We understand how quickly circumstances can change and at times it can be difficult to keep up with your mortgage payments.
If you’re worried about your ability to pay or have fallen behind with your monthly payments, it’s important you talk to us, so we can understand how we can support you.
To help us get a clear picture of your household’s financial situation, complete an Income & Expenditure form. This information will help us find a solution that is affordable to you alongside your other commitments. Download a form here.
In the section below we explain how we will support you when you call and share some independent resources for you to look at, before or after you get in touch.
Talking to us about your circumstances and the options that may be available to you, will have no impact on your credit score.
Debt can often seem overwhelming. It’s vital you take action as soon as you know you are struggling to maintain your payments.
Think about your finances as a whole; do you have several debts you are trying to manage, does it feel unmanageable? It’s important you prioritise your debts in order of the consequences of non-payment.
Priority debts are those that have the most serious consequences if you continuously miss payment; they aren’t always the largest debts or those with the highest interest rate, but could lead to imprisonment, the loss of essential services for living or your home.
These could include, in no particular order:
Non-priority debts are those where the outcome of failing to pay is often less serious. For example you cannot be imprisoned and you won’t lose your home, but your creditor may eventually take you to court.
These could include, in no particular order:
If trying to make sense of your financial situation feels overwhelming or you need more support, speak to someone. You are not alone; a debt adviser at an organisation like PayPlan speaks to people in similar situations every day. Since PayPlan started they’ve helped over 1 million people become debt-free, and every year they help over 100,000 more people with their finances.
Source: payplan.com/about-us
To understand more about the potential consequences of not taking action quickly, please visit our 'Understanding Repossession' page.
The sooner you get in touch, the quicker we can help you. If you’ve fallen behind with your monthly payments, or you’re worried about being able to make a payment in the future, our team is here to help.
We will talk through your current circumstances, so we can understand the best way to support you. Talking to us about your circumstances and the options that may be available to you, will have no impact on your credit score.
During the conversation we will:
We can't offer advice or help with any credit commitments or outstanding debts you may have with other organisations, visit our independent support and advice page for support
Once we have completed an Income and Expenditure with you, we will have a clearer idea of what mortgage support might be affordable to you.
Mortgage support options are designed to help make your payments more manageable in the short term but will add to the cost of the mortgage in the long term. You should always try to switch back to making your regular contractual monthly payments as soon as it is affordable to you.
Talking to us about your circumstances and the support options that may be available, will have NO impact on your credit score. So please reach out to us as soon as you can.
When you agree what mortgage support is best for you, this is the point when your credit file might be affected, but we will always explain the impact so you can make an informed choice. Review the information below to see some examples of the support you may be offered.
A temporary reduction in your monthly payment is where you agree a reduction to your regular monthly mortgage payment for a set period. This option gives you some temporary breathing space and may be suitable in situations where you are experiencing a short-term reduction in your income or have an unexpected outgoing.
Any ‘missed’ part of your regular monthly payment will accrue as payment arrears, which will impact your credit file.
Things to think about when considering a temporary reduction in your monthly mortgage payment:
You may be offered a temporary suspension of your monthly payment if you can’t afford to pay any amount. In this scenario the full monthly payment is considered ‘missed’ and will accrue as payment arrears, impacting your credit file. This option is typically a very short-term solution to help you manage a large, unexpected expense, or a temporary loss of income.
Things to think about when considering a temporary suspension of your monthly mortgage payment:
If you currently have a capital repayment or part and part mortgage, you may be offered a temporary switch to interest only. This will reduce the amount you pay each month, because your payment will only cover the monthly interest charged. However, the total cost of your mortgage will increase as you will not be making any payments towards the capital.
Things to think about when considering a switch to temporary interest only payments:
Missed mortgage payments will always be reported to the Credit Reference Agencies, which is why you should always prioritise your mortgage and pay what you can afford.
Support options are designed to help you in the short term but remember lenders will be able to see that you are on some form of payment arrangement with your mortgage. This ‘arrangement marker’ will be removed once the arrangement has ended. Lenders will still be able to see that an arrangement was in place in the past, but the affect should lessen over time.
