Government support for you
During these difficult times the Government is offering 2 main sources of support to homeowners. Read on to see which one may benefit you.
Support for Mortgage Interest (SMI)
How can SMI help me?
If you qualify the Government can help you to pay the interest on the first £200,000 of your mortgage.
How do I qualify?
If you are receiving one of the following benefits you may be eligible to receive help 13 weeks after you claim.
- income support
- income-based jobseeker’s allowance
- income-related employment and support allowance
- pension credit
You should find out if you are entitled to one of these benefits by visiting the entitled to website.
If successful your mortgage interest will be paid at the level of the Bank of England’s published Average Mortgage Rate and sent straight to your mortgage company e.g Northern Rock (Asset Management). This means that the amount you receive could change monthly as the Bank of England’s published Average Mortgage Rates rise and fall.
For further details on SMI please visit the jobcentre plus website
A provider of free debt solutions and advice.
Consumer Credit Counselling Service
A registered charity whose purpose is to assist people who are in financial difficulty.
A national telephone helpline for people with debt problems in England, Wales and Scotland.
If you are worried you cannot pay your mortgage, Shelter will advise you on your rights and options and tell you about what help is available.
Citizens Advice Bureaux (England & Wales)
Citizens Advice Scotland
Help to resolve legal, money and other problems by providing free information and advice.
Mortgage Rescue Scheme (MRS)
How can MRS help me?
If you are eligible, a local housing association could either buy your property and rent it back to you at a discount or provide an equity loan to pay off some of your mortgage to make your current payments lower. Either way MRS enables you to stay in your home.
How can I qualify?
MRS is only available if you have first tried everything possible to resolve your payment problems by working with Northern Rock. If Northern Rock is unable to help you resolve your payment problems your local council could then review your eligibility for MRS. Part of this review will ensure that you have received independent money advice to assess your full financial circumstances. To receive such advice free of charge you can contact one of the agencies below.
A provider of free debt solutions and advice.
Consumer Credit Counselling Service
A registered charity whose purpose is to assist people who are in financial difficulty.
A national telephone helpline for people with debt problems in England, Wales and Scotland.
If you are worried you cannot pay your mortgage, Shelter will advise you on your rights and options and tell you about what help is available.
Citizens Advice Bureaux (England & Wales)
Citizens Advice Scotland
Help to resolve legal, money and other problems by providing free information and advice.
You may be eligible for the scheme if someone in your household is in priority need. This will be the case if, for example, you:
- have a dependent child
- are pregnant
- are elderly
- are disabled
- are considered to be vulnerable for other special reasons.
If you are classed as a priority need your local council will then check your entitlement to support.
You will not be entitled to help if:
- you have a second home
- your household has an annual gross income above £60,000
- your mortgage balance is more than 120% of the value of your property
- your property value is higher than your local councils regional cap
If you would like to learn more about MRS please visit the Directgov website and contact your local council to begin your application. Remember MRS is only available as a last resort, Northern Rock has many other ways to help you which can be discussed with our friendly staff on 0845 609 9837*.
* Calls are charged at your service providers prevailing rate & may be monitored and recorded.