possession orders on the rise

Data released recently by the Ministry of Justice shows that possession order applications have risen nine percent in the first quarter of 2008, compared to the last quarter of 2007.
 
The Government have announced plans to provide organisations such as the Citizens Advice Bureau with more resources to support the estimated 45,000 households that will face repossession this year.

The Council of Mortgage lenders are quick to point out that this figure accounts for only 1 in 300 of the countries 11.8 million mortgages. This is less that half the rate experienced during the early 90s.

Michael Coogan, CML director general, said: "Lenders are committed to keeping the number of repossessions as low as possible, even in more challenging economic conditions.  Encouraging borrowers to take action early, by seeking advice, can make a big difference. Lenders are working hard to ensure that they contact borrowers who may be at risk of seeing their payments go up, to enable them to plan ahead.”

The Council of Mortgage Lenders' members are banks, building societies and other lenders who together undertake around 98% of all residential mortgages lending in the UK. There are 11.8 million mortgages in the UK, with loans worth over £1.2 trillion.

The Ministry of Justice figures show the number of possession orders requested and not the number of repossessions made, those figures will be published at the end of the year.

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