The residents face the bailiffs and huge legal bills after signing with SSB Law, which has now gone bust, for compensation claims over defective cavity wall insulation. This is despite assurances throughout that they would not pay a penny.
See their stories below as they reveal how the financial strain has impacted them:
1. Alan and Julie Jones - 'You can't think of anything else. It's horrible'
Burnley grandma Julie Jones and her husband Alan were left feeling "frantic" after having just one week to pay £8,000.
"How do you gather that kind of money? The whole thing for Alan and I is all-consuming. You can't think of anything else. It's horrible."
Alan (72) signed up with SSB Law after being told the cavity wall insulation had caused £65,000 worth of damage to their home.
Julie, who is 60, added: "It was phenomenal. We couldn't afford that kind of money. We had no other option. And Alan is asthmatic, so that's another reason we wanted to keep on top of the damp."
But the couple were later informed they did not have a case as a second survey claimed there was a lack of damage as they approached the court date.
And then came the £8,000 bill.
"It's so scary. And there's the embarrassment: what would people think if we had the bailiffs round?" Photo: Submit
2. Diane Longworth - 'The thought of the bailiffs scared me'
Burnley woman Diane Longworth lost around £7,000 at Christmas to her no-win, no-fee claim.
Diane says she had around a week to pay the fee and was worried about the bailiffs taking her car, which she needs for work.
"When I opened the letter, I nearly had a heart attack. I panicked. The thought of the bailiffs scared me. I didn't have enough time to try to sort something out.
"I paid it so I could live a normal life. Otherwise, I'd have been fretting every day." Photo: Submit
3. Sharon Lord - 'I'm terrified I'm going to lose my house'
Sharon Lord, who has two children with additional needs, says SSB Law used "scare tactics" to coerce her into continuing with a claim.
The Burnley student, who says she was already "living on the breadline" fears losing her home and university place over a £17,000 fee.
"I've been through a lot, but this is the worst. I feel complete devastation. I'm terrified I'm going to lose my house. I'm supposed to be starting university, and I won't be able to re-mortgage my house or get student finance because of the County Court Judgment in my name. I have no savings." Photo: Submit
4. Sean Wilkes - 'I've had sleepless nights over it'
A Nelson man says he has had sleepless nights since his 77-year-old Burnley mum received a demand for £18,000.
Sean Wilkes says they have “no way of raising that kind of money” unless they sell her house.
"She was rocked by it. She was distressed.
"I was fuming. I've had sleepless nights over it because my mum was distressed. It's disgraceful.
"If morality, decency, and humanity are at play, my mum won't have to pay a penny. She doesn't lead an extravagant life. She doesn’t have a few quid in her bank.”
Photo: Kelvin Lister-Stuttard Photo: Kelvin Lister-Stuttard