Hard-up homeowners are being reminded to take advice before selling their home to rent-it-back.

Last year Money Matters Inverclyde and Inverclyde Council's Housing Benefit Office ran a high profile campaign after a number of householders were duped by unscrupulous companies.

Evidence was passed to the Office of Fair Trading (OFT) which is now investigating 20 companies because of false claims they made to householders about being able to stay in their homes indefinitely when in some cases this is only guaranteed for as little as six months.

The UK Government is trying to speed through legislation to protect vulnerable homeowners who are losing thousands of pounds because they are paid much less than their homes are worth and face losing the roof over their head.

For those struggling with debt - it can be tempting to sell and rent back but Christine Reynolds, Senior Money Advice Officer of Money Matters Inverclyde said: "Don't be pushed into making a quick decision you may spend a long time regretting. There are other options apart from selling your home. Local advice service Money Matters Inverclyde have professionally trained Money Advisers who can help you decide the best route for you and your family."

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Ms Reynolds said the service is free, impartial and confidential.

"In the cases we have seen many people did not need to lose their home as their debt could have been managed in a much less drastic way with the intervention of Money Matters Inverclyde."

Tracy Bunton, Principal Housing Benefit Officer, Inverclyde Council, urged those thinking of selling and renting back their home or struggling to pay debts to come to Money Matters Inverclyde to get official advice before taking any decisions. Tracy stresses to those thinking of renting back their properties that there is no guarantee of entitlement to Housing Benefit and that there are strict conditions that previous home owners must meet.

Pitfalls of selling and then renting back your home include: not getting the full value of your property, you are at the mercy of landlords who can increase the rent charge without notice or who may terminate the tenancy and properties are often sold on to other landlords who do not want a sitting tenant.

Also even if you do qualify for Housing Benefit, you are unlikely to get enough to pay your rent.

Nell McFadden, Inverclyde Elderly Forum, warned older people may be targeted because of the equity they have in their property and urged them not to fall for these quick promises.

(GK/JM)