The current rules in place to protect borrowers and provide debt help have been described as “woefully inadequate” by one industry body.
The Council of Mortgage Lenders (CML) has stated that the current state of the mortgage market suggests that conditions require more support for those struggling with mortgages.
“We believe that current market conditions reinforce the case for more generous support for homeowners with mortgage payment difficulties,” the CML asserts.
Meanwhile, those with other debts alongside their mortgage including the likes of credit cards and loans might like to consider an Individual Voluntary Arrangement (IVA) as a potential method of beginning to become debt free.
The news follows research carried out by YouGov on behalf of uSwitch, which revealed that four per cent of UK borrowers believe that their level of debt is no longer manageable, while one per cent have decided to opt for an IVA as a means of becoming debt free.