Options open to a home owner with mortgage arrears

The decision as to whether the borrower will be able to remain in the home will be determined by the extent to which the mortgage can be made more affordable and the arrears properly controlled.

Borrowers experiencing mortgage payment difficulties have the option to:

• resolve the payment problems and remain in the home - the borrower may do this by  increasing his/her income and negotiating with the lender to cut the costs of the mortgage and pay the arrears back over time

• apply for the debt arrangement scheme

• apply for mortgage rescue, for example the Scottish Government's mortgage to rent or mortgage to shared equity scheme

• minimise the shortfall in payments and sell the home voluntarily

• give the lender voluntary possession (by handing in the keys)

• allow the matter to be settled by the court.