What to do if you're struggling to make your mortgage repayments as interest rates rise
By ABC business reporter Stephanie Chalmers
After 12 interest rate rises since last May, home owners who have a mortgage are facing a steep rise in repayments.
Borrowers are feeling the pain to varying degrees — if there are two more rate rises from here, an average borrower with a $750,000 home loan and 25 years left on the loan will be paying more than $1,900 more per month than before the rate hikes began, according to RateCity.
If you call the National Debt Helpline, a financial counsellor like Peter Thompson will provide free assistance. ()
When should you ask for help?
The message from everyone, from banks to financial counsellors, seems to be fairly uniform — get in touch early.
If you are yet to fall behind on your repayments, there will not yet be a mark against your credit score and it may leave you with more flexibility in terms of the options you have available.
