mortgage interest payments defecit

[frostypug]

My husband is in reciept of pension credit and before that he was recieving income support.. The social security were paying all of the mortgage interest but since the interest rate went down the building society rate has stayed the same so now their payment doesnt meet the full monthly amount.

 

We are having to find £27.60 per month out of our own money which isnt easy as the pension credit and my reduced pension(because of lack on NI stamps) is out only income.

 

Can the Social security do this or indeed the Building society (Woolich for Barclays)

thanks

[andydd]

The DWP now only pay the intrerest at a rate of 3.08% I believe instead of the previous 6.something %, homeowners are expevcted to make up the shortfall, although when this new rule came into effect, increased pressure was put onto mortgage lenders to be more flexible and helpful, for example in my case, natiowide agreed to accept interest only payments, luckily my fixed rate of 5.5% ended and I went back onto their standard Bank of england +2% rate, so I was paying 2.5%, so the 3.08% covered all the intreset.

 

Their are various other discussions about it on here, in fact one I started led to me being interviewed on BBC Breakfast News all about it.

 

Andy

[frostypug]

Thanks for that, but how did it end. Do I have to make up the shortfall all by myself??I only have two years to run on my mortgage

[andydd]

Thanks for that, but how did it end. Do I have to make up the shortfall all by myself??I only have two years to run on my mortgage

 

It ended with me getting a job. Yep, you are expected the make up the shortfall, I believe that SMI is only paid for two years, although I'm not sure how it effects you when you are claiming a pension.

 

Andy

[maroondevo52]

Thread moved.

[frostypug]

what does this mean " thread moved" I cant access any replies now?

[maroondevo52]

what does this mean " thread moved" I cant access any replies now?

 

Hi,frostypug.

 

I have moved your this thread from the 'Welcome' Forum to the Benefits, Tax Credits and Minimum Wage Forum, where hopefully you will get more help.

 

To find your threads just 'click' on your username, then find all threads started by........

 

I've sent you a Private Message with a 'link' to this thread.

 

Please continue to post here with regards to this issue.

 

Thanks.

 

Scott.

[Nystagmite]

You will be expected to make up the shortfall, yes.

[flumps1976]

The two years restrictions is only for people claiming JSA.

Yes you will be expected to make up any shortfall on the monthly payments but have you discussed this with yu r lender as maybe they can sort out another deal for you such as interest only or at a push extending the term of your mortgage by enough time so that you can cover the payments

[sir_gilmour]

Hi

Welcome to The Consumer Action Group.

 

 

I am just letting you know that as you haven't had any replies to your post yet, it might be better if you post your message again in an appropriate sub-forum. You will get lots of help there.

 

Also take some time to read around the forum and get used to the layout. It is a big forum and takes a lot of getting used to.

 

 

Once you start to find your way, you will soon realise that it is fairly easy to get round and to get the help you need.

 

It can be bit confusing at first.