1
Oct
Struggling homeowners 'should speak to their lenders'
Those struggling with mortgage repayments should speak to their
lenders straight away, according to one industry expert.
Catherine Torazzo from registered charity Citizen's Advice said
that lenders usually provide an understanding and constructive
response to problems, helping their customers come to a manageable
solution.
Her comments follow an announcement by housing minister John Healey
that - under new rules due to come into place today - local
councils will be informed when lenders begin any repossession
action.
"Reminding lenders that they need to follow the pre-action protocol
for mortgage arrears will, we hope, reinforce the fact that
repossession needs to be a last resort," stated Ms Torazzo.
She added that more options will be available to homeowners who
quickly engage with any repayment difficulties.
This news comes after recently-published mortgage lending figures
from the Financial Services Authority revealed that the number of
home repossessions fell by nine per cent in the second quarter of
2009.
