Which of the following is a possible MARP resolution option?

• A. Debt Settlement Arrangement.
• B. Bankruptcy.
• C. Moratorium.
• D. Debt Relief Notice.

Answer: (C)

A moratorium is a temporary pause in mortgage payments offered within the Mortgage Arrears Resolution Process. It gives the borrower some breathing room to stabilize finances while the lender assesses options, with the goal of preventing default and avoiding more drastic steps. This option is specifically designed to resolve arrears without immediately moving toward repossession or insolvency, making it a central MARP tool for short-term relief and reworking the loan.

The other options don’t fit MARP as typical resolution steps. A debt settlement arrangement is a broader debt restructuring tool, usually focused on unsecured debts or different regimes, not the mortgage arrears pathway. Bankruptcy is a formal insolvency process that ends housing protection options and is not a MARP resolution. A debt relief notice covers unsecured debts and doesn’t address secured mortgage debt. Because of that, the moratorium stands out as the practical MARP option for temporarily suspending payments while a sustainable plan is worked out.