Feb
20
Repossession: 3 top tips for worried home owners
1. Build Up a Buffer
Save at least three month’s of mortgage payments and stash it away in a high interest savings account. This money should only be used to pay the monthly mortgage payments in the event you lose your job. Add to this amount three month’s food, gas, electric and water bills.
2. Transfer Your Mortgage to Interest Only
If you can claim Jobseekers’ Allowance, you should register immediately as this is a requirement for getting any government help paying interest on your mortgage (register even if you can’t claim Jobseekers’ Allowance due to redundancy payments received). The government have changed the rules so that now you only have to waity three months (rather than nine months) before the interest element of your mortgage will be paid. Note that the limit has also been raised from £100,000 to £200,000 per mortgage.
3. Seek Advice Immediately
Don’t wait to fall behind in paying your mortgage or other bills. Seek free help from one of the following organisations as quickly as possible and deal with things before they become a real problem.
- Consumer Credit Counselling Service: www.cccs.co.uk, 0800 138 1111
- Shelter: www.shelter.org.uk, 0800 800 4444
- National Debtline: www.nationaldebtline.co.uk, 0808 808 4000
- Citizens’ Advice Bureau: www.citizensadvice.org.uk