I voluntarily handed over the keys to my property and it was repossessed in May 2000 and sold in September 2000. For many years prior to this I had been living in my husband's house. Nationwide do not know I am married and I have no idea how they found me at my current address, but they have. I today received a letter stating 'Please note this is not a demand for payment' and a Completion Statement indicating their losses are £12,000.

The letter asks that I contact them. I am now unsure what to do. Should I ignore the letter and see what they do next, or should I serve a SARN on them? I am unemployed and not in a position to pay them anything.

I am concerned about replying to them as it would confirm that I am at this adddress.

My husband and I are also looking to move shortly. Does the fact that they have written to me at my current address mean that my former repossession is now associated with this property? If so, will this make getting another mortgage with my husband more difficult?

I'd be really grateful of any advice.

Thanks.

-- Sarah Starbuck (sarah.starbyland@btinternet.com), January 23, 2002

Answers

I agree with David on this one. Paul's answer is, perhaps, how it ought to be, but not the way it actually is.

Lee

-- Lee (repossession@home-repo.org), January 23, 2002.

Can anyone tell me what a SARN is?

-- Scott Wyndham (scott_wyndham@yahoo.com), January 23, 2002.

Dear Sarah,

I am going to give you some information that I received from the local branch manager of the Nationwide Building Society.

1) If you default on the mortgage, and move to another property, they cannot come after you for a debt on a previous property that they have already sold. The bank has written it off, and been paid any losses through an insurance company policy. If you get another mortgage, the best way is to try to get one in your husband's name to avoid any problems. Technically, they have no claim on you whatsoever.

2) If you're going to move, then move. the fact that they have written to you at your current address is irrevelent. They cannot claim anything against another property. Each house is a seperate issue.

3) Go to a local legal aid solicitor for free advice, or have the solicitor write a letter to Nationwide telling them to get lost.

Hope this information helps you out.

Sincerely,

Paul Arkhamson

-- Paul Arkhamson (paul_arkhamson@yahoo.com), January 23, 2002.

That is a terrible answer - if you leave a property because it is repossessed and move to another property which you own, either on your own or in conjunction with somebody else - any equity you have in that subsequent property can be siezed in bankruptcy or through a charging order as a result of a judgment.

The former mortgagees are clearly onto the case - they are after a shortfall and they will continue to try and find you until 6 years is up.

You have two choices basically - ignore the letter and hope you can continue to avoid county court proceedings for six years and then you are safe, or face it and respond to the letter with your circumstances, but note that the six years starts again if you acknowledge the debt.

-- David J. Button (davidjohnbutton@supanet.com), January 23, 2002.

Thanks everyone for replying so quickly.

I should clarify, the house I am in now is entirely in my husband's name. If we were to move we would be putting it in both our names as I am shortly to begin a new job and want my wages to be taken into account. Am I to take it that this is a really bad idea?

-- Sarah Starbuck (sarah.starbyland@btinternet.com), January 23, 2002.

Dear Sarah,

In response to David J Button's message about my "terrible answer", I would like to make it clear that he is talking nonsense. Though he in fact has a point about what he is saying, this only applies IF YOU ARE DECLARED BANKRUPT. The six year period applies to bankrupty cases, who then can start a new life the day after the six years ends.

As I stated in my first message, my information comes from a Nationwide Bank Manager. Is Mr Button saying that a Nationwide Bank Manager is talking nonsense?

Yours sincerely,

Paul Arkhamson

-- Paul Arkhamson (paul_arkhamson@yahoo.com), January 30, 2002.