The biggest casualties of the global credit crunch are the home owners who are in catastrophic arrears.
With repossessions expected to soar to a 15-year high this year a new term has been coined, “The Year of the Repossessions.”
Many tens of thousands of people simply do not have the money to pay their mortgage and are very much in despair.
And since banks are not known for their philanthropic approach, and are not in the habit of forgiving debt, the debtor needs a solution.
Whilst distressed home should be a priority for banks, a record number of consumers are seeking short-term solace from payday lenders because they are unable to meet their monthly payments.
The short-term loan sector in itself is worth more than £2bn a year. It is thus no surprise that a third of British adults expect to remain in the red ‘indefinitely’.
Rescue My Properties (RMP) is an organisation that was established to counter this endemic.
RMP represent people with large complex debt issues and has helped over 3000 clients in the past 8 years to deal with their property related problems, in dealing with evaluating situations, proposing manageable solutions, negotiating with banks and creditors, planning and effecting insolvency arrangements and bankruptcy in the least damaging way.
Lakhi Singh, Head of Asset Consultancy at RMP said,
“There is no evidence to suggest that people are wilfully defaulting. Circumstances have simply become that dire.
“When people approach us, it’s an incredible weight lifted off their shoulders. They see us as being their saviour.
“Typically, we put a plan of action into place immediately, which in many cases results in debt write-off.”