Writ and Statement of Claim – What Do I Do?
When you go through a period of un- or under-employment, separation, illness or injury, you may not be able to service your mortgage.
Applying for Hardship through your lender is a great way to give you a temporary payment holiday, although be aware, interest continues to accrue, and the Arrears that this creates will need to be repaid at the end of the hardship period.
If Hardship is declined, and/or Arrears continue to accrue, eventually you may find yourself in Default, and then following that, a Court Writ and Statement of Claim may be issued and Served on you, at your home address.
Clearly, as you are in default of your mortgage, and a Writ and Statement of Claim has been issued, you need to take this seriously, very seriously. If this is not resolved to the full satisfaction of the bank, then you risk your property being seized and sold. This is not an experience you ever want to experience – it can be financially and emotionally disastrous.
What do I do when I receive a Writ and Statement of Claim?
This process will be confusing to the greatest majority, as few ever go through this more than once. Who to talk to, what to do, how long do I have, and what are my options? One thing that is for certain, this needs to be taken very seriously, and the right advice and options need to be explored by a professional with the right and relevant experience.
The banks lawyers or legal aid may suggest “independent advice be sought”. That is us – Sterling Debt Advisory. And should the banks lawyers offer any advice or suggestions, it is importantly to remember, they represent their client, the bank. Both the bank and their lawyers are very limited in what advice, if any, they are able to provide you. Any advice provided by the bank, their lawyers or legal aid, may not accurately reflect the right option for you, which needs to be based on your personal circumstances, wants and needs.
What about using a Lawyer or Accountant to help
Independent lawyers typically seek to resolve these matters through the Court processes, which may be a costly exercise and with an uncertain outcome.
Financial Planners typically have little, if any experience, in this regard.
Accountants similarly have little experience with the Courts, Writs and Statement of Claim, Repossession Lists, the Eviction Process etc, and are unsure of all available options.
Mortgage brokers have near zero experience on these matters.
Legal Aid are a valuable source of information to explain the Court process, as are the Court Registry Offices, however, cannot and will not be in a position to articulate the full range of available options for your particular circumstances.
How Sterling Debt Advisory can help
Our firm comprises a combination of highly experienced (former) senior bankers and lawyers. We understand what the banks require, what they need, how to present a Proposal, what is acceptable and what is not. Importantly, we are completely independent and can identify what your available options may be, and based on our experience, what may be the right option for you.
We offer our services to review your current circumstances, present the right option(s) and if required, assist you in delivering the preferred option(s).
We are always happy to spend 15-30 minutes to discuss your matter (P | 1300 732 040).