Bank of England released figures highlighted that the £24bn mortgage paid by homeowners last year is much more than that have been paid in any other single year since 1970, out of which £7bn has been paid only in the last three months.

Money deposited by the home buyers is included in the figures released by the bank.

An extra £328bn has been borrowed by the homeowners during July 1998 to March 2008 against the increasing value of their homes to buy cars and spent lavish holidays. This is also known as housing equity withdrawal.

Now the reversal trend has started as the homeowners are trying to reduce their debts, the lenders are asking for higher deposits.

Borrowers are taking the advantage of lesser interest rate situation by paying more of their debts.

Howard Archer, Chief UK and European economist at IHS Global Insight said, "Extremely low savings rates have made it much more attractive for many people to use any spare funds that they have to reduce their mortgages."

March Moneyfacts figures revealed that the availability of home loans has increased at all loan-to-value levels.

The defaulters are increasing and the total number of default cases over the period of three months has increased to 14.3%.