Property
Can't Afford Mortgage Payment UK — What To Do
Help if you're struggling with mortgage payments UK. Your options, how to talk to your lender, and support available to avoid repossession.
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4 min read
Struggling with mortgage payments is stressful, but there’s help available. Act quickly for the best outcome.
What To Do Right Now
| Priority |
Action |
| 1 |
Contact your lender immediately |
| 2 |
Don’t ignore letters or calls |
| 3 |
Get free debt advice |
| 4 |
Review your budget |
| 5 |
Know your options |
| Reason |
Benefit |
| Shows good faith |
They’ll work with you |
| Required by regulations |
They must try to help |
| More options early |
Before arrears build |
| Stops escalation |
Delays formal action |
Options Your Lender May Offer
Payment Holidays
| Feature |
Details |
| Duration |
Usually 1-3 months |
| When offered |
Temporary difficulties |
| Interest |
Still accrues |
| Impact |
Extends mortgage term |
Reduced Payments
| Option |
Impact |
| Interest-only period |
Lower payments, no capital repaid |
| Reduced payments |
Pay what you can |
| Duration |
Usually temporary |
| Review |
After agreed period |
Term Extension
| Feature |
Details |
| How it works |
Spread payments over longer |
| Example |
15 years left → 25 years |
| Monthly impact |
Payments reduce |
| Total cost |
Pay more interest overall |
Payment Plan
| For Arrears |
Details |
| Spread arrears |
Over time |
| Added to |
Monthly payments |
| Manageable |
Small extra amount |
| Condition |
Stay current too |
Example Solutions
If Temporary Difficulty
| Situation |
Possible Solution |
| Job loss (new one expected) |
Payment holiday 3 months |
| Illness (recovering) |
Reduced payments |
| Unexpected bill |
Extend term to reduce payments |
If Long-Term Difficulty
| Situation |
Possible Solution |
| Permanent income drop |
Interest-only + term extension |
| Can’t afford at all |
Consider selling (avoid repossession) |
| Equity available |
Reduce and restructure |
What Lenders Must Do
Pre-Action Protocol
| Requirement |
Details |
| Contact you |
Try to discuss situation |
| Offer help |
Before taking action |
| Consider proposals |
You put forward |
| Give time |
Seek financial advice |
| Last resort |
Taking court action |
Your Rights
| Right |
Details |
| Fair treatment |
Regulations require it |
| Time |
To seek advice |
| Alternatives |
Must be considered |
| Communication |
Clear information needed |
If You Have Arrears
Arrears Building Up
| Amount Behind |
Situation |
| 1 month |
Early stage — act now |
| 2-3 months |
Urgent — contact lender |
| 3-6 months |
Serious — get advice |
| 6+ months |
Risk of court action |
Clearing Arrears
| Method |
How |
| Lump sum |
If you have savings |
| Monthly extra |
Spread over time |
| Add to mortgage |
Capitalise arrears |
| Help from family |
If available |
Government Support
Support for Mortgage Interest (SMI)
| Feature |
Details |
| What it is |
Loan for interest payments |
| Who qualifies |
On UC/Pension Credit etc |
| Waiting period |
9 months (UC) |
| Amount |
Covers interest, not capital |
| Repayment |
Loan repaid when you sell |
Eligibility for SMI
| Qualify If |
Details |
| On Universal Credit |
9-month wait |
| On Income Support |
After 39 weeks |
| On Pension Credit |
Shorter wait |
| Capital limit |
£16,000 |
SMI Limitations
| Does |
Doesn’t |
| Pay interest |
Pay capital |
| Is a loan |
Is a grant |
| Secured on home |
Free money |
| Standard rate |
May not cover all interest |
Where to Get Help
Free Debt Advice
| Organisation |
Contact |
| StepChange |
stepchange.org |
| Citizens Advice |
citizensadvice.org.uk |
| National Debtline |
nationaldebtline.org |
| Money Helper |
moneyhelper.org.uk |
What Advisers Can Do
| Help With |
Details |
| Budget review |
Find money |
| Negotiate |
With lender |
| Know options |
Full picture |
| Support |
Through process |
| Priority debts |
Know what’s urgent |
Court Process
If It Gets to Court
| Stage |
Timescale |
| Arrears letters |
2-3 months |
| Pre-action protocol |
Required first |
| Court claim |
After protocols |
| Hearing |
4-8 weeks after claim |
| Possession order |
If granted |
| Eviction |
Not immediate |
At Court
| Option |
Outcome |
| Show you can pay |
Judge may give suspended order |
| Reasonable proposal |
May be accepted |
| Time to sell |
Often granted |
| Can’t pay anything |
Possession order likely |
Even After Court Order
| Possibility |
Action |
| Suspended order |
Keep to terms |
| Outright order |
May still negotiate |
| Appeal |
Time limited |
| Pay arrears |
Can sometimes stop |
Selling Your Home
Voluntary Sale Better Than Repossession
| Selling Yourself |
vs Repossession |
| Get market value |
Lender sells quick/cheap |
| Control process |
No control |
| Less stress |
Very stressful |
| Time to plan |
Forced out |
| Credit impact |
Same or better |
If in Negative Equity
| Situation |
Options |
| Owe more than value |
Discuss with lender |
| Shortfall |
May agree payment plan |
| Sale agreement |
Need lender approval |
Protecting Your Home
Budget Review
| Action |
Potential Saving |
| Cancel subscriptions |
£50-200/month |
| Reduce energy |
£50-100/month |
| Cut non-essentials |
Variable |
| Increase income |
Part-time work |
Income Boost
| Option |
Impact |
| Benefits check |
May be entitled |
| Part-time work |
Extra income |
| Lodger |
Rental income |
| Family help |
Temporary support |
Summary
| Priority |
Action |
| 1 |
Contact lender today |
| 2 |
Get free debt advice |
| 3 |
Review budget immediately |
| 4 |
Don’t ignore correspondence |
| 5 |
Know your rights |
Key Messages
| Remember |
|
| Contact lender first |
They must help |
| Early action |
More options |
| Free advice available |
Use it |
| Repossession takes months |
Time to act |
| Selling better |
Than repossession |
Where to Start
| Step |
Contact |
| Your lender |
Phone them |
| Free advice |
StepChange: 0800 138 1111 |
| Information |
Money Helper |
| Don’t |
Bury head in sand |