We took out a loan for E142,000 euros on a property in spain in 2005. However we were unable to keep up the mortgage repayments and handed our keys back to the bank Cala Galicia in November 2007. We had heard nothing since so assumed everything was ok.

We have today recieved a notification from a solicitors in England (Weightmans). They indicated that their client Fenix Cartera acquired from Cala Galicia all of its rights in relation to our account in August 2008. We heard nothing of this.

They ask that we contact them (Weightmans) as a matter of urgency in order to discuss our proposal for repayment. We do not know the full amount of the debt but we assume that we will be in negative equity.

What do you suggest that we do prior to contacting them ? Any help would be gratefully recieved as we havent go the funds to pay back the amount (with interest) and do not know how much the property is worth at this point.