Pre-action Protocol

Contents

Overview

Since the 6th April 2015 there has been a new pre-action protocol, which sets out the procedures you and your lender must follow before the lender takes any court action.

What you must do

You are expected to keep in touch with your lender, act fairly and reasonably with your lender and take steps to try and negotiate payment of your arrears.


It is important to keep a record and copies of all your communications. If you are required to attend a court hearing you should take your records with you evidence your positive actions and negotiations.

What your lender must do

Under the protocol, your lender must provide you with  information about your legal rights if you miss any payments. In addition they must do the following:

An N123 Mortgage pre-action protocol checklist is available here:

https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/688422/n123-eng.pdf

The legislation is available here:

https://www.justice.gov.uk/courts/procedure-rules/civil/protocol/prot_mha


If you make an offer to repay your mortgage arrears, your mortgage lender must get back to you quickly with an answer. If the offer is refused, they must let you know why it has been refused, in writing, within 10 business days of the offer being made. Your lender should not start any court action against you while you are trying to come to an agreement.


If you are able to negotiate and make an agreement to repay the arrears but don't keep to it, your mortgage lender will start court action. However they should tell you in writing that they plan to do this at least 15 working days’ in advance.

It is essential not to ignore any letters from your lender or their solicitors. You should seek help and advice from a local advice agency or specialist if required.

N123 Mortgage Lender Checklist.pdf