Personal loan on house

[Lesley]

Hello,
I have a alpha bank mortgage in Swiss francs bought in jan 2007 which is not in arrears.
However I also have a personal loan with the house as security which is 6 months in arrears.
At first when I had missed just one loan payment an English company MoretonSmith contacted me to demand payment. I have a house in England which rent pays the mortgage over here.

Speaking to Alpha bank I was told a solution would be to pay what I could afford for a year, about half and then catch up. Looking at the repayments I'm horrified to see that by missing 6 payments i have virtually wiped out over 4 years of payment.
Also after the first year I know I won't be able to pay the suggested new amount.

Any suggestions? As to what may happen after the first year or should I try renegotiating now.
I was told that there would be no penalty s or extra interest but that has been ignored.
The developer who has mortgaged the land and so no title deed is guarantor, should I ask if he can help. What a mess!!!

[Nigel Howarth]

Hello Lesley and welcome to the forum.

As you say, it's a complete mess and you need professional advice on how to manage your debts.

I suggest you visit your local Citizen's Advice Bureau - they will have access to specialists who can advise you on how to manage the situation. One option may be to sell your property in the UK and settle your debts here in Cyprus.

Regards,