Dreaded mortgage reduction letter arrived!!!

Hi All

I posted about this topic back in July and as predicted there are many people out there who have to find additional monies out of their pittence of benefits!

For people who may not have seen the info about the SMI - this is what has happened.


This is the info on the DPW

Mortgage interest support
The current system of mortgage interest support means that 92% of customers get more help than they actually need. To ensure that Support for Mortgage Interest (SMI) is better targeted we will reduce the rate from 1 October 2010 from 6.08% to the Bank of England average (currently 3.67%).
Not sure if this average rate has changed as it was due to be updated in August this year.

I think the Government are blinkered if they think that there is not going to be many repossessions because there will be. Wait 6 months for the repossession figures.

I am a bit lucky and my interest rate is due to change at the end of October 2010. My mortgage is not huge but I would have had to find an extra £88.00 for my mortgage. There was no way I could pay it. I am just hoping that the banks interest rates don't go up.

Have a good look at your Mortgage, see if it would be cheaper to move to a better deal and pay the penalties. It's always worth asking.

Get some professional advice.
Good Luck.

Hi all

Just an update really!!! I have spoken to my local housing advice team and after going through my situation with them i was asked how much arrears i was in after telling them that for the last year i have had to find £165 every 4 weeks. They were shocked to find that i duly paid this but very concerned that i have had to cut back big time on heating/food etc. I have explained i cant cut the cloth anymore without it having negative effects on my health. The £310 every 4 weeks i am now having to find is impossible.

I will keep you updated as they are looking into all options now for me, even challenging DWP on the amount i have to pay. I just hope that by posting this it may help someone else cope should they be in my situation. its good to know that there is help out there. The way i feel at the minute is to stop all this heartache just hand the keys to my property back to my mortgage lender. I am praying that someone can help before i snap. At least now i know that the ball is rolling and help is near!!!

Mm

Keep strong Mm you re going in the right direction and you are not on your own
Take care

Carole

Hi Carole

Thank you for your support i really do appreciate it. I am so pleased i joined this site when i did, its so good to be among other members who really understand and are so supportive.

Mm

millymoo wrote:

Hi all

Just an update really!!! I have spoken to my local housing advice team and after going through my situation with them i was asked how much arrears i was in after telling them that for the last year i have had to find £165 every 4 weeks. They were shocked to find that i duly paid this but very concerned that i have had to cut back big time on heating/food etc. I have explained i cant cut the cloth anymore without it having negative effects on my health. The £310 every 4 weeks i am now having to find is impossible.

I will keep you updated as they are looking into all options now for me, even challenging DWP on the amount i have to pay. I just hope that by posting this it may help someone else cope should they be in my situation. its good to know that there is help out there. The way i feel at the minute is to stop all this heartache just hand the keys to my property back to my mortgage lender. I am praying that someone can help before i snap. At least now i know that the ball is rolling and help is near!!!

Mm

.. Thank you Mm for keeping us up to date .. I'm watching your journey with deep interest as I'm soon to be in the same boat...

Hi Tommo

Its not a good position to be in and i feel for you. I will post everything the good and the bad. If this can help just 1 other member it will be worth all the heartache!!

Best wishes
Mm