Brendan Burgess
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A few people felt that I had understated the risks of not paying your mortgage in this thread:
What happens if I stop paying my mortgage? I subsequently edited the post to make it clear that I was not advocating a policy of not paying your mortgage and indeed, you do risk losing your home.
To emphasise this further, I want to report on a case in the Dublin Registrar's Court yesterday. The Tipperary Registrar, James Seymour, was presiding instead of the usual Registrar, Rita Considine.
KBC vs. Mark and Mary
Mary was in court and was represented by MABS and the Abhaile Duty Solicitor.
Payment history
They first missed payments in 2009
In 2012, they paid €1,500
In 2013, they paid nothing.
In March 2014, Mary paid €300
In February 2018, she paid €35.
In March 2018, she paid €35.
The arrears are €92k which equals 7 1/2 years of repayments. KBC's counsel pointed out that at this level of payment, it would take two centuries to clear the arrears.
The mortgage is €289k. ( Similar houses are selling for about €160k on this road.)
Court hearings history
KBC began proceedings in 2014. These proceedings were struck out due to the Rateable Valuation issue.
KBC reissued proceedings in 2016.
At the last hearing which was in December 2017 or January 2018, she was directed by the Registrar to submit an SFS within 7 days. She submitted the SFS on 8th March.
At the last hearing, she undertook to resume payments, but did not do so until the €35 was paid in February.
The Abhaile solicitor argued her case for her:
She has in fact been paying €35 per week since February. ( This might be the same as €35 per month, if she had paid €35 in the last week of February and €35 again in the first week of March.)
She did submit an SFS.
She did engage with the lender.
She got a letter from KBC in the past week suggesting that she should apply for Mortgage to Rent.
She had difficulty applying for MTR up to now, as Mark, presumably her ex, had refused to sign the application form. He has now agreed to do so.
She wants social housing.
Counsel for KBC pointed out that MTR does have a requirement that people have payment capacity and her payment record might make it difficult for her to qualify for MTR.
Although MABS were present with Mary in court, they had written to KBC saying that they were no longer representing her as she had not turned up at a meeting.
The Registrar said that he understood her position and that she had done nothing wrong. His exact words "Granting an order will help you get social housing. Mark has let you down. He needs to be here. To be a man. An adjournment would not help you."
So he granted an order for possession and put a 12 month stay on it.
KBC applied for their costs but the Registrar refused them.
Brendan
What happens if I stop paying my mortgage? I subsequently edited the post to make it clear that I was not advocating a policy of not paying your mortgage and indeed, you do risk losing your home.
To emphasise this further, I want to report on a case in the Dublin Registrar's Court yesterday. The Tipperary Registrar, James Seymour, was presiding instead of the usual Registrar, Rita Considine.
KBC vs. Mark and Mary
Mary was in court and was represented by MABS and the Abhaile Duty Solicitor.
Payment history
They first missed payments in 2009
In 2012, they paid €1,500
In 2013, they paid nothing.
In March 2014, Mary paid €300
In February 2018, she paid €35.
In March 2018, she paid €35.
The arrears are €92k which equals 7 1/2 years of repayments. KBC's counsel pointed out that at this level of payment, it would take two centuries to clear the arrears.
The mortgage is €289k. ( Similar houses are selling for about €160k on this road.)
Court hearings history
KBC began proceedings in 2014. These proceedings were struck out due to the Rateable Valuation issue.
KBC reissued proceedings in 2016.
At the last hearing which was in December 2017 or January 2018, she was directed by the Registrar to submit an SFS within 7 days. She submitted the SFS on 8th March.
At the last hearing, she undertook to resume payments, but did not do so until the €35 was paid in February.
The Abhaile solicitor argued her case for her:
She has in fact been paying €35 per week since February. ( This might be the same as €35 per month, if she had paid €35 in the last week of February and €35 again in the first week of March.)
She did submit an SFS.
She did engage with the lender.
She got a letter from KBC in the past week suggesting that she should apply for Mortgage to Rent.
She had difficulty applying for MTR up to now, as Mark, presumably her ex, had refused to sign the application form. He has now agreed to do so.
She wants social housing.
Counsel for KBC pointed out that MTR does have a requirement that people have payment capacity and her payment record might make it difficult for her to qualify for MTR.
Although MABS were present with Mary in court, they had written to KBC saying that they were no longer representing her as she had not turned up at a meeting.
The Registrar said that he understood her position and that she had done nothing wrong. His exact words "Granting an order will help you get social housing. Mark has let you down. He needs to be here. To be a man. An adjournment would not help you."
So he granted an order for possession and put a 12 month stay on it.
KBC applied for their costs but the Registrar refused them.
Brendan
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