Paying in arrears means paying for goods or services after it’s been provided, as opposed to paying in advance. This payment arrangement can be intentional or unintentional, resulting from an inability to pay on time or an error.

Prevention is better than cure and mortgage arrears are no exception. Here are some steps you can take to avoid falling behind on your mortgage payments:

• Create a realistic budget: Keep track of your income and expenses to ensure that your mortgage payments fit within your means.
• Avoid lifestyle creep: Avoid increasing your spending habits as your income rises. Stick to your budget and keep your expenses in check.
• Build an emergency fund: It's essential to have a financial cushion that can help you weather unexpected expenses and avoid dipping into your mortgage funds. Take a look at our guide to building an emergency fund for more information.
• Seek help early: If you anticipate financial difficulties, don't wait for them to escalate. Seek guidance from your lender or financial advisors as soon as possible.

If you're already in mortgage arrears, don't panic. Prompt action is key to resolving the situation. Here are a few steps you can take:

• Contact your lender immediately: Open communication with your lender is crucial. They can provide options and support to help you manage your arrears.
• Negotiate a repayment plan: If you're struggling to make full payments, discuss with your lender a manageable repayment plan. They may be willing to extend the repayment period or reduce monthly instalments.
• Explore hardship options: If your arrears are due to extenuating circumstances, your lender may consider hardship options, such as a temporary payment holiday or mortgage forbearance.

If you’re struggling to pay your mortgage or have already fallen behind on your payments, there are steps you can take to prevent losing your home. The first thing you should do is speak to your lender. 

Although lenders will send you a letter if you miss a payment, you shouldn't wait until this happens. The sooner you speak to your lender, the sooner you can find a solution to avoid falling into arrears. This could include an interest-only mortgage or a mortgage holiday.

If you are a Furness customer, you can check out our repayment support page for more information.

The only way to clear any arrears on your mortgage is to pay off the debt. However, there are some steps you can take to make the repayments more manageable.

For instance, you could opt for an interest-only mortgage temporarily until your finances are in better shape. Another option is to take a 'repayment holiday', which essentially means taking a break from your mortgage payments for a short period. Bear in mind, taking a payment holiday may result in you paying more on your mortgage overall as you’ll still accrue interest.

To further support customers who may be struggling to pay their mortgage repayments, we’ve joined the Mortgage Charter. This was designed to provide borrowers with the support and reassurance they need during difficult financial times. Under the Charter, homeowners are encouraged to contact their mortgage lender for help if they have concerns about their repayments.

Falling behind on mortgage payments can have a significant impact on your credit score, potentially causing negative marks on your credit report that can last up to six years. The severity of the arrears and your subsequent credit history will determine the duration of their impact on your credit score.

It's important to stay on top of your mortgage payments to avoid the negative consequences of mortgage arrears.

In general, missing three consecutive payments is often the trigger point at which lenders start taking action, but the timeframe may vary. Technically, lenders have the right to take action from the beginning, but many prefer to view repossession as a last resort.

It’s crucial to communicate with your mortgage lender as soon as possible if you can’t afford your mortgage payments. Failure to pay your mortgage on time can result in a number of consequences, some of which are short-term but significant and therefore may have long-term implications.

• Legal action from your lender: If you fail to address arrears, your lender may initiate legal proceedings, such as possession proceedings, to recover the outstanding amount.
• Fees and charges: Late payment fees and charges can accumulate, adding to your financial burden.
• Damaged credit score: Negative marks on your credit report can hinder your ability to obtain loans or credit cards in the future.

The long-term consequences of not paying your mortgage can have a dire effect on your future. This can cause serious financial complications and can even make it difficult to secure adequate housing.

• Loss of your home: If legal proceedings are successful, you may lose your home through foreclosure.
• Difficulty finding rental accommodation: Landlords often scrutinise tenant's credit histories, making it challenging to secure rental properties with poor credit.
• Impact on future financial stability: Mortgage arrears can make it difficult to secure loans for essential purchases, such as a car or a future mortgage.

Yes, you can sell your home to pay back the amount you owe, but you need to consider if it's the best option for you.

This may not be suitable if your home is worth less than what you owe to the lender; if you'll have to rent a home with higher monthly payments; or if you're considering an insolvency solution like bankruptcy. Plus, if you sell the house for significantly below market value, the official receiver overseeing your bankruptcy may investigate the sale.