new rules could force you to sell your house for £1k debt!

I had to check the date and make sure that this isn't an april fools.
Shockingly, new rules have come into force which mean that a credit company could force you to sell your house to settle a debt as small as £1000.
It doesn't matter if this isn't a loan secured against your home, it could even be a credit card bill!
absolutely shocking as a recent survey by Shelter found that 1 in 3 people would not be able to pay for more than a months mortgage or rent if they lost their job.

more info here http://www.independent.co.uk/money/...ould-force-you-to-sell-your-home-8562606.html

shelter findings here http://england.shelter.org.uk/news/...ple_one_paycheque_away_from_losing_their_home

 

I'd be quite happy to sell my house to pay off my credit cards. I suspect the council may object though, they own it!

 

employment laws changing

 

As an employer of 45 people I am for some employment law change. I have suffered at the hands of 'expert' lawyers in the past when it comes to employment law.

 

Prior to the introduction of the rules there wasn't a minimum figure which meant in theory you could be forced to sell if £5 was owing. So its a little disingenuous to imply that the limit has been reduced to produce shock and horror before admitting further on in the article that the opposite was the case. Still it makes good bash the current government stuff ..... even if the no minimum level existed under previous administrations.

 

Wait and see Fritt. Under old rules banks could charge what they liked and I always wriggled out of charges by making a fuss. Then they were forced to be transparent and now I get charged and there's no getting out of it.

I can see that before, creditors would get bad press for forcing a house sale for a small debt, but not there is a figure, you can bet that anyone with debts over the figure will be fair game and the creditors will point to the law.

 

but the limit was originally supposed be set at £25k. no current limit situation i would hope that courts would apply common sense and not enforce sale for £5 or even £1k as it surely wouldn't be 'fair'. the £1k limit, imho, gives the green light for bully boy tactics from all credit agencies to threaten a persons home for the minimum amount without any need to consider fairness as it has become policy.

 

i was just typing much the same thing.

 

So the easy solution is to cut up all your credit cards and never use them again. Wonder how quickly the Credit card companies would panic if we all did that?

 

well exactly - damn think the van will have to go then....... as I keep saying Baywindow vans - Rotbox Money pitts!

 

Easy - I don't have any. They won't give me one, I'm a bad risk because I paid one off in full every month for 20 years.

 

I think its good, pay your debts your got no worries

 

We get 4-6 debt letters on the door mat a week I either burn, send back or open them to see who owes whom and how much. None of them are for us but pass tenants. This very morning Mr Wells who owes angilan water £340 has till mat 20th or its the courts.

 

We don't do credit cards as they only lead to debt.

 

I would feel sorry for some one caught up it it but
If you owe you owe and and if you have to sell a asset to pay your debt what wrong with that.

Its the same as all this fuss about the bedroom tax.
Its not you house and if the owner puts the rent up due to the number of bedrooms whats wrong with that
If its social housing then the house should go to those in need and be appropriate size and you should move if you circumstances change

Off rant

 

What Matty said.