FOR most homeowners, it's not bricks and mortar that keeps the roof over your head- it's the MORTGAGE.

At the moment the situation is chilling. House prices DOWN. Repossessions UP. Incomes DOWN. Redundancies UP.

And while plenty of mortgage rates have dropped, many haven't, leaving MILLIONS worrying about how they will pay every month.

It's no coincidence a bad recession's called a depression. It can feel like a scary grey cloud's descended.

My aim is to help you discover whether you're protected- only then can you structure your finances to guard against the hard times. The three key official systems are . . .

OPTION 1. Benefits to pay your mortgage

IT won't pay all your mortgage, but Support for Mortgage Interest covers interest on the first £200,000 of your home loan.

It is based on a standard interest rate of 6.1%-higher than many mortgages at the moment- so there may be money left to chip away at the actual debt, though consider switching to an interest-only deal.

Payments start 13 WEEKS after claiming, and continue for up to two years if you're struggling (longer for some existing claimants).

Who's eligible? You must have less than £16,000 in savings and be eligible for one of the other main benefits: income support, jobseekers' allowance, employment and support allowance, or pension credit.

Contact: The Benefits Agency as soon as you're eligible (eg if you lose your job).

OPTION 2. Delay paying for two years

THE Prime Minister's flagship Homeowner Mortgage Support Scheme was launched in December. It's due to start in April, but disappointingly information is still short.

It involves switching to an interest-only mortgage and deferring up to 70% of the interest cost (ie you must pay at least 30%). This only postpones, not cancels, payment though-you'll owe interest on the interest. It could be expensive. Defer a £100,000 mortgage at 6% interest for two years, and the extra cost of paying it off over a full 20-year-term is roughly £9,000.

Think of it as a holding pattern, like an aircraft circling waiting to land. If it works, it's a paltry price to keep things going; if not, it's kept a roof over your head for longer.

It may yet be a damp squib as many lenders aren't signing up, though the part state-owned ones such as RBS and LloydsTSB have, along with Barclays and HSBC too.

Who's eligible? Those who've suffered an income plunge. Your mortgage must be less than £400,000 on a home bought BEFORE December 1, 2008, and you must get advice from debt counsellors such as Citizens Advice or National Debtline.

Contact: Call your lender to see if it has signed up.

OPTION 3. Let the government buy part of your house

THE Mortgage Rescue Scheme tries to keep people in their current property. A social landlord buys a chunk or sometimes all of your house to slash your monthly repayments and you then pay it back at affordable rates. The scheme is known as shared equity.

Alternatively, it buys your entire home and rents it back cheaply under the Government mortgage-to-rent scheme.

Who's eligible? Families earning under £60,000 with either young children or somebody pregnant, elderly or disabled in the home. You mustn't be in negative equity.

Contact: Your local council or ask for a debt agency referral.

WHAT ABOUT MORTGAGE INSURANCE?

MORTGAGE payment protection insurance covers your full monthly repayments for up to a year in the event of job loss, illness or accident. Often MPPI is given the hard-sell by over-expensive lenders, yet for some it's good, and gives more cover than any government scheme.

It's cheapest from a specialist insurer such as Paymentcare, Justclick4cover or iProtect. But if you've been told redundancy is possible at your firm it often invalidates cover, so check before signing.

Plus, buy MPPI and you can't claim for government help (though it pays out more anyway).

WHAT IF I DON'T QUALIFY FOR ANY HELP?

TRY my eligibility checker at www.moneysavingexpert.com/mortgagearrears to double check. If not, TALK to your lender as soon as possible. DON'T miss a repayment without calling to explain first.

Lenders should only repossess as a LAST resort, and major lenders have agreed not to before three months of arrears (six months for RBS and Northern Rock). There are options that will help, though all cost MORE in the long-run:

Extend your mortgage term. Stretch from, say, 18 to 23 years to lower monthly repayments.

Request a payment holiday. It affects your credit score but a breather can make all the difference.

Switch to interest-only which will cut costs in the short term.

Speak to a non-profit debt counselling agency for impartial help. If you're already in a repossession situation, NEVER fight it alone-you need legal help. Try Community Legal Advice on 0845 345 4345.

Your questions answered

Q I RECENTLY heard Post Office savings are NOT guaranteed under the £50,000 rule as they are invested in the Bank of Ireland which has gone bust.

Should I cash in my family's £120,000 worth of Premium Bonds now? REHANNA, by email

A YOU'LL be relieved to hear your information is not right. Yet many have emailed making the same assumptions.

First, and most importantly, Premium Bonds are part of National Savings & Investments, which is owned and fully protected by the UK government.

The confusion comes because one place they're sold are at Post Offices, yet it's the totally separate, specifically-named, Post Office Savings products which are part of the Bank of Ireland.

With these, it's true, you have no UK protection, only that of the Irish government.

Yet the Bank of Ireland ISN'T bust: It's had Irish government cash pumped in and is still operating normally.

But there are indeed concerns about the strength of the Irish system. More info at www.moneysavingexpert.com/safesavings .

Q WE paid the deposit for our summer holiday on our credit card and are due to pay the remainder soon.

Do we have to do this on the same card to ensure we're totally covered by Section 75 protection in case the holiday company collapses?

SHERRI, by email

A NO. Section 75 laws mean if you pay for something costing over £100 on a credit card, the card company is jointly liable for the WHOLE amount, even if you only pay a tiny bit on the card.

So you could put 50p on a credit card and buy something for £20,000, and the card firm is liable for the whole thing. You can therefore pay the rest any way you like and still be covered.

However, if you booked through a travel agent, section 75 often DOESN'T apply as third-party payments don't count. It only works if you bought flights and the hotel direct.

QUESTIONS for publication to notw@moneysavingexpert.com

TV Money Guru Martin Lewis is the creator of the Consumer Revenge website www.MoneySavingExpert.comwhich is packed with info on how to get more money in your pocket.

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