Sunday 11 December 2016

Single mother fears she will lose home over 73 cent mortgage arrears

David Kearns

Published 29/04/2015 | 15:38

Housing market revival...File photo dated 22/01/08 of houses as banks and building societies have reported their best month for mortgage lending since 2008, in a further sign that the housing market is recovering. PRESS ASSOCIATION Photo. Issue date: Thursday June 20, 2013. The Council of Mortgage Lenders (CML) said that mortgage lending soared by one fifth (21%) in May compared with April, with an estimated ?14.7 billion worth of mortgages advanced in May. This figure marks the highest monthly estimate for gross mortgage lending that the CML has seen since October 2008. See PA story ECONOMY House. Photo credit should read: Rui Vieira/PA Wire...A
Housing market revival...File photo dated 22/01/08 of houses as banks and building societies have reported their best month for mortgage lending since 2008, in a further sign that the housing market is recovering. PRESS ASSOCIATION Photo. Issue date: Thursday June 20, 2013. The Council of Mortgage Lenders (CML) said that mortgage lending soared by one fifth (21%) in May compared with April, with an estimated ?14.7 billion worth of mortgages advanced in May. This figure marks the highest monthly estimate for gross mortgage lending that the CML has seen since October 2008. See PA story ECONOMY House. Photo credit should read: Rui Vieira/PA Wire...A

A Dublin woman fears she may lose her home after 73 cent put her mortgage into arrears.

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Mother-of-one Katrina said she was shocked when her bank told her she would be receiving a letter declaring her in arrears after she failed to cover her monthly mortgage repayment of €1025.86.

“I was told there was nothing they could do about the 73 cent even though I told them I would pay it the following day,” she said.

“Yesterday the bank rang to tell me that my mortgage payment had not gone though. At lunchtime I went down to put through the €1025.86 in person. Even though I gave them every bit of money I had, I was 73 cent short.”

“I told them I would be back today to pay the remainder but they didn’t care. I was simply told that a letter would be sent out to inform me that I was now in arrears. I was even told that the 73 cent payment would be considered late as it wouldn’t go through until May 1”.

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Speaking to RTE's Liveline, Katrina admitted to having been in arrears before with her mortgage repayments but said that she had made every effort to pay back what had been owed.

“A few years ago, I got into finance difficulty. The bank recapitalised my mortgage. It went from €805 to just over a €1000… I’m going to be paying an extra €200 for the next 32 years.”

“But now after I have just sorted my mortgage out, I’m back in the situation of getting threatening letters.”

“Yes I had problems in the past and I got into arrears but I’ve done everything since to make these payments. The bank just wants blood out of a stone - you try and make a gesture and they don’t care. They just want their money.”

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Katrina told the RTE radio show that she currently has a mortgage of €230,000 despite the value of her home having fallen to just under €135,000.

Having made payments for more than seven years, Katrina said she had only cleared €3,000 off what she owed due to missing nearly a dozen repayments over the last two to three years.

Asked how much she had paid in total to her bank, she said the figure would be “around €50,000.”

“I’m here making the effort – I’m making the payments. It is not like I’m a few hundred or a thousand under. I’m short by 73 cent,” she said.

“You’re in a state of fear trying to make that payment of €1025 each month, and yet the bank refuses to be helpful in anyway.”

Adding: “I’ve cut back in every way. I don’t go out. I’m a single parent working full time just to pay a mortgage. I’m not working to live or have a nice lifestyle.”

“It’s a disgrace because tracker mortgages are now down to zero point something, while my interest is 4.35pc. I asked my bank about this and was told nothing could be done because the bank had to make its money back.”

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Katrina said her fear now was that the bank would seek to take her home and sell it, possibly as social housing, now that she was in arrears again with a recapitalised mortgage.

“Do I go live in my car or on the streets if the bank takes my home? Where do you go with a child? I wouldn’t be put into a hotel, I wouldn’t be put into social housing… [because] I earn too much even though I’m a single parent.”

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