Payment Difficulties

Worried about repaying your mortgage?

Please contact us as soon as you can on 01482 881510
Opening hours: Mon – Fri 09:30 to 16:00 and Sat 09:30 to 11:30 and closed Sun

Life can present unexpected challenges at times. We at Beverley Building Society understand this. This guide will help you through the process when you face financial struggles, whether you are already in arrears or are worried about finding your next mortgage repayment.

For free, confidential, and independent debt advice, the government sponsored MoneyHelper can direct you to a debt adviser straight away by telephone or you can get support online via the Money Helper Website

The sooner you contact us, the easier it can be solved

You are not alone. We will listen, support and try to help without judgment. We just need you to contact us so that we can explore the options available.

We do not want you to lose your home. We will look into your financial situation together and work out the best way forward to suit your circumstances.

We want to help. We can let you know about other sources of help. We can, with your authority speak to a 3rd party, such as a relative if needed. This is useful if you are dealing with health issues including mental health. We can allow breathing space where appropriate. It’s not just about the debt, it’s about the person and helping them get through the situation.

We can help more if we have a full understanding of your circumstances. We may request information about your income, details of your household expenditure and any other debts you may have. We will take into account any circumstances that have led to these difficulties.

Things you can do to help yourself. Be honest with yourself and acknowledge the problem, seek independent free advice, for example, moneyadviceservice .org.uk/moneynavigatortool /, check for insurance policies that might help with payments, check whether you are entitled to state benefits. Keep anyone associated with the mortgage up to date with what is happening. Learn about your options.

We won’t charge you for being in arrears. If our customers are already in arrears or facing payment challenges, we do not wish to make things worse for them. In line with our tariff of charges, we may charge an administrative fee e.g. for unpaid direct debits that you have not warned us about.

We will try to reach a solution with you that is both affordable and sustainable. We take all circumstances into account and reach tailored solutions on a case by case basis with you. We will explain the implications of each approach. We strongly recommend that you seek independent advice such as a debt counsellor, solicitor or financial advisor, before agreeing to any solution. We will give you time to consider any solution that we discuss.

If you ask for a solution that we do not agree to we will explain our reasons for this.

If we have agreed a solution but your circumstances change again you need to contact us so that we can work through things and try to reach another solution.

If, in the unlikely event that we can’t agree a solution we may start court proceedings to repossess your home. This does not mean that we will repossess your home as we will keep trying to solve the problem with you.

WE WANT TO HELP YOU AS MUCH AS WE CAN TO KEEP YOUR HOME. REPOSSESSION IS A LAST RESORT.

Show all Close all

What you can do to help us

Tell us as soon as possible if you are having problems repaying your mortgage or think that you might experience problems shortly.
Seek debt advice if you would like help with managing your finances.
Make sure you keep anyone associated with this mortgage up to date with what is happening.
Keep to any payment plan we agree with you, or tell us immediately if there is a change in your circumstances which may affect the arrangement.
Check whether you can get any state benefits or tax credits which could help to increase your income.
If you have an insurance policy, check whether it would help with your payments.
Tell us if you move to a new address.

You may want to talk to a professional adviser, such as a debt counsellor or a lawyer, before you change your mortgage arrangements. We would strongly advise that you seek independent, free, debt advice.

We will

Contact you as soon as possible to discuss your problem.
Talk to an agency which gives debt advice (for example, Citizens' Advice) if you want us to.
Give you reasonable time to get your mortgage back on track.
Only start proceedings to repossess your home if we cannot solve the problem with you.

We might be able to

Arrange a new payment plan with you.
Change the way you make your payments, or the date you make them.
Allow you to pay back your mortgage over a longer period of time (which would reduce your monthly payments).
Change the type of mortgage.

If we can make one of these arrangements with you, we will explain how it would work and give you time to consider it. If we cannot offer you any of these options, we will tell you why. However we might agree to you remaining in the property in order for you to sell it yourself depending on your circumstances.

Costs and charges

If you are in arrears, we may charge you for our reasonable administrative and legal costs. We will tell you the amount you will have to pay.

If we cannot agree on a solution

We may send a debt counsellor to see you to discuss your financial circumstances and the cost of the visit may be charged to your mortgage account.
We may go to court to start proceedings to repossess your home. If proceedings take place, we strongly recommend that you attend the court and that you seek independent debt advice.
Starting court proceedings does not necessarily mean that we will repossess your home. We will keep trying to solve the problem with you. Possession is a last resort.
Before we repossess your home, we will give you information about getting in touch with your local authority to see if they can find you somewhere else to live.

If we repossess your home

We will sell it for the best price we can reasonably get.
We will give you reasonable time to take your possessions from your home.
We will use the money raised from selling your home to pay your mortgage and any other loans or charges.
If there is any money left over, we will pay it to you.

If selling your home does not raise enough money to pay off the mortgage

If you bought your home with other borrowers, each of you is responsible for all the money borrowed. This is true even if you normally only pay part of the mortgage.
We will contact you within six years of selling your property (five years in Scotland) to arrange for you to pay back what you still owe.
We will take account of your income and outgoings when we arrange a payment plan for this shortfall debt with you. But if we cannot arrange a suitable plan, we may go to court to get our money back. You might have to pay additional court costs.
If a shortfall debt is not paid, it could affect whether you are able to get credit in future.

Other Issues

Some companies may offer you new loans or even invite you to sell your property to them and then lease it back as a way of resolving your short term financial difficulty. Please be careful, as such actions may not be in your long term best interests. We would advise you to seek independent advice before entering into any arrangement of this type.

You may be thinking about handing your keys over to us. If you do this, you will still owe us any outstanding debt, and we would advise you to discuss this option with us before taking such action.