Arrears added while in negotiation for new agreement

dodo

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I have a rental property that I have been paying interest only upto 2010 and from then on we agreed an amount that we agreed after negotiations for period of 2/3 years at a time,from 2015 April to 2018 April eg 900E was agreed.

We started to negotiate around Feb 2018 and I wanted a new agreement that would be final monthly amount and we agreed to extend the mortgage years , around 8 months later 1200E a month until end of mortgage was agreed.

During this negotiation I continued to repay the previous agreed 900E. During this negotiation I started to get letters stating I owed arrears so I got onto them stating I am still paying the E900 and why am I getting these letters. They said system automatically sends them out as full Interest & Capital not been paid and I said that is why we in talks about once and final agreement.

But after new agreement in place I continued to get these letters which did not state when arrears must be paid and no interest penalty was added.
Bank has now given the loan to Pepper Finance who said they need the arrears and I said none are due as I was in talks with the Bank for a permanent agreement and they said that the Bank gave them the loan and the loan has arrears.

I have been advised to ask the Bank for Subject Access Request by the new owner of the loan. Arrears over 10K
I think it can take upto 40 days to get this information. Can someone advise if they have ever heard of this and what would you advise. Tks
 
1) You had an agreement to pay €900 from 2015 to April 2018. You paid this during that period, so no arrears occurred.
2) As soon as that agreement expired, they correctly put you on full capital and interest. You continued paying €900 , so the difference was arrears.
3) In April 2019 (?) you reached a new agreement. If that new agreement did not capitalise the arrears, they are still outstanding.

But after new agreement in place I continued to get these letters which did not state when arrears must be paid and no interest penalty was added.

I presume your agreement did not capitalise the arrears? If not, this is correct.

In general, Irish lenders do not charge an additional interest or penalty on arrears.


I have been advised to ask the Bank for Subject Access Request by the new owner of the loan.

Are you saying that Pepper has asked you to get your file from the previous lender?

If they have advised you do this, then you should do so.

Brendan
 
I need to listen back to the calls when I get them from the bank what was said.
1) You had an agreement to pay €900 from 2015 to April 2018. You paid this during that period, so no arrears occurred.
2) As soon as that agreement expired, they correctly put you on full capital and interest. You continued paying €900 , so the difference was arrears.
3) In April 2019 (?) you reached a new agreement. If that new agreement did not capitalise the arrears, they are still outstanding.



I presume your agreement did not capitalise the arrears? If not, this is correct. I was looking for all to be included so now must wait for the recordings as they knew what I was requesting and now hopefully this is on recordings.

In general, Irish lenders do not charge an additional interest or penalty on arrears.




Are you saying that Pepper has asked you to get your file from the previous lender? Yes they did and they also know there was no mention of when arrears would have to be paid if there was letgitamit arrears and they thought that was odd.

If they have advised you do this, then you should do so.

Brendan
 
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