Speak to lender if you encounter mortgage difficulties, says CML

Date:Wednesday 9th September 2009
Author: Susanna Kavka

The Council of Mortgage Lenders (CML) has lent its support to the government's campaign to stop people getting into trouble with their mortgage repayments.

Michael Coogan, the CML's director general, said that it is just as important for lenders as it is for borrowers that people's houses are not repossessed.

He welcomed the initiative by the government which encourages people to take action to solve repayment problems, rather than ignore them and hope they go away.

"Most customers who are committed to resolving their problems and working with their lender can successfully manage their way through a period of short-term payment difficulty and avoid possession," he said.

Mr Coogan recommended that people speak to their lender as soon as they think they could miss a payment, because an early warning will often lessen then risk of repossession.

An advisory website has been set up by the government - through their online public services arm DirectGov - which offers facts about financial situations and provides options to people who are having trouble repaying their mortgage.