Having problems
paying your mortgage?

Seeking help sooner rather than later is the key

Are you having problems paying your mortgage (or home purchase plan), or do you expect to have these problems soon? Is your lender trying to repossess your home? It’s best to act sooner rather than later. This way, you may be more likely to keep your home.

If you can't meet your mortgage repayments, or you're worried you might fall behind, contact your lender as soon as possible. Alternatively, you may be able to receive help with your mortgage from new government schemes.

If you can't pay your mortgage or think you'll have problems

Speak to your lender as soon as possible
They should talk through other possible repayment options with you. Make sure you understand the different options so you make the right choice for you.

Check if you have insurance cover

Mortgage Payment Protection Insurance (MPPI) or Accident, Sickness and Unemployment insurance (ASU) can help with your mortgage repayments if your income has fallen because of redundancy, accident or sickness. You may have taken it out when you got your mortgage.

Work out your budget
Be realistic, you may have to cut back on some other spending.

Check if State benefits can help
If you’re on a low income or out of work you may be able to get some help with your mortgage repayments.

Pay what you can
Only agree to pay back what you can afford. By continuing to pay back some money, you may be able to reduce your arrears.

Check what government help is available
Find out whether you’re eligible for a government-backed mortgage assistance scheme (it may allow you to stay in your home).

Sell your home
If you think your situation won’t change in the long term, think about selling your home yourself and renting or moving to a cheaper property. Ask your lender if you can stay in your property until you sell it and make sure you have a place to live before you move out. If this isn’t possible, as a last resort you could sell your home to a company and rent it back from them.
If your lender intends to repossess your home

Speak to your lender as soon as possible
If you’ve not tried to discuss possible repayment options with them, do so now. It may mean you can avoid going to court.

Make sure you’ve worked out your budget before you go to court

A judge will want to see how much you can afford to repay.

Go to court
You should attend so you can put your case to the judge. You are more likely to keep your home if you go to a court hearing. These are normally held privately in the judge’s office, not in open court.

Ask to see a duty officer at the court before your case starts, if you don’t have an adviser or solicitor to represent you

A duty officer can help you with your case and may be able to represent you. Their service is free.

Make sure you understand the consequences of any arrangements your lender offers you outside the court room

Only agree to an arrangement which you can reasonably keep to over the rest of the term of the mortgage. If you cannot keep to an arrangement you’ve made, you may find that it is easier for the lender to repossess your property. So if you’re unsure attend the court hearing.

Continue to talk to your lender and still pay as much as you can

By continuing to pay back some money, you may be able to reduce your arrears.

Things to avoid

Taking out a loan to pay your debts, these loans can be very expensive and are often secured on your home, so putting it at greater risk.

Handing back the keys, you’ll still be responsible for the mortgage repayments before your home is sold, and possibly the outstanding balance if the money raised by selling your home isn’t enough to pay off your debt.

Selling your home without having a place to live, your local council may not help you find a place to live if they think you've made yourself intentionally homeless.