Scottish homeowners have desperately sought help after repossession evictions went up 341%.
The mortgage crisis is driving demand for online advice, Citizens Advice Scotland (CAS) warned today.
This saw advice for those who are homeless, or at risk of homelessness, attract its highest ever numbers in May 2023 - up by 30% from May 2022.
Meanwhile people searching for help concerning a lender trying to repossess a home went up by 103% since May 2022, and reached its highest-ever point in May 2023.
It comes after the Bank of England increased interest rates to 5% this week, the highest rate in 15 years and the 13th rate rise in a row since December 2021.
Figures released last week found the average two-year fixed mortgage was now above 6%.
This has left many struggling, including a former NHS nurse living with a brain injury.
She had sought help from an East of Scotland Citizen Advice Bureau after her monthly mortgage payments increased from £400 to £707.
The woman had to quit her job due to illness triggered by the brain injury, resulting in her relying on Universal Credit, Personal Independence Payments, and an occupational pension as her sources of income.
During the consultation, the client was informed about alternative options, such as Mortgage To Rent or Mortgage To Shared Equity.
Selling the property, repaying the mortgage, loan, and arrears, and seeking alternative accommodation was also suggested.
However, any surplus exceeding £16,000 from the property sale might impact her benefit entitlement.
After careful consideration, the client determined that a successful application for Support for Mortgage Interest would be her best option to manage repayments and improve her financial situation.
Citizens Advice Scotland social justice spokesperson David Hilferty said: “The cost-of-living crisis has seen the Bank of England hike interest rates to try and cool the economy – and that has led to lots of people on variable rate mortgages facing higher monthly payments, meanwhile lots of people with fixed rate deals that will expire soon are understandably concerned about how much more they could pay and trying to budget for different payments.”
“On that basis we are seeing a surge in demand for our online mortgage calculator, as well as other aspects of housing advice. Pages offering advice to people facing homelessness, repossession actions from their lenders, or eviction from their home once it has been repossessed have all seen big increases.”
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