Free Debt Advice and Immediate Protections
The moment you think you may miss a mortgage payment, contact a free debt advice service. StepChange (0800 138 1111 or stepchange.org) offers free, confidential debt advice and can help you create a repayment plan. National Debtline (0808 808 4000) provides specialist money guidance. Citizens Advice can help you understand your rights and what your lender must do before seeking possession. All three are free, regulated, and impartial.
Your mortgage lender must follow the FCA's Mortgage Conduct of Business (MCOB) rules before applying to court. They must consider all reasonable alternatives to repossession, including payment arrangements, extending your mortgage term, or switching to interest-only temporarily. If they have not done this, they may be in breach of the pre-action protocol for possession claims, which a court will take seriously.
If court proceedings have already started, do not ignore the paperwork. You can attend the hearing and ask the court for a suspended possession order — this allows you to stay in your home provided you keep to an agreed repayment schedule. You can also apply to adjourn proceedings using form N244 if your circumstances have recently changed and you need more time. A free housing adviser can help you prepare your case.
Mortgage Rescue Schemes and Other Alternatives
Some local councils and housing associations run mortgage rescue schemes for homeowners at risk of repossession. These vary by area but can involve the council or a housing association buying a share of your property (shared equity) or buying it outright and allowing you to remain as a tenant. They are not available everywhere, but your local council housing department can advise on what exists in your area.
If you are employed and facing a temporary income drop, the Support for Mortgage Interest (SMI) scheme allows eligible benefit claimants to apply for a government loan to cover mortgage interest. It is not a grant — it is repayable when the property is sold — but it can pause the accumulation of arrears while your finances recover.
A bridging loan is another short-term option that can be arranged quickly to clear arrears and stop a repossession, giving you time to sell, remortgage, or refinance at lower cost. Bridging loans are expensive (typically 0.75–1.5% per month) and should only be used where a clear exit route exists within twelve months.
