Concerns have been raised over the rising rate of mortgage repossessions in the country.
Data recently released from the Council of Mortgage Lenders, suggests that a growing number of people are falling behind with mortgage repayments and are hence at risk of repossession.
Peter Tutton, debt policy officer at Citizens Advice, believes that while the figures are not as bad as the situation in the early 90s, they are “still cause for concern”.
He said: “We are seeing a rapidly growing number of people falling behind with mortgage payments and at risk of repossession. Housing debt, including arrears on mortgages and secured loans, is one of the fastest growing problems in our debt caseload.”
Mr Tutton added that people on the margins of affordability are being stretched but could be “cushioned by fixed rate mortgages”.
He continued that anyone in arrears should seek independent advice promptly and that those taking out new mortgages should check carefully to see if they can afford them following recent interest rate rises.
The news follows reports suggesting that debt firms have suffered from high street banks’ firm stance on individual voluntary arrangements.
© Adfero Ltd