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The Government’s Income Support for Mortgage Interest payments begins this week for those who find themselves in arrears thank to losing their job.

The ISMI scheme will now mean those who have significantly lost earnings can claim benefits after 13 weeks, not 39. The Government is also doubling the size of home loan covered by the scheme to £400,000.

Robert Sinclair, director of the Association of Mortgage Intermediaries, says: "Government action to support homeowners in financial difficulties who may face the prospect of repossession is to be welcomed. This will provide support to a small but important group of people who are vulnerable following job losses, in the current economic climate.”

Anyone who thinks they may have trouble meeting mortgage repayments should either contact the lender direct or the mortgage intermediary they used to arrange the deal. But your mortgage broker is also essential in not only helping you understand your overall options, but also to help you understand any benefits you may be entitled to.

Sinclair adds: "2009 is likely to be a tough year for consumers, homeowners in particular. It is right the Government does all it can to support them. AMI will continue to work with Government to ensure the best possible outcome for homeowners."

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