My husband and I took out an endowment mortgage approx. 8 years ago, two years later it was repossessed, then sold, I think for £8000 less than we bought it for. Since then we had somebody come and see us on the Bank of Scotlands behalf but from a different company and he assessed our situation then agreed we could not pay anything until I went back to work,(I was and still am an at home mother)that was nearly 5 years ago and we have not heard of anything since. Who would I contact to find out about our situation now? and Are you permitted to get another mortgage?

-- Efa (GORDON3500@aol.com), August 16, 2004

Answers

Efa

You could try first of all to get a copy of your credit file from Equifax etc....that might show up something. It might make a difference if Scots Law applies as the Scottish Limitation act states that a creditor must take legal action within 5 years etc or else the matter is time barred.

Personally I would sit tight until the 5 years has passed, before applying for another mortgage.

and yes you could get another mortgage but it would be better to have a letter from the original lender showing that the matter is settled and that might be very difficult/impossible when any shortfall has not been addressed.

It might also be that you WILL hear something before the 5 years is up and if your situation is that you are in rented accommodation with little/no assets, you will still be seen as not worth pursuing. But something you might want to consider if they do make contact is to offer a small settlement of a couple of hundred pounds as a gesture of goodwill provinding they provide you with a letter confirming this is accepted as full and final settlement and that any adverse credit rating etc will then be resolved. If you achieve this you can then go to a mainstream lender, tell the truth and get a mortgage like any other person at the usual rates.

Hope this helps

Moira

-- Moira (Anderston828@aol.com), August 17, 2004.

If the limitation period is nearly up then it would be wiser to wait until after the period has expired before contacting Experian to check your credit file as well, otherwise you risk stirring up the hornets nest. Be careful not to acknowledge the debt in writing or by making a part payment, I would advise you to read previous postings. If you acknowledge the debt this will restart the limitation period. Your posting isn't very clear & a lot would depend on whether Scottish or English law applies, and whether a Money Judgment Order was made, again see previous postings. If you are looking to obtain another mortgage then as Moira says you would be better to try and reach a nominal settlement with the lender, Good luck.

Mark.

-- M Amos (idgroms@hotmail.com), August 17, 2004.