Which statement describes MARP resolutions during a mortgage arrears discussion?

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

Answer: (C)

During mortgage arrears discussions, the aim is to pause immediate enforcement actions long enough to evaluate options and reach a sustainable plan. A moratorium fits this purpose because it provides a temporary standstill on actions like repossession while borrower and lender assess affordability, potential restructures, and alternative arrangements. This pause is conditional on continued engagement and is time-limited to support the negotiation within MARP.

This is not describing bankruptcy, which is a formal insolvency process, nor a debt settlement arrangement or a debt relief notice, which are separate formal mechanisms for unsecured debts or broader debt relief. So the description best matching MARP resolutions during arrears discussions is a moratorium.