Second charge repossessions fall by a third

Repossessions for second charge mortgages are down 33% for the first three months of the year compared to the same time last year.

Figures from the Finance and Leasing Association show that there were 261 second charge repossessions in Q1, against 392 for Q1 2009.

Data from the Council of Mortgage Lenders published today shows that the number of first charge mortgages for Q1 is 9,800.

Fiona Hoyle, head of consumer finance at the FLA, says: “Second charge lenders are doing all they can to help customers in financial difficulties and this is reflected in the significant fall in the number of repossessions.

“But while the recession may be over, many borrowers are still struggling with repayments.

“2010 may prove to be a difficult year for many which is why lenders are committed to ensure that repossession is a last resort.”