Selling your house during debt relief? Discover your rights!

Questioner

had to stop our own business due to the crisis and got into debt, now everything is managed by budget management and debt counselling. The mortgage provider does not want to cooperate and wants to put our house up for sale. Now an estate agent has already put our house on the internet, my 11 year old son found out through the neighbours. We didn't know anything yet, we already had 3 viewings this week, that means that my entire family is in disarray because we have to move out when people come to look, is this allowed, the debt counselling is still working on it so I wonder if I can just let this happen, we naturally just want to stay in our house.

Lawyer

It is possible to request a moratorium from the court via your debt counsellor. In this way, creditors are obliged to cooperate in a process. The reason for preventing the sale could be that if your house is sold, you will be on the street and you will then no longer be able to continue the debt counselling properly. In addition, the bank is not allowed to simply put your house up for sale. For this, there must first have been a ruling by a judge.

Questioner

That's what I thought. Our debt counselling observer is working on a moratorium, so you can understand my surprise. Now my question is, can I stop the viewings, because it's crazy that I just let strangers look into my private life. I forgot to mention that I signed a power of attorney, which gives the bank more rights.

Lawyer

As long as you live there and do not give permission, the bank is committing a criminal offense, they are committing a criminal offense of trespassing. So you do not have to allow these people into the home.

Questioner

I had forgotten for a moment that we had signed a power of attorney, which of course gives the bank more rights, but I still think it's ridiculous that they just do that.

Lawyer

What has been agreed in a power of attorney is difficult for me to judge, since I do not have some of the data. If you want, I am always prepared to screen your documents

Lawyer

If you do not pay your mortgage lender, the bank can proceed to foreclosure. This can be done by means of an auction. Sometimes the bank is willing to cooperate in a private sale, then the sale yields more. Your cooperation is required for this, for which you probably had to sign the power of attorney. What the bank will not accept is that there is a settlement for final settlement and you can remain in your home. If you end up in the statutory debt settlement scheme, your house will be sold, either by the bank or by the administrator if the bank does not take action. Any surplus value will then flow into the estate.