Money Problem: ‘My husband is freelance and in hospital – how can I make sure we don’t lose our home?’

Published: 12 August. The English Chronicle Desk

Facing a sudden medical crisis is challenging enough, but when it strikes the primary earner of a household who works freelance, financial worries quickly compound the stress. A reader recently reached out with concerns about how to protect their home while their husband remains in hospital for an uncertain period.

Firstly, it is crucial to remain calm. Mortgage lenders typically prefer to avoid repossession proceedings if the financial difficulty is temporary. The key is to communicate early and openly with your mortgage provider.

If you have income protection insurance, check if it covers mortgage repayments during illness. If not, speak directly to your lender as soon as possible to explore options such as extending your mortgage term, switching to interest-only payments, or requesting a temporary payment holiday. While these options have benefits and drawbacks — a mortgage holiday, for example, will still accumulate interest — lenders are now bound by the Mortgage Charter to tailor support to those facing hardship.

For freelance workers, statutory sick pay is not available, but Employment Support Allowance may be claimed, provided you can supply medical evidence and meet national insurance contribution requirements. There may also be eligibility for Personal Independence Payment or Universal Credit, depending on income and circumstances.

Beyond mortgage concerns, it is wise to contact utility companies early to discuss payment plans or support schemes. Additionally, charities such as Citizens Advice and Turn2us offer personalized guidance to navigate benefits and financial relief.

Avoid rushing into debt counselling services that might pressure you toward bankruptcy or other serious measures unless your situation becomes critical.

While the uncertainty is daunting, knowing your options and seeking help promptly can ease the burden and protect your home during this difficult time. We wish a speedy recovery to all those affected.