Financial Ombudsman Warns Of Leaving Debt Help Too Late

financial ombudsmanMore and more people are said to be in denial about their financial debts and are failing to seek advice for mortgage repayments. This is the belief of the financial ombudsman who said it had received an overwhelming amount of calls from people who were making unrealistic appeals to lenders  about their debt for too late into their situation.

The financial ombudsman deals with disputes between a customer and the company that is providing them with financial services. Usually, the ombudsman is contacted when customers cannot solve a dispute via the company’s existing customer service team. In the last 12 month, it has received over 13,000 complaints about mortgages and secured loans. 40% of these cases involved someone who was struggling to make repayments on their loans or mortgage.

The chief financial ombudsman, Tony Boorman, said that it is important to enquire about debts and arrears sooner rather than later so you don’t fall into trouble. He said: “Mortgages are often the most significant purchase most of us will make in our lives, so we understand why people might be reluctant to say that they’re struggling to pay for their home. Many of the cases where people face losing their home have been heart-breaking to deal with, but could potentially have been avoided.”

However, some believe that that it is not necessarily related to a rift between customers and their financial providers. It might just be related to a greater awareness of the financial ombudsman. After all, the figures that were published by the Council Of Mortgage Lenders demonstrate that there is currently the lowest level of mortgage arrears in six years.

Mortgage Express used to be one of the most popular of these types of lenders. It focused on a niche market of clients that may have been turned down elsewhere such as self employed people and those with small debts. It is currently shut for new business and only concentrates on assisting existing customers as a result.

However, if you are an existing customer and you believe that you may be struggling to keep up with your mortgage repayments, you can speak to your lender about it. Although it may be difficult, it is better to speak to them sooner rather than later to avoid the situation spiralling out of control. Alternatively, your lender can put you in touch with an organisation who can provide free impartial advice. Call the Mortgage Express contact number.

 

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