According to today’s Daily Express only 1 in 5 borrowers are currently taking advantage of historically low interest rates by overpaying on their mortgage. The article does however note that those not overpaying are still using the extra money sensibly, with a reported 38% gradually reducing other debts.
The paper also reports on a new Government scheme launched this month, which is designed to help people suffering from a sudden drop in income. The scheme allows those with less than £400,000 on their mortgage and below £16,000 in savings to defer interest on their mortgage for up to 2 years. This will be welcome news for many, as the Council of Mortgage Lenders estimates that 75,000 people will be repossessed this year.