Sure nobody forced them to buy the house eh lads?
My opinion is that there are some salient facts missing from this story as reported in “de paper”. It doesn’t read as a complete story at all.
How much and what for?
What did they need a top up for?
What’s your solution for people with a topped up mortgage on a house they can’t afford?
Oh the black and white world of the pinster is such a comforting place to pontificate from.
The social and emotional cost of bullying people with 15 calls a week and threats of repossession is unacceptable when people are making a decent and genuine attempt to pay their mortgage. The man has a skill that makes him employable even if he’s not employed at the moment. They have prospects. It’s outrageous and more than a little sickening that the lenders’ vision is so narrow and short-term.
corporate scum of the highest order.
Should people who have a mortgage with GE that they’re paying off do so at a higher rate to cover the cost of others not paying?
While it is totally unacceptable for any organisation to “bully” others with a constant calls, Mr. & Mrs. Moody, as adults, voluntarily entered into an agreement with their lender.
It would appear from the article, that they made many of the same mistakes as others in the heady, cheerleader hyped madness of the bubble years; buying on emotion
, extending their borrowings
, which their original lender refused (presumably after assessing their situation) and then, turning to less stringent lenders. It strikes me a slightly odd that their monthly repayment fluctuates
, as, usually, when borrowers agree a new repayment schedule with their lender it is for a fixed amount each month, so perhaps they have not kept to their revised agreement (if indeed they made one).
It will be of little comfort to the Moody’s, but they are not alone in their situation and are only likely to be joined by more and more in the coming couple of years.
As has been mentioned elsewhere on may occasions, for a lot of young people living in Ireland who jumped on the VI styled “property ladder”, the promise and dream of the Celtic Tiger has turned into a living nightmare.
These poor feckers are screwed and tens if not hundreds of thousands like them.
It seems the banks and developers are it seems are too big to fail and won’t pay the price of their mistakes. The people however, will pay for their own mistakes and pay for the banks mistakes too.
When is someone going to show a little leadership and state that the Irish people are too big to fail and tell the banks to go and fuck themselves?
All this shite about all the banks being systemic. It’s lies. Lies to justify thievery.
The country is being run by thieves and liars.
The €54bn bailout for the builders and the bondholders could make a fair dent in the outstanding mortgage debt in this country. I imagine it would more than cover all the mortgages likely to be distressed. Why doesn’t NAMA bail out distressed mortgages on family homes rather than the banks and builders?
It shouldn’t bail out either.
They cannot afford it. Simple.
The sense of entitlement is sickening. I want I want I want. Doesn’t matter if I can’t afford it. I borrowed someone elses money, now I cant pay it back, but I don’t care. I want I want I want. It seems many Irish people have no shame in stealing other peoples savings to get what they want.
So your solution is for people without a mortgage to pay for their own mistakes, the bank’s mistake, the developer’s mistake **and **the mistakes of those who got a mortgage they couldn’t afford? Just throw the problem down another rung and load up even more debt on the next group of people?
Since we’ve apparently decided to borrow €54bn (holy fuck!) would it not be fairer to divide that out evenly amongst the 2,000,000 or so taxpayers giving them all roughly €27k each?
That gives people with distressed mortgages some breathing room without stiffing those who’ve been prudent. It would indirectly improve the positions of the banks worth improving as a lot of this money would go back to them to pay off debt.
I realise this is a harebrained scheme, but surely it is less insane than just giving the €54bn to the likes of Anglo and Irish Nationwide?
I think this article was not written well for getting across the details of this situation.
Live in Ballyjamesduff in Co Cavan.
Parent1: Karen (29)
Parent2: Jason (29)
Child3: Jamie (16 months)
4th Paragraph. Jason is renamed John (I think).
So, I’m going to assume what they mean is that everything from both GE and Permanent TSB requires a repayment of €1,700 a month.
So, we can assume they bought the house for €210k
8th and 9th Paras:
so, we know they have been paying back between 600 and 800 and month and the mortgage provider wants a minimum of 1300 a month
looking to social welfare, I only see the Mortgage Interest Supplement as possibly assisting them:
citizensinformation.ie/categ … supplement
when their interest is paid though, I don’t think there is any assistance for paying the “not interest” part of their mortgage (the lump sum).
I think they should sell up.
Then go rent and use assistance from the Rent Supplement:
citizensinformation.ie/categ … supplement
That says for a “Couple with 3 children or one-parent family with 3 children”, they get:
That’s €688 every 4 weeks.
On daft, on this search result page (click here) which is “Searching for properties to let in Ballyjamesduff”, there are plenty of suitable properties affordable to them for less than €688. As a matter of fact, currently only 2 of the 15 listed are above €688
Here’s a 5 bed house for only €500 per month: daft.ie/searchrental.daft?id=754921
It may be their dream to own a house but there current arrangement is just not suitable.
Get out of the house. Sell it. Rent one of the many dirt cheap houses in the exact same area. Pay off your loans. Try to get a job. Learn this hard lesson and move on.
It is a crying shame that they would show such hardship to their kids. I think they should face up to the fact that they’ve gone too far and need to sort themselves out.
…etc. There’s no question about that. I recall hearing that a number of more high profile people also voluntarily entered into agreements with their lenders and are not receiving 15 calls a week and the entire economy is to come to a standstill to accommodate them.
Only if GE, who let’s be clear about it, have a certain speciality when it comes to lending haven’t made provision for reduced repayments over a period of time. They’re obliged to make provision for default. These are not people who are giving two fingers to a lending institution, refusing to pay. They have every intention of paying, by all accounts and if GE stick with them - god help them, they’ll make more money out of them in the long run. You can be pretty sure they won’t be offering lower rates to other borrowers in those circumstances.
Economic theory is fine but there is a massive social and emotional cost which it seems nobody here is interested in quantifying, despite the fact that according to an article I heard referenced on It Says in the Papers this morning, one person a day is being imprisoned because of failure to keep up repayments. I don’t know where those figures come from - especially since it’s illegal to imprison someone for failure to pay. People and families are not corporate entities. In the main, houseowners like the Moodys are not out to make a profit on a family home, they are not protected in the way companies are and the suggestion is that we have a society which wants families to go to the wall as punishment for bad judgment when there are other options of non-NAMAesque proportions.
Actually you managed to find the one harebrained scheme worse than giving it to Anglo and Irish Nationwide. At least the current plan secures that €54bn against some sort of assets.
Pull the other one.