Lenders urged to help struggling homeowners

Money lenders in the UK have been urged to do more to help homeowners who are struggling to manage their debts effectively.

The National Consumer Council (NCC) is keen to see financial services firms take a more nuanced approach when it comes to dealing with customers who are clearly finding it difficult to maintain control of the debt management position.

According to the consumer champion, worthwhile help should be forthcoming from lenders particularly when individuals are reaching the end of a fixed-rate mortgage term and are facing significant hikes in repayment rates.

“We would like to see them offer a range of tailored solutions to help borrowers in difficulty and not rush to use third-party debt collection agencies or court action,” a statement from the NCC explained.

Meanwhile, figures from Debtwire recently showed that the lack of activity in the UK’s housing market is seeing an increasing number of estate agents forced to close their businesses.