House sale,shortfall payment

In my experience there are 2 ways about dealing with this:

1) Refuse to give any information (as is completely your right). Then the bank, in calculating your wife's ability to make repayments on the shortfall, will allow her 50% of their reasonable living expenses i.e. they assume that she is a 50% contributor to the family.

2) If you earn less than your wife then it might be worth telling them this as they will consider this in determining how much they think she can pay towards the shortfall.

If you earn more than your wife option 1 will reduce the size of the payment they request.
 
Just keeping you updated,my wife contacted PTSB and explained she will be unable to pay shortfall as requested. PTSB has now asked to to fill in a financial statement and return.
 
She should do this and it should be relevant to her income and capacity to repay. As per Stephens post above bank will allocate 50% of household expenditure to her.
The moral issue of a debt owed is really only relevant where capacity to pay exists. If there is no capacity to repay and no unencumbered assets which can be sold then the only option available to the institution is to write off the debt.
 
UPDATE,My wife filled in a financial statement for PTSB as requested 3 months ago,showing no extra funds at end of each month.We have heard nothing back since.
My wife might now have the option to take reduntancy from work,if taken would all have to be paid to cover the debt owed.
 
Yes, your wife owes €60,000. If she gets money, she has the moral and legal obligation to pay her loan.

Having said that, she does not have to take the redundancy package.

She should contact ptsb and explain the situation. They might do a deal. For example, they might accept half the lump-sum in exchange for writing off the shortfall.

Brendan
 
Brendan Burgess said:
A perfect time to talk to ptsb.

They might go for some money now.

But get it in writing.

Brendan
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Thanks for reply,
My wifes reduntancy would not be a large amount only Approx 9000,would PTSB do a deal on such a small amount if the full 9000 was offered to them?
We just hate it hanging over our heads causing my wife stress etc,No word from PTSB since SFS was sent 3 months ago.
Would anyone know the timeframe of shortfall dealings etc.
 
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