----< Abbey National victims get together >-------
Abbey National mortgage victims are planning a pressure group to highlight the risks of taking out a mortgage with Britain's second biggest lender.

They want to swap notes and offer support to other victims of the company whose customer treatment has persuaded the popular press to rename it "Grabby National".

The group was formed by several repossessees who realised they all had similar experiences of being Grabby National customers. They plan to meet in September to swap notes on dealing with Grabby National and its lawyer Eversheds.

Dates and details of the first meeting have yet to be finalised but it will be open to all other Grabby National victims. Anyone interested in going should contact the Home Repossession Page to be put in touch with the organisers.

The group are already using the Internet to swap notes and updates on the latest Eversheds letters so it may be useful to make your interest known to the Home Repossession Page now. Send email to repossession at bigfoot dot com.

----< Bad-credit borrowers win right to fight on >----
Borrowers whose mortgages are/were with "adverse credit" lenders can sue over unfair terms and conditions in their mortgage contract for up to 12 years, the Appeal Court has ruled.

"Roughly translated, it means that sub-prime lenders have to date been able to get away with extortionate fees on the basis that more than six years had elapsed before the borrower discovered that he had been ripped off," explained national Association of Mortgage Victims founder Carol Riley. "This case means that such defences are a non starter."

The Appeal Court ruling in Raham v Sterling Credit Ltd on 20th July set a precedent that lower courts will have to follow in similar cases.

We've yet to find out if the ruling has also extended to lenders a similar right to chase customers for mortgage shortfalls more than six years. We'll keep you up to date with what we know. Remember, we believe repossessees should be able to beat off most shortfall claims by counterclaiming that the lender refuses to prove the claim and, in many cases, mis-sold a Mortgage Indemnity Guarantee. Speaking of which…

----< Was your MIG really explained to you? >----
Lenders chasing repossession shortfalls always claim they explained exactly what you'd get from the Mortgage Indemnity Guarantee you paid for each month.

Repossessees, of course, say they didn't. They remember lenders' staff claiming the MIG would "cover any shortfall if the property should be repossessed".

We've published a lender's lender that supports repossessees' view. National & Provincial - now part of Abbey National - wrote it when the borrower queried their MIG payments.

We think it is pretty representative of the MIG sales spiel that lenders trotted out to customers in the late 1980s-early 1990s. Today, many of those customers are repossessees.

Needless to say, Abbey National is chasing this borrower for the money paid out by this MIG plus the rest of this repossession's shortfall.

The letter is in the Repossession section of the Home Repossession Page web site at: http://www.home-repo.org/

----< NAMV seeks more CMC customers, cuts loan costs >-------------
Carol Riley - founder of National Association of Mortgage Victims - wants to hear from borrowers who took out a regulated or unregulated loan from City Mortgage Corporation after January 1st 1996 (not January 31st as previously asked).

She says the court ruling in Rozak v Capital Credit ordered that the broker refund to the borrower all the fees which he took from the borrower plus the fees the lender paid to the broker.

All City Mortgage Corporation loans were processed by master brokers under Right Of First Refusal Agreements (ROFRAs) - some in exchange for secret commissions. When Capital Credit tried to appeal, the appeal judge refused and said the commissions it received from City Mortgage Corporation were secret and dishonest.

NAMV claims it has made successful applications for refunds of fees from other brokers who sold loans under the secret commission system.

This has far-reaching implications for borrowers. Once a refund of brokers fees has been made, borrowers will be able to ask that their loan be totally rescheduled back to the first day of the loan, deducting the brokers fees and the interest paid from that date to the present day.

This judgment will also allow claims of compensation where homes have already been repossessed or redeemed for another mortgage in order to be rescued from CMC/OCWEN.

NAMV claims it now uses an auditor and is having success beating off big name and specialist lenders that overcharge their customers.

"It's helping to reduce the redemption figures against all rip off loans," said Riley.

Contact NAMV/Carol Riley on 01889 507394.

----< CAB worried by new debt rules >------------------------
Mortgage borrowers' rights could be cut if proposed new legal rules over the handling of repossession cases come into effect. The National Association of Citizens Advice Bureaux says they are concerned.

If you are involved with the legal side of repossession, you might be interested in the new consultation paper on the Lord Chancellors Division website on housing possession procedures and the proposals on making enforcement of County Court Judgements more efficient - for lenders.

It's at: http://www.open.gov.uk/lcd/consult/civ-just/handlfr.htm

----< Human Rights Act help for repossesses? >-----------------------
A reader has suggested repossessees may be able to use the forthcoming Human Rights Act to beat off lender shortfall claims. We've published their research in the Repossession section and invite lawyers and counsellors to comment.
http://www.home-repo.org/

----< Devon couple and MP call for six-year limit >-
North Devon MP Nick Harvey has joined Abbey National victims Colin and Jacky Jones to call for a mandatory six-year limit on mortgage shortfall claims.

Local newspaper the North Devon Journal has covered the story on its web site at:

----< Undervalued repossession judgement analysed >-----------------------
The Skipton Building Society v Bratley and Stott case a few weeks ago established that lenders should have valued repossessions properly before selling them - or they may lose the right to make any claim against repossessees.

Here's an analysis of the case from a barrister that was involved with it:
http://www.farleys.com/code/newspage1.html

And, for the layman, Housing UK has published a more understandable review of its implications at:
http://www.housinguk.com/june_2000.htm

----< Data Protection Commissioner "toothless" >----
Finally, somebody closer to the mainstream press than we are has realised has spotted how powerless the Data Protection Commissioner is.

Too much work and too few resources, says on-line news source Silicom.com in a story that claims the Data Protection Registrar only takes action on the most serious complaints.
http://www.it-director.com/00-08-17-1.html?itde1708

----< Interesting repossession links >----
Supplied by a sharp-eyed reader, to whom we extend our thanks.

Catholic Housing Aid Society - a charity that helps with Shared Ownership schemes to prevent repossessions. Details at:
http://www.chasnat.demon.co.uk/debtpr1.html

The Economics of the Crazy British Housing Market (including plenty of material on mortgage debt and repossession):
http://users.aber.ac.uk/arh/inaugural/inaugural.html

Residential Mortgage Repossessions and The Administration of Justice Acts, 1970 and 1973 - A case for Reform:
http://webjcli.ncl.ac.uk/1999/issue3/clements3.html

----< Changes to the site >------------------------------
Two additions to the Repossession section: Lenders MIG explanation letter Human Rights Act help for Repossessees

We've added notes aimed at lenders' staff who want to tip us off to the "You Can Help" page in the Who Helps? Section.

A couple of new links in the Free Help section.

[ends]

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