As many eyes are on the failing banks and mortgage lenders in the US there are now companies in the UK which are finding themselves in the same situation with more borrowers beginning to fall behind on their loans as they try to make ends meet with the rising cost of living. Estimates among experts vary on how many high risk mortgages the lenders in Britain are currently carrying. These include not only sub-prime loans but also the very popular self certification mortgage. Of course not all of these loans are at risk of being in default but there is no way of knowing just how many of them are based on false information, which overstated the borrowers ability to pay back the loan.

This concern has the banking industry considering lowering the prime rate as well as talk of ensuring that deposits in the banks are insured so that the funds needed to keep the economy going keep moving to avoid further economic downturns.

For those who are currently in the market for a self cert mortgage they will find it extremely difficult at this time to find a lender willing to work with them as the low is just too high of a risk for the current state of the economy.