HELP!!

Hi,

I am new to this site - having now nowhere else to turn.  This is on behalf of my parents and brother who are in Catral, Spain. They have been given a mortgage by the CAM bank 5 years ago which is deemed illegal. There has been a downturn in work and they have fell into arrears with the mortgage but are paying and have been paying at least two thirds of the mortgage for the last 6 months. The bank was fine with this however last week my father and brother went to pay the mortgage which was 200 euros over the full amount and the bank declined to this payment and have now tripled the amount of bank charges and have also put a 13,000.00 euro fine because they have defaulted. They have no money to fight it with a solicitor and are in dire straights. Can anyone please give me some advice? My parents are both pensioners and quite frankly are finding it extremely difficult to put up with the stress or keep a positive outlook.

Any help, advice or assistance would be fantastically appreciated from anyone.

Thank you very much.

daza hope.

Hi sorry to hear about this, when you say Cam gave your parents a mortgage and was deemed illeglal what do you mean by this?Catral is known for the land grab hope that they have not fallen foul of this. when your parents first brought the property did they use a solicitor?

DS Hope

I would advise your parents to get in touch with the Help association of the Vega Baja link here http://www.helpvegabaja.com/

Goldie

Please get your facts correct Catral has not been affected by the Land Grab the problems in Catral are rthat the house were declared illegal by Valencia and the new town council are trying to legalize them but it will take time like all things in spain.

Fred - you are correct about the Catral situation, the problem is not land grab but that many properties were built illegally with no Building Licence (Licencia de Obra) and as a result no Certificates Of Habitiation/Licences of First Occupation.

D S Hope - when you say:

"They have been given a mortgage by the CAM bank 5 years ago which is deemed illegal"

What exactly do you mean?  Why is the mortgage deemed illegal?  Do you mean the property is illegal and therefore the Bank should never have approved the mortgage?

Kind regards

Keith

Hi Fred, Kieth 110 I searched my information fron Google and put in" land grab catral" I  and then looked at www.Guardian.co.uk paul hamilos. 

As an ex Banker, I would agree with my other respondants. Get a good lawyer ASAP. Look at the small print (it's usually quiet large but most don't want to see it, or think they understand it) on the contracts with the Bank.

Go back and challenge your origional lawyer.

Was the agreement to accept a lesser payment agreed in writing (if not it was never said)?

I hope they followed the excellent advise on this Website, if so there is a way out, if not, then you are with the local legal system which could take a long time and cost a lot to come to a conculusion.

Look at the other threads and take the advise of those who have been in similar (not the same) circumstances.

Good luck.

Dave

If CAM Bank have given a mortgage on an illegal property as a result of their negligence and lack of due diligence then I would think you have grounds to make a claim against the bank for compensation and damages and have the mortgage cancelled.

I would speak with a Lawyer and show them the deeds of the house (Escritura) and the mortgage deeds as soon as possible.

Which Branch of CAM Bank was it that granted the mortgage?

Kind regards

Keith

As the original poster said they have no money to fight it with a lawyer, so what other options does the parents have?

Difficult situation, but if they do nothing it will get a whole lot worse for them.

They need to find a Lawyer either locally in Catral or maybe via Eye On Spain who they can send copies of the relevant documents to and who will review the situation and let them know if they have a strong case against CAM Bank.

Once they have this opinion from a Lawyer who has seen the documentation they must then decide if it is worth borrowing money for the fees from friends & family.

It is difficult to see what else they can do........apart from taking the risk of stop paying the mortgage altogether and write a letter to CAM Bank with proof of the illegal status of the property and demand that the mortgage be cancelled.

If the property really is illegal due to no building licence and no LFO/COH then I would like to see how CAM Bank would go about pushing for the repossession!!

The fact is, if CAM Bank advanced a mortgage on a property, that with the miniumum due diligence they would have known was illegal then CAM Bank are liable for compensation and damages.  Also the Laywers and Notary who were involved in the signing of the Escritura will also be liable.  As will the developer - but you can be sure that the developer is probably long gone............

Kind regards

Keith

Yes I think you could be right, if it was me I would stop paying the mortgage and  use the money towards a lawyers fee,

I know the Catral area.

The company who were building our development at Finca Parcs had connections with some illegal developments in the Catral area.  You can read about it on our website.

And guess which Bank gave mortgages on some of those 'illegal' properties?  Yes....CAM Bank.

It is not only CAM - many banks have given mortgages on illegal properties due to their negligence and lack of due diligence.  Why should they be allowed to get away with it?

Kind regards

Keith

I think that we need to have some input fron DSHope on this and maybe provide some information  he or she sems to have gone quiet