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Sharp Rise in Repossessions.
Repossessions were up 40% in the first three months of 2008, compared to the previous year – and things look set to get worse.
It looks as if many people who are coming to the end of their current mortgage deal will need to find £200 per month extra, even after shopping around for the best deal.
The FSA (Financial Services Authority) has published figures showing there were 9,152 repossessions in Jan-Mar this year; this is compared to 6,471 over the same period last year.
This is likely to rise further as 300,000 homeowners have mortgage arrears of at least 3 months, double this time last year.
People struggling with unsecured debts in the past have been able to take out a secured loan or whack it on the mortgage to find a debt management solution. When house prices were rising and lenders were very keen to lend money based on low or nil equity levels, this seemed a painless way of reducing credit repayment for many.
The reality is now very different. Lenders have been stung by bad debts and are now more choosey as to who they will lend money.
Increased Mortgage Payments Threatening Your IVA?
If you are on an IVA and are finding increase mortgage payments a difficultly, then speak to your IVA Supervisor. You may be able to vary payments into your IVA to make it and your mortgage payments affordable again.
Received a Repossession Notice?
Don’t Panic. We have the expertise to use the full power of the law to help you avoid repossession & keep your home. See Abacus Repossession Help. for details.
