AAM members visit borrowers in their homes to resolve outstanding arrears issues on behalf of financial institutions in the UK.
The Association of Arrears Mediators (AAM) represents five major Field Agencies (DMS, Excel, NCI, PDP and PSP/Fieldcall). These are responsible for around 92% of all home visits instructed by mortgage lenders in the United Kingdom as part of arrears and possessions processes.
In the third quarter of 2011, AAM members completed 31014 pre-litigation visits. While this represented a 9.7% reduction on the previous quarter, the year to date total reached 102,879.
The figures show 5086 pre-eviction visits were completed, an increase of 20.1% on the previous quarter.
Ray Hugill, the AAM’s independent Chairman, says: “The number of pre-litigation visits surprisingly reduced in Q3 but the pre-eviction numbers increased, perhaps a sign of the deepening arrears problems for those with long-term arrears. With interest rates still well below a 30 year average, no dramatic rise in instructions is anticipated in the final quarter of the year.
However, as lenders review their ongoing forbearance strategies and with the general economy showing little signs of recovery, the importance of Field visits cannot be overstated.”