Credit Rating/Possessions Register

An individual who has their home repossessed will usually have their repossession case registered by their mortgage lender. Although this will not necessarily prevent them from taking out a mortgage in the future, it will certainly make the task much more difficult as lenders take any outstanding mortgage debt into consideration when looking at mortgage applicants.

The Possessions Register was established in 1991 by the Council of Mortgage Lenders (CML) in conjunction with the two major UK credit reference agencies, Experian and Equifax.

The register was primarily set up and organised to prevent mortgage fraud - cases where a borrower who has already fallen into arrears on a first mortgage applies for an additional mortgage without informing the lender of their situation - over commitment and loss.

The mortgage lender will provide the specific information held on the Register directly to the credit reference agencies where it will remain for a period of six years from the date of possession. Details are then automatically removed from the register after this period.