New government measures to help those in danger of having their home repossessed have been hailed as a “step in the right direction” by the Homeowners Advice Centre.
The new Homeowner Mortgage Support Scheme was announced last week, and advisor for the body Al Elliot has praised the government action.
“We have been waiting for this kind of government intervention for some time now,” he remarked, adding that it is “sad” part-nationalisation of some lenders had to take place before bank owners realised how serious the situation is.
He added that while homeowners who are at risk of repossession due to a job loss or illness will take all possible measures to avoid losing their home, there is a “large percentage” of owners who cannot stop the process as they are “insolvent”.
Interest payments on mortgages worth up to £400,000 can be deferred for up to two years under the scheme, which may benefit those looking to improve their debt management.
By Tom Musk