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rafa1985
Starting Member
United Kingdom
11 Posts |
 Posted - 02 December 2009 : 08:05:28
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I was made bankrupt 7th May 09 and wife and i surrendered our house keys back to Northern Rock on 12th May as we had not and could not aford the mortgage for some time. However Northern Rock has refused to accept our voluntary surrender as it wasnt on there official form. Also the O-R was not interested as there was not enough equity. We decided to move in with my parents who offered to give us support, and moved the 300+ miles. My wife has just got a low paid full time job, but i am still unemployed.
My question is: Our old house has now been empty for 6 months, can we make Northern Rock repo our house as we need to claim Housing Benefit as we have moved into a rented flat but cannot claim as we are regarded as having a property! |
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WT71
Starting Member
22 Posts |
Posted - 02 December 2009 : 09:57:19
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Hi Rafa, I am in the same position. I was declaed Bankrupt in July this year and havent paid the mortgage (with Northern Rock) since April. I told NR on the phone that I wanted to surrender the property as I moved out in July but they failed to accept the fact.
I have this week finally received a Claim Form for possesion of the property from the courts. So they are finally doing something about it.
From what I have exsperienced, NR will eventually repo your house but they are extremely slow. My OR said the same. They are totally ignoring my OR was well!!
I am still trying to ascertain whether I need to complete the forms and return them to the court. I have had a response on this Forum saying dont complete them but send a letter to the courts saying that the repossesion is not contested.
WT |
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rafa1985
Starting Member
United Kingdom
11 Posts |
Posted - 02 December 2009 : 10:29:43
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Hi WT, it has been to court (end of Oct)and i didnt return the forms but done as you said and sent a letter not contesting repo. However NR have been in touch again trying to get me to Vol Surrender on their forms and saying they have upto a year to enforce the repo order! I have informed them that i do not want to surrender and i want them to repo asap, but nothing seems to happen!
In the mean time the local council are charging me 50% council tax due to property being empty and we are unable to claim Housing Benefit in our new flat.
I just want NR to repo so i can get on with life as a BR, so i know how you feel too.
Good luck
rafa |
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Richard P
Senior Member
United Kingdom
1701 Posts |
Posted - 02 December 2009 : 10:55:56
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rafa
give your letters straight to the OR
it seems mad that NR are increasing your debt to the council and making your situation worse not better, surely technically as your
debt to the council is after BR it comes back to you to pay, so the OR should be working with you to make certain that the debts do not increase
hopefully you have a nice OR who will shout at NR and tell them to get a life !
regards Richard |
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chester2005
Average Member
United Kingdom
786 Posts |
Posted - 02 December 2009 : 12:49:51
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the debt regarding the council tax should be included in BR as it is after the start of the council tax year when you went BR, officially the whole years tax is due then but they give you the opportunity to pay in instalments.
NR probably want you to sign their forms that will no doubt state that you accept liability for any shortfall after sale
DO NOT SIGN them!!!
inform the council that you no longer live there and the date you moved out and the person responsible for the property is now NR
tell the OR whats happening and he may contact NR
NR are a pain in the a**e
tell them you are surrending the house here are the keys and leave it at that
Dave
Don't worry or know that worrying is as effective as trying to solve an algebra equation by chewing bubble gum.(Baz Lurman)
RevivaUK helped me through it all i can't recommend them enough!! |
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Jane.l
Average Member
511 Posts |
Posted - 02 December 2009 : 12:56:15
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I had this same problem, the delightful NR took 13 months to repossess my house and I also had the problem with the council tax.
You need to inform the council and send them a copy of your bankruptcy order, the property needs to then be awarded Class Q exemption, this is where a property has been left by a bankrupt.
I sorted this out with my council and I got a refund of the tax I had paid. (they told me I was liable, in fact so did my OR  so I researched it myself  |
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rafa1985
Starting Member
United Kingdom
11 Posts |
Posted - 02 December 2009 : 16:58:49
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Hi Guys, thanks for the reply's. I dont think 2009 is my year!!!
My OR has been next to useless and thats giving him praise! I have tried getting him to look further at the council tax but as far as he is concerned as my wife didnt go BR she is still liable so she would have to pay anyway.
W Lancs council have already taken us to court for non payment of C-Tax, but being over 300 miles away we didnt attend and sent a letter incl a copy of my BR. The court decided that the property is a 'class c - exemption' and there is also a 50% discount for it being empty therefore the total outstanding for this year is £503.13
How we are supposed to pay this as well as now being faced with not being able to claim Housing Benefit and C-Tax for our new rented property where we now live, i have no idea???
We are now facing a position where my wife can nearly pay all the bills with her wages and wtc but we wont eat!!
We have been to cab and no help there either! The only way i can see we can move things forward is to get NR to supply the eviction notice that we need to give W Lancs so they can stop pursuing us for there c-tax and to Rother council so we can prove we dont have another property and be able to claim housing and c-tax assistance.
If we cant do this then i think we will end up as Tramps.
Sorry- i seem to have ranted on a bit there  |
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Housing
Senior Member
United Kingdom
1399 Posts |
Posted - 02 December 2009 : 18:07:52
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Hi Rafa
Sorry to learn of your frustrations.
I see you have approached the local CAB and that has not worked.
I am sure if you go back to them, they will summarise your options and may be in a position to do some of the donkey work on your behalf...
Give them another try, Regards, Richard
"There are no problems - only solutions..." |
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rafa1985
Starting Member
United Kingdom
11 Posts |
Posted - 02 December 2009 : 19:02:16
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Thanks Richard, i think i will create a written summary and present that to the cab and hope that helps.
Many thanks
John |
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Housing
Senior Member
United Kingdom
1399 Posts |
Posted - 02 December 2009 : 19:09:30
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Good luck John.
I am doing some voluntary work at a local CAB - I am going through their training programme.
Nationally, the CAB does an enormous amount of good work and I feel sure if you went back to talk, they would do their best to assist you.
I am hoping things work for you, Richard
"There are no problems - only solutions..." |
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barrel
Starting Member
7 Posts |
Posted - 04 December 2009 : 00:38:43
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| I thought once you left the property then the council tax is not your problem. When I left mine the council just wanted a rental agreement from where you are renting. Hope this helps |
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Jane.l
Average Member
511 Posts |
Posted - 04 December 2009 : 08:28:55
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| yes, but as you still legally own the house, you are responsible for the council tax, even if only half as it is empty |
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joella68
Junior Member
United Kingdom
280 Posts |
Posted - 05 December 2009 : 08:23:50
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right i have just had exactly the same situation happen bear with me cos its a little complicated and i will explain mine........... i left my mortgaged property on dec 8th 2008 it was a northern rock together mortgage, i informed them straight away and they wanted my to do voluntry repo.......which i refused !!! ( dont do it ) !!! so i had to wait for them to take action, in the meantime i got a class c exemption from council tax, for 6 months BUT NO-ONE TOLD ME THAT THE SALE OF THE HOUSE COULD DRAG ON FOR MONTHS, SO COUNCIL TAX WAS NEVER INCLUDED IN MY SOA, AS I DIDNT EVER REALISE THERE MAY BE AN OUTSTANDING DEBT !!! eventually NR took my to court on 18th june 2009 for repossession, which of course was awarded, the order stated that NR should take the house on or before the 16th july 2009, however NR did not take the house until 21st sept 2009, in the meantime i recieved a letter from council tax saying i owed just under £400 !!! as you can imagine i was deverstated, so i questioned why and was told that my council tax exemption ran out on the 8th june 2009 ( 6 months later ) i was then told that i should not worry as i was a BR that any debt would be covered in my SOAas i said i knew it would not as i didnt know i should of been included !!! anyway i was a bit crafty and thought let them go that route if nothing else it would buy me some time to try and get the money together, within 3 weeks they had written back saying i WAS liable, well no surprise there ! so i argued with council tax that this was cmpletely unfair on my part, i had been living at a property with a much higher council tax band since dec 2008 and had paid religiously, it was not my fault that NR had dragged their feet over the repossession, that it had gone to court on the 18th of june and they chose to wait til sept to take it back !!!
the end result was council tax agreed NR had been wrong as there was a court order in place, for them to take it back on or before the 16th july therefore they would write off the debt for me , result !!!
they also told me that this is becoming more and more common as once they take repossession, they themselves become liable for the council tax, and also they wait for the property market to pick up so they get a better sale price !!!
so my situation ended up in my favour, but not without a big fight !!!
i hope this helps anyone else in the same situation
moving forward to new beginnings
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rafa1985
Starting Member
United Kingdom
11 Posts |
Posted - 05 December 2009 : 17:44:50
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Thanks Jo
Glad your through it and out the other side. My turn soon i hope  |
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Topic |
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I was made bankrupt 7th May 09
