Britons may be pleased to hear that repossession rates in the UK are decreasing, with a 37 per cent drop in the final quarter of 2009 being seen, compared to the same time a year earlier.
This is according to the Finance & Leasing Association (FLA), which found that secured loan mortgage lenders assumed control of nearly ten per cent fewer homes for the whole of 2009 compared to 2008.
Head of consumer finance at the FLA Fiona Hoyle noted that creditors are doing their utmost to assist those struggling financially, a fact reflected in the low statistics.
However, she did state that many are still finding it hard to make repayments and “this looks set to continue during 2010. Repossession will remain a last resort”.
Meanwhile, the Ministry of Justice recently introduced a scheme to offer homeowners the opportunity to seek court protection when faced with repossession, intended to close a loophole that could see lenders sell properties without court approval or owner consent.
By Sarah Adie