The CML expect repossessions to total 30,000 this year
With warnings that repossessions due to mortgage arrears could rise by 50% next year, thousands more home owners may face court action by their lender to recover debts.
The Council of Mortgage Lenders estimate that 145,000 mortgages will be over 3 months
in arrears by the end of 2007.
This week, Senior County Court Judge Michael Tennant, told Money Box that some borrowers are being forced into repaying their arrears far more quickly than they can afford.
We asked for your comments - a selection of which are below - the debate is now closed.
I have had cause to contact my mortgage lender 3 times in the past year with regard to payments. On every occasion they have been very uncooperative. I requested to change my direct debit day as my pay date had changed to the 31st of the month and this was refused as they did not take direct debits after the 28th of the month. Hardly customer friendly. It took 10 weeks to resolve. Secondly, and more importantly, I requested a mortgage payment holiday well in advance as I knew my job was coming to an end. This was refused as my ex-husband, whose name was still on the mortgage, refused to sign. It took 6 weeks to resolve. On both occasions I could not resolve these issues by telephone but had to write to the complaints dept. Now, I am unable to pay by direct debit as my income comes intermittently and although I can pay on the due date, the lender will not allow me to pay until the following day, thus putting me in arrears! The lender are unbelievably old-fashioned, uncooperative and not customer friendly. I am appalled.
I am 12 months in arrears with my mortgage because I suffered a serious injury and attack. I am unable to walk or work. I have claimed benefits but they are not sufficient. The mortgage (and the arrears) amount to less than 30% of the value of the property. The mortgage has 5 years to run. The mortgage is a repayment mortgage and I have an endowment policy which at it's lowest prediction is set to pay off the mortgage (including the arrears) with a surplus (one of the few). The lender are charging me their highest standard variable rate. They are also charging me £40 per month for being in arrears. I have repeatedly requested that they agree to add the value of the arrears to the mortgage (for the rest of the mortgage term) which would reduce my payments to a manageable level; they have refused. Instead, they demand that I pay £360 pounds per month on top of the amount paid by the Income Support so that the arrears will be repaid in 24 months. At the same time they will be charging me £40 each month (to be added to the outstanding capital) until the arrears are repaid. I cannot afford this. I have advised this but their response is to threaten repossession.
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