If you’re struggling to keep up with your monthly home loan, you’re not alone. Many homeowners across the UK and the US find themselves falling behind. Whether it’s due to job loss, unexpected medical bills, or the rising cost of living, help with mortgage arrears is available — and you’re taking the right step by looking for solutions.
In this guide, we’ll walk you through practical options, expert-backed advice, and real-world support programs to help you regain control of your finances and stay in your home.
🔎 What Are Mortgage Arrears?
Mortgage arrears occur when you miss one or more monthly mortgage payments. This means you owe money to your lender and are considered delinquent on your mortgage. The longer this goes on, the more serious the situation becomes — potentially leading to home repossession (UK) or foreclosure (US).
Common Reasons for Falling into Arrears
Sudden job loss or reduced income
Medical emergencies or health issues
Divorce or separation
Unexpected large expenses
Poor budgeting or high-interest debt
Rising living costs and inflation
No matter the reason, it’s crucial to act quickly. Fortunately, there are mortgage arrears solutions designed to help.
🛠️ Mortgage Arrears Solutions: What You Can Do Right Now
1. Contact Your Lender Immediately
Your first move should always be to talk to your lender. Lenders prefer helping you find a solution over taking your home. Many offer mortgage hardship assistance programs tailored to temporary setbacks.
Pro Tip: Keep communication open. Ignoring calls or letters will only worsen the situation.
2. Explore a Loan Modification
Loan modification allows you to change the terms of your mortgage to make payments more manageable.
Typical adjustments include:
Lowering the interest rate
Extending the loan term
Adding arrears to the loan balance
This is ideal if your income has been permanently reduced but you can still afford partial payments.
3. Apply for a Forbearance Agreement
A forbearance agreement is when your lender allows you to pause or reduce payments temporarily.
Perfect for:
Short-term financial hardships
Recovery periods (e.g., after illness or job loss)
But be aware: You’ll need to catch up on missed payments after the forbearance ends.
4. Use a Mortgage Rescue Scheme (UK Only)
The Mortgage Rescue Scheme in the UK can help low-income households at risk of repossession.
Options include:
Government buying part or all of your home and renting it back to you
Converting your mortgage into a shared ownership
While limited, it’s worth checking with local councils or housing associations.
5. Seek Free Mortgage Arrears Advice
There are free debt counseling services that offer confidential advice and help you negotiate with lenders.
Top UK Options:
StepChange Debt Charity
Citizens Advice Bureau
National Debtline
Top US Options:
HUD-approved housing counselors
National Foundation for Credit Counseling (NFCC)
They’ll assist with budgeting, paperwork, and long-term repayment strategies.
6. Consider Mortgage Relief Programs
Depending on your region and financial hardship, you might qualify for mortgage relief programs or housing assistance programs.
In the US:
Homeowner Assistance Fund (HAF)
Making Home Affordable (MHA)
Hardest Hit Fund (HHF)
In the UK:
Support for Mortgage Interest (SMI)
Local Housing Allowance
These can cover missed payments, reduce your debt burden, or give temporary financial support.
7. Create a Budget and Cut Non-Essentials
Sometimes the best solution is to adjust your lifestyle. A practical budgeting plan can make room for mortgage payments without needing external help.
Try this:
Track every expense for 30 days
Cancel unused subscriptions
Reduce discretionary spending
Focus on mortgage over unsecured debt
🚫 How to Stop House Repossession or Foreclosure
Once you’re in arrears, repossession (UK) or foreclosure (US) becomes a real threat. But you can still stop it — if you act early.
Legal Protections and Help
UK Homeowners:
Lenders must follow Mortgage Conduct of Business rules (MCOB)
Courts will often give time to resolve the arrears
US Homeowners:
Foreclosure prevention laws vary by state
The Consumer Financial Protection Bureau (CFPB) offers protection during COVID-related delays
Don’t wait for legal notices — explore all late mortgage payment help options in advance.
💡 Real-Life Example: Sarah’s Story (UK)
Sarah, a single mother from Manchester, lost her job during the pandemic. Within three months, she had missed multiple mortgage payments. Fearing home repossession, she called StepChange for free mortgage arrears advice. With their help, she secured a Support for Mortgage Interest loan, entered into a temporary forbearance, and avoided court proceedings.
She’s now employed again and has resumed her regular payments — proving that timely action and support make all the difference.
📌 Tips for Managing Mortgage Arrears Long-Term
Set up automatic payments to avoid missing due dates
Build an emergency fund for future setbacks
Revisit your budget every 3–6 months
Refinance if interest rates drop
Avoid payday loans or high-interest borrowing as a quick fix
🙋 Frequently Asked Questions (FAQs)
1. What should I do if I miss a mortgage payment?
Contact your lender immediately. Most lenders offer late mortgage payment help or temporary relief options.
2. Can I get help to pay mortgage arrears without losing my home?
Yes. Programs like loan modification, forbearance agreements, and mortgage hardship programs are designed to help you catch up without repossession or foreclosure.
3. Are there government mortgage hardship programs available?
Absolutely. Both the US and UK have mortgage relief programs such as HAF (US) or SMI (UK) that assist with mortgage arrears.
4. How can I stop house repossession?
By acting early. Contact your lender, explore repossession prevention options, and speak with a debt counselor to develop a repayment plan.
5. Where can I get free mortgage arrears advice?
In the UK, contact StepChange or Citizens Advice. In the US, use HUD-certified housing counselors or organizations like NFCC.
6. What is the difference between loan modification and forbearance?
Loan modification permanently changes your loan terms
Forbearance temporarily pauses or reduces payments
7. What happens if I ignore mortgage arrears?
You risk repossession (UK) or foreclosure (US). Ignoring the issue can also damage your credit score and reduce your chances of getting financial help.
🏁 Final Thoughts: There Is Help with Mortgage Arrears
Struggling with mortgage payments is stressful, but you don’t have to go through it alone. Whether you’re behind on one payment or facing repossession, there are real mortgage arrears solutions — from government relief programs to free advice services — that can get you back on track.
👉 Don’t wait. Get the help with mortgage arrears you deserve, protect your home, and rebuild your financial future one step at a time.
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