Owner occupied mortgage & BBL

[Maz]

I hold an owner-operator mortgage from Barclays, along with a Bounce Back Loan (BBL). Although I have defaulted on the BBL payments, I have maintained commendable repayments on the mortgage. Despite this, my account has been transferred to the recovery department.

The recovery department has pressured me to either sell or remortgage my property or to pay off both the BBL and the mortgage simultaneously, which is not feasible for me. They are demanding that both loans be settled at the same time.

I am contemplating selling the property to pay off the mortgage; however, they have combined the two loans to lift the charge against the property.

I am seeking clarification on the legality of this action. Is it permissible for them to combine two distinct loans in this manner? Additionally, I would like to know if there are any experienced advocates or legal counsel available for proper advice?
Regards

 

[ChrisCallaghan]

Are both the mortgage and & BBL through a Ltd? Does the mortgage pre-date the BBL? If so, have you looked at the terms of any debenture against your company in relation to the mortgage? I'm guessing that it is an all lending debenture.

I have come across similar scenarios before. When I have attempted to introduce such cases to solicitors I work with, all have refused to represent, as they feel there is no fight.

In short, look to the debenture associated with the mortgage.

 

[Lisa Thomas]

Chris - I've just introduced an all monies disputed BBL claim to a solicitor. Early days yet while they collate and review all the paperwork and circumstances but they initially agreed it could have legs. There are going to be more and more of these going forward, me thinks.

 

[ChrisCallaghan]

Chris - I've just introduced an all monies disputed BBL claim to a solicitor. Early days yet while they collate and review all the paperwork and circumstances but they initially agreed it could have legs. There are going to be more and more of these going forward, me thinks.

Thank you for sharing Lisa. I'd be incredibly grateful if you share how it goes. As mentioned, my usual go to solicitors are not keen to take these on.

I wonder if that case goes well, whether it could be used as the basis to challenge the same with a CBILs?

 

[Lisa Thomas]

I guess it will depend on the particular details of the potential claim.

 

[Paul Kelly ICHYB]

I am sorry for the OP's plight, but it is a good example of why business and personal accounts should be with separate banks.

I have maintained commendable repayments on the mortgage

What does 'commendable' mean? You have missed some payments?

As asked, was the BBL through a Ltd co?

Was the mortgage personal?