In receipt of PIP - Mortgage arrears due to COVID

Hi,

I don't know if this is the right place to ask this or if you can answer questions like this, but here goes.

My partner and I have Aspergers/Autism and we both get PIP for these conditions and others (due In no small part to the great advice on here for our applications)

Due to payments holidays and reduced payment agreements for the last 2 years after losing our hospitality business because of COVID, we have accrued £3,600 in mortgage arrears. Our reduced payment schedule is due to end in the next few weeks and therefore we have contacted our lender to see what our options are. The lender who, after two years of being fairly sympathetic, is now demanding (and I mean DEMANDING in a big shouty voice) that we pay this back at £300 a month for 12 months. Under those circumstances, once all of our outgoings have been covered, we will be left with £100 for emergencies (we have a knackered car and sick pet...etc etc - I know, get the violins out )

We are currently getting in contact with step-change/citizens advice etc, but Is this demand reasonable?

Should we be able to ask for a longer period to pay this back? We haven't missed any of the reduced payments and we are committed to paying the debt in full, but we want to ask for it to be paid back over 24 months instead of 12. Has anyone else got any experience of this? Are we stupid to think this is pretty steep? Are we stupid to think we may be offered a concession because of our disabilities?

We'd be really grateful for any help.

Hi Alice-Anne, it's not easy being a couple both on the spectrum, as we are too though maybe less affected as now retired. Another agency who I believe have significant clout with building societies and other creditors is CAP [Christians against Poverty]. You do not have to have any religious affiliation or faith to use their service if available in your area.
Hope this helps,
Denby

Thank you very much for replying. I have a bit more confidence now to push on with talking to step-change etc.

Keep up the brilliant work!

Yes so agree Gary, there are people selling debtors on to IVA [short for individual voluntary arrangement.] - providers. These can take thousands in fees before giving a penny to creditors. And creditors are not all rich nasty people, we got stung this way and the IVA co had not even checked the debtor had a previous hefty debt they did not declare although it was on the register of CCJs [County Court Judgements]... it's a minefield, best stick to those mentioned above.
Denby