Rent and mortgage arrears
Your home comes first. If you are behind, acting early may give you more choices. Here is where you could start.
What housing arrears are
Rent and mortgage arrears are priority debts, because falling behind can put your home at risk. That’s why they usually come before debts like cards and loans.
Rules differ for renters and homeowners and across the UK, and housing law has been changing, so check the current rules for your home.
What can happen
Repossession or eviction is normally a last resort and involves legal steps, so there’s usually time to act.
For renters
A landlord usually has to follow set legal steps and get a court order before you can be made to leave. Rent arrears may be one reason they can give.
For homeowners
Lenders are expected to treat borrowers fairly and look at other options before trying to take possession of your home. Charges and interest may still be added to the arrears.
Court action
If the arrears carry on, the landlord or lender may apply to court. A hearing gives you the chance to explain your situation.
Effect on credit
Missed payments can be recorded on your credit file, which may make it harder to rent or borrow later.
What you can do now
Talk to your landlord or lender early
Explain what has happened and what you can afford. Many prefer an agreed plan to a long dispute, though they don’t have to agree.
Check what help you could claim
You may be able to get housing support through benefits or a council hardship fund, depending on your circumstances.
Keep paying what you can
Keep paying your rent or mortgage, even if you can’t clear the arrears yet, and put it ahead of other debts.
Open every letter and go to any hearing
Court papers have dates on them. If you miss a hearing, decisions can be made without you.
Ask about your mortgage options
A lender may consider a temporary change, such as a longer term. Ask what they could offer and what it would cost over time.
When to get help
Because your home is involved, get advice as soon as you’re behind, and don’t wait if you have a notice from a landlord or court papers.
Signs it may be time to talk to someone
- You’ve been given a notice to leave or court papers.
- You’re more than one payment behind.
- You’re being asked to agree a plan you can’t afford.
- You’re not sure of your rights as a tenant or homeowner.
Free, impartial advice is available from MoneyHelper, StepChange and National Debtline. MoneyHelper
General information, not advice. Rules can differ in Scotland and Northern Ireland.
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