” 250,000 mortgage prisoners are trapped in often costly businesses and the disguise scandal means they are likely to be joined by more ”
Martin Lewis, founder of MoneySavingExpert.com, said: “During the 2007 financial crash, the then government bailed out the banks. But many clients of companies that went under then had their mortgages resold over the years as part of a ‘debt’ book ‘to non-mortgage financial firms – and viewed it only as a financial transaction.
“The nature of these mortgages meant that many people couldn’t do business elsewhere and were now stuck with hull mortgage managers who had no other products. Little was done to help them, there are still an estimated 250,000 of these mortgages in place.” Prisoners whose finances are undermined and their lives are destroyed.
“To help, we have a new mortgage prisoner guide with a step-by-step list of what to try. Unfortunately, it doesn’t fix the problem for everyone, in fact it won’t help the majority, but it does.” worth a try.
“This guide is part of the MSE and my personal campaign on the subject. In parallel and through lobbying, I am currently funding a second tranche of the London School of Economics’ mortgage prisoner research to find solutions that can be presented to the government. “
More mortgage prisoners because of the disguise scandal?
Martin added: “The disguise scandal has created a whole new group of mortgage prisoners who are mostly housed in leasehold apartments.
“You are unable to obtain an EWS1 Safety Certificate, which is required for property moving or, in some cases, for a debt restructuring (check through a broker). This is a scandal that needs to be addressed by the government. However, there is little hope that the recent cabinet reshuffle will see renewed focus. “