Providing guidance and information
Irrevocable power of attorney (2)
This is part two of my article which consists of three parts.
Your house gets sold, the bank gives approval and you visit the notary. Perhaps you doubt a bit before you sign the paper. It is going to be alright with the mortgage debt? But probably you are so happy you can continue with your life, that the doubt dissapears rapidly.
After the liberating transmission, the bill arrives a few weeks later. It is a letter and contains the following information:
Based on the terms of the remissions regulation is the resulting debt not forgivable.
Most of the times it comes with something like this:
2. Is full cooperation granted to avoid or limit the loss?
This is the case when a house is sold underhand and full cooperation is granted to limit the loss.
The WEW determines the house is sold underhands, but there is not been a full cooperation granted to avoid or limit the loss.
What are the consequences for you?
You must pay the loss back
You will receive information about the height of your loss and how you can pay this back as soon as possible.
That letter has as much effect on your good mood as a needle on a water balloon.
Everything went right concerning the selling of the house, with the customers who received these letters.
They just waited for five months, a very slow handling. They were told a power of attorney was required, that they should cooperate and this was the best solution.
Untill the customers after the sale were suddenly being blamed, by a lack of good faith and cooperation. No warnings beforehand. No clue during the sale itself. All communication was settled for them by the bank.
They went to the bank with their bad news and the bank told them this: ‘’Yes, indeed it is very frustrating for you, but in our dossier it is handled, so you need to contact NHG. Have a nice day and good luck!”
Irrevocable power of attorney
Why you should not sign an irrevocable power of attorney..
…Especially when the bank says they do it only to help you
This is the first part of a translated article. The full article on dutch is already available here: systeemmakelaardij.
Peter gets into the unemployment law due to a burnout. In a short time he loses almost 800 euro’s income. In an instant the charges are higher than his income.
Luckily he made a deal with NHG, so he calls to ask what he should do. Despite being not his fault, he is in a situation where a mortgage debt is emerging. Exactly the situation NHG is meant for.
NHG tells him to make contact with his bank. On request of his bank he hands in his financial records, nothing happens after this.
For a period of five months nothing happens at the bank.
The situation is getting worse, so Peter calls the bank on a weekly basis. He always gets the same answer: ‘’You are obligated to pay and you must pay.’’
When he asks for a solution, or if NHG can help him he gets a snappy answers: ‘’No sir, your situation is not serious enough.’’
So peter keeps paying. He sells his car, furniture and even his wedding ring. Every month it gets harder to pay. Peter fears the calls of the bank telling him to pay as soon as possible.
But after five months the bank has great news. Peter’s situation is miserable enough to do something about it.
The bank wants to help Peter now, to sell his house. They only help him if he signs the irrevocable power of attorney.
Psychologically beaten and no more things to sell, Peter is capable of anything to book progress. He signs the power of attorney and then something happens you may predict. Precisely. Nothing.
Another five months pass and a broker is asked for help. His house gets on the internet almost two months later. In the meantime Peter calls with his bank again and again, booking as much progress as a dog chasing it’s own tail. The bank points to NHG. NHG points to the broker. The broker points to the bank and so the frustration circle becomes complete.
The worst part is Peter could have sold his house a hundred times by now. Without having to sell his wedding ring, if he only had the right information.
That is why I want to make clear to you through this article, why you should NOT sign a irrevocable power of attorney.
The reason is simple:
‘’Nobody cares as good for your own well being as you do.’’
New on TellSell: ‘’The irrevocable power of attorney.’’
The power of attorney was already signed, so Peter didn’t have the chance to call in external assistance. When signing the paper he gave away all control, leaving his fate in the hands of the bank.
Yes, indeed the same bank which told him for months he must keep on paying. Without even a glimpse of a solution.
Banks ask more often for an irrevocable power of attorney. The reason so many people sign it: they bring it real neat.
Imagine you see a financial loss coming. You call your bank to discuss the opportunities. They connect you with the department particular management and the collaborator tells you in a sinister voice: ‘’Ok, you can sell. Give us all the control over it, the income goes to a notary we pick to sign a paper which says: you can never return this action. Mwuhaha!’’.
Probably you would think it over. But what you just read is the essence of a irrevocable power of attorney. Except for the devilish laugh. That was for the effect.
But it is not the way they bring it ofcourse. They sell it to you in the same way as the magical Tell Sell commercials, claiming to lose weight while eating a mix of chips and guacamole while sitting on your couch.
‘’Oh, a sell with mortgage debt? We have a solution! I will send you the address of a notary in your neighbourhood. If you sign the paper there, with a short declaration we will settle the sale of your house. We arrange a broker and everything will be alright’’.
If they bring it to you like this, the decision is easy. Ofcourse you sign the paper! No headaches because you don´t need to do anything yourself. You sign the power of attorney and know the sale is in good hands. They know everything about NHG, so you don´t need to think about that either. They do it more often than you do, right? Can’t get better!