.
But you must take it seriously. The banks are selling on their mortgages to vulture funds. I think that this is unlikely to happen to you, but you should clear your arrears and keep your mortgage on track. A tracker mortgage is very valuable.
You should also consider your credit record. Missing payments will prevent you getting credit elsewhere.
I think that setting out your case in a letter should be fine, but stick to that.
Do not submit an SFS.
But take every phone call. Take the name of the person to whom you are speaking and note the content of the phone call.
Refusing to take calls is never a good idea.
You may need to restructure this mortgage in the future. They are not going to deal with someone who refused to take their calls.
And in the very unlikely event that they do take court action it will not look good that you refused calls. On the other hand, it will look very good for you if they phoned you repeatedly and you took every call and were polite.
Brendan
Brendan Burgess
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Maybe you can't afford to send your son to college?
I see that you have also had problems with AIB.
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