Mortgage Arrears

2xj3hplqgsbkym

My husband has been unemployed for two years. last week we missed a mortgage repayment. he went into AIB to talk to ask if we could go interest only for 6 months, the lady was very understanding, she rang head office and they said yes we could go interest only for 6 or 12 months. This will make a big difference as we have a Tracker mortgage.

Our 1st year was interset free and this is the 4 th year of our mortgage, so I know I shouldn't be going interest free but it's our onyl option.

Now we have these forms to fill in to officially apply for interest only. They are quite detailed asking how much we spend on food, entertainment etc.. They also ask about other debts etc...

I know that honesty is the best policy but....
If I tell them how broke we are (we probably owe about 4000 euro) and have no savings and our house is in negative equity about 100, 000 euro. Then I am worried we won't get the interest free option.

Or will they come back to me and say that we are not broke enough to qualify for this option?
Any advice is greatly appreciated.

Kennie1

The fact is if your broke your broke full stop,it actually helps your case that you are in negative equity and owe money other than your mortgage, helps your situation. Providing that you are not waisting your money buy still having Gym membership or the top Sky/UPS package etc you should be alright. While they may offer your interest only for a 6 or 12 month period I would still try my hardest to put in a little more than what they are asking as it will look good for you if you need to extend the interest only period.

Oral Surgeon

Sorry to hear op,
you need to be honest and put your cards on the table, if not they will rule that you do not need the break from capital payments.

MOST IMPORTANTLY,
Read any new contract very carefully as the bank will use any excuse to get you off that tracker and on to a variable. They may try to force you and say that you can't have the interest only option unless you are willing to then revert to a fixed or variable in 6-12 months time.... Don't do this, you will lose more money then and be worse off....

Good luck,
OS

Kennie1

Oral Surgeon wrote: »

They may try to force you and say that you can't have the interest only option unless you are willing to then revert to a fixed or variable in 6-12 months time.... Don't do this, you will lose more money then and be worse off....

This is an a illigal practice and if anyone has any evidence of this they should report this to the financial regulator without delay

Rebel1977

you have to be honest in the form and from what I believe they are trying to help people

2xj3hplqgsbkym

Thanks guys,
I have filled in the forms honestly and will hand them in tomorrow so fingers crossed!

flower tattoo

I'm in the same position. Filled in the form in may & got a letter back on Monday just gone stating interest free for a year and the arrears included. I was honest on the form but sure my account is with them, they could see the state of it!

tinofapples

We're in a similar situation. 5 years into mortgage with KBC, wife is just gone on maternity leave (no pay from employer) so I had contacted KBC a couple of weeks ago. They asked us to fill out financial statement (Ins & Outs). Called me last week sayin they would give us 12 months interest only. We received the documents in the post yesterday, and I'm gonna be very careful before we sign and submit for the very reason someone has already mentioned as we too are on a tracker mortgage. Obviously I know we are gonna have to pay I price for this 12 month period at a later date but do they actually add an additional charge for this situation ? A 3% APR figure is mentioned on the document

OP fill out the form honestly but I would be weary of any (if any) luxurys be mentioned cause they may just say you could cut them out of your life.

lillywhite09

hi all, in trouble with bank re-mortgage interest only period is up end of this month, sent in income and expenditure and they said they would be in touch, they keep sending letters every week now saying you must pay full amount from next month, ring them every day they still have not set up an interview, problem is our circumstances have not changed still unemployed, suppose they will go for repossession now ?? anyone have this problem, oh and interest gone up to 4.5%

cookie1977

Have a look here and maintain contact with your bank.
http://keepingyourhome.ie/

If you're co-operating under the code of mortgage arrears they have to help you.

lillywhite09

thanks for the link cookie, very useful, very stressful times we are in, hard to stomach some of the stuff thats happening, debt forgiveness for fat cat developers while ordinary people are left to face losing their homes, i think all the people who are in trouble should get together [ not sure how ? maybe this forum might be a starting point ] and as a group seek a meeting with the relevant minister, i for one would be willing to go this route, if anyone else thinks this is a good idea [ or not as the case may be ] please get in touch and see how we could tackle this dreadful crises, thanks for reading,

PureClaas

How about you all contest the ownership of your mortgage loan in the first place guys. My bet is the bank has so far been paid 3 or 4 times for your Mortgage.

Questions??

Pablo Sanchez

PureClaas wrote: »

How about you all contest the ownership of your mortgage loan in the first place guys. My bet is the bank has so far been paid 3 or 4 times for your Mortgage.

Questions??

Yes, one, what?

chris85

PureClaas wrote: »

How about you all contest the ownership of your mortgage loan in the first place guys. My bet is the bank has so far been paid 3 or 4 times for your Mortgage.

Questions??

You are joking?

The contract entered into is to repay the capital plus accruing interest. A rate that is agreed in contract.

Contest at your peril as you may lose your home if you are not paying and contest with this nonsense.

PureClaas

Ok Chris,

What contract??

Do you mean the mortgage deed that was turned into a prommisory note, shredded, logged onto the MERS system to avoid paying stamp duty securitizing it along with countless others slap a AAA rating on it and sell it on to the highest bidder??

Is this the (contract) your talking about Chris

Its all nonsense i agree.

Time for people to take the red pill i think and stop being debt slaves.

Who owns the loan???????????????

God only knows. Dont believe a word i say. Check it out for yourself.

Wanna know whats an even bigger scam. Research Fractional Reserve Banking and Securitization. WOW Now thats a good one. :eek:

Pablo Sanchez

The bank owns the loan, you borrowed the money and you have to pay it back. What they do on the strength of your loan does not negate the fact that you owe the money.

Toots

PureClaas, please read the forum charter and abide by it when posting. Trolling and dragging up old threads are not permitted.