YOU SIGNED A PERSONAL GUARANTEE, NOW THEY ARE CALLING IT

Your in trouble, right? The bank are writing some very strong letters so you have to pay, don't you? You're going to lose your house, aren't you?

Not necessarily- certainly no one should welch on a commitment they have made, but was your commitment legally made and if not, do you therefore really legally owe the money?

Not always. With personal guarantees, the banks can be notoriously bad at keeping their end of the bargain by not having their paperwork in order or being sloppy or otherwise inept at putting the personal guarantee in the first place.

And you can guarantee that if the boot was on the other foot, they'd make sure you know it and certainly they will leave you with the distinct impression that you do owe the money come what may.

So there is plenty of scope to contest the validity of a personal guarantee if it gets called and even if the bank do have everything in order, they generally want to do a deal anyway so all is not lost.

It isn't necessarily in their interest (and costs money for them) to bludgeon you into submission if you can't pay them any money anyway.

But hiding and hoping it will go away is just as bad as rolling over and letting them run over you- the consequences can be dire if you do not communicate with them. There is a balance to all this and communications that on the one hand races along or on the other are non-responsive on your side can lead the matter into difficulties, because if it goes too fast and the bank do not like what you are saying, the next step for them has to be court action.

It is the same if you do not respond to them- what else can they do?

Some solicitors are not much help either. They can charge a fortune and often not have the relevant understanding or skill to deal with the matter in your best interest.

So make sure you get good advice. Go to a solicitor or a professional who can demonstrate true success in this area and ask them for a reference from someone they have done it for. If they cannot demonstrate that, then they are not the right people to use- you will just spend good money after bad and still probably be on the wrong end of it all.