It’s important to remember that you aren’t alone in feeling this way, and if you’re wondering where to turn, there are a number of different things you can do to help relieve the burden.
First things first, head to the government’s website to check what benefits and financial support you’re eligible for, as this could be the relief you need in this difficult time. The second thing you want to do is speak to the lender managing your mortgage.
Speak to your lender
If you’re worried about paying for your mortgage for whatever reason, the key piece of advice to take away from this is to speak to your lender. They will be able to offer you tailored options that suit your financial circumstances, ensuring you’re able to meet your monthly payments in a more manageable way. Many of these are covered under the new Mortgage Charter, the outcomes of which we’ve summarised below.
How can I benefit from the Mortgage Charter?
The government has recognised just how confusing the market is for current homeowners, and has acted accordingly by implementing a series of measures to help them through this period. Known as the Mortgage Charter, it’s designed to facilitate open conversations and aid from financial institutions and lenders.
As part of the charter, lenders will offer you a number of options, including:
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Switching to a new deal six months before the end of your fixed rate mortgage
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Reducing your monthly repayments by extending your mortgage term
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Switching to an interest-only mortgage for up to six months, reducing your monthly repayments
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Reassurance that repossessions will not take place within 12 months of the first missed mortgage payment.
It’s also worth noting that, under the Mortgage Charter, getting in touch with your lender won’t have any impact on your credit score - and neither will switching to a new deal.
To check that your mortgage lender has signed up to the Charter, click here.
Stay on top of the news
While there is a lot of information out there, finding a few resources that you trust and checking them every now and then can help you stay on top of what’s happening in the housing industry. While we can’t always act on changes in the market, keeping track of the news means maintaining a well-rounded picture of what’s happening. This makes it easier to plan for what’s to come, prepare you for changes in the market, and keep you informed should the time for you to act.
How can a mortgage adviser help you?
Remember, your mortgage adviser is also here to help you, but there is only so much they will be able to support you with when it comes to addressing concerns about actually meeting your mortgage payments.
However, if you are coming up to the end of your term, or are thinking of remortgaging, an adviser can shop around for you to find the most suitable deal for your circumstances. Our advisers have access to 90+ lenders and more than 12,000 products, so are well placed to help you find a mortgage deal that suits your needs.
We are only a phone call or appointment away, so please don’t hesitate to get in touch with our team for a non-judgemental conversation.
Important information
Your home may be repossessed if you do not keep up repayments on your mortgage.
There may be a fee for mortgage advice. The actual amount you pay will depend on your circumstances. The fee is up to 1% but a typical fee is 0.3% of the amount borrowed.
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