Repossessions up 3% but slowing
The number of repossessions rose by almost three per cent in the third quarter of this year, new figures have shown.
The Financial Services Authority (FSA) published its mortgage lending data yesterday. In it were figures showing that, while the number of new arrears cases fell by ten per cent, repossessions continued to rise.
The pace of the increase, however, appears to be slowing.
Encouragingly, the average person suffering with mortgage debt managed to pay off eight per cent more of what they owed than they had been able to in the previous quarter.
Debt management firm EuroDebt predicts that mortgage arrears'>mortgage arrears will rise again if interest rates are brought up before the end of 2010.
They say that around one third of homeowners starting a Debt Management Plan'>Debt Management Plan with them have early stage arrears on secured borrowing.