27
Oct
Talk to lenders, homeowners urged
Those having difficulties with mortgages should be very quick to
contact their lender, it has been suggested.
Al Elliot, an advisor at the Homeowners Advice Centre, stated: "I
would recommend talking to your lender sooner rather than later
about swapping to interest only payments."
He noted this is important because mortgage providers are less
likely to be willing to switch terms if a mortgage is in
arrears.
Mr Elliot also said those with mortgages should assume they will
not be able to remortgage and prepare to meet the standard variable
rate payments in case this is what happens.
Such comments come after the government introduced new measures
last week aimed at protecting those with mortgages who have
problems.
The plan is to achieve this by placing an obligation on lenders to
prove they have sought to resolve difficulties with the customer
prior to any repossession action taking place.
