Repossesssion

[dondor]

If a person s property is reposessed and then sold for a sum that is less than the mortgage on it how long can one be pursued for the difference.

[bednobs]

12 years from when a payment was last made

[themas]

But there is a voluntary code of practice set up by the Council of Mortgage Lenders which restricts it to 6 years in some circumstances. Go to their website to find the document.

[ceedee1951]

Having suffered the same ordeal. I can tell you that I was pursued for 17 years (I have not received anymore letters about it for just over a year now). From what I understand, the law in Scotland is different to England and Wales, so therefore it would depend on where you bought your house. In England & Wales, a precedent was set by a couple in the High Court in London about 5 years ago, whereby the judges ruled that if no money had been forthcoming from the borrower(s) then the Building Society/Bank was wasting customers monies in pursuing a debt that would/have no posibility of ever being repaid and therefore quashed the building societies application (basically thre it out). I do not know what the borrower(s0 circumstances were (whether they were employed/unemployed) - which would have a bearing on the situation, as if you were working the bank/building society would apply for an attachment to earnings, whereby they would recover monies that way. People I have spoken to over the years (in this situation), have confirmed this and the building societies/banks apply for a 'hefty chunk', which virtually puts one at 'dole level' monies to live on and pay their rent & etc. Some people have advised me that they promptly 'go unemployed'., as they feel they are working for nothing.!!