This is something we have recently sent our clients and thought it would be useful to post here regarding your mortgage:
The good news is that lenders are offering specialist support to clients affected by Coronavirus. However, asking for help early is key.
So, here’s what we know.
Right now, mortgage providers (lenders) are putting measures in place to help clients. In the context of your mortgage, this could be an agreement between yourself and your lender to delay mortgage payments.
Major UK banks have introduced repayment holidays on mortgages. Which means being able to delay payments if you are unable to make them.
What if my lender doesn’t offer a full repayment holiday?
Don’t panic. If your lender can not offer a full mortgage repayment holiday, there may be other ways they can help. Your lender can work with you to help reduce your mortgage payment. This could be by making changes to your product (such as increasing the term) or allowing you to switch to an interest-only product.
In some cases, a lender may be able to offer payment alternatives. For example, in the form of an increased overdraft, if you hold another account with them.
*Remember: mortgage payments are a function of how much you’ve borrowed, the interest rate that you are paying, whether your product is repayment or interest-only and over how many years you will be paying off your loan
What happens now?
If you’re worried about payments, the best thing to do if get in touch with your lender to talk through your options. Your lender will assess what’s happening and provide support tailored to you. Lenders are stressing that that it’s important to get in touch as early as possible.
Our tip: when contacting your lender, make sure you’re able to talk to about your current situation, your finances and have an idea of how much you can afford to pay.
The good news is that lenders are offering specialist support to clients affected by Coronavirus. However, asking for help early is key.
So, here’s what we know.
Right now, mortgage providers (lenders) are putting measures in place to help clients. In the context of your mortgage, this could be an agreement between yourself and your lender to delay mortgage payments.
Major UK banks have introduced repayment holidays on mortgages. Which means being able to delay payments if you are unable to make them.
What if my lender doesn’t offer a full repayment holiday?
Don’t panic. If your lender can not offer a full mortgage repayment holiday, there may be other ways they can help. Your lender can work with you to help reduce your mortgage payment. This could be by making changes to your product (such as increasing the term) or allowing you to switch to an interest-only product.
In some cases, a lender may be able to offer payment alternatives. For example, in the form of an increased overdraft, if you hold another account with them.
*Remember: mortgage payments are a function of how much you’ve borrowed, the interest rate that you are paying, whether your product is repayment or interest-only and over how many years you will be paying off your loan
What happens now?
If you’re worried about payments, the best thing to do if get in touch with your lender to talk through your options. Your lender will assess what’s happening and provide support tailored to you. Lenders are stressing that that it’s important to get in touch as early as possible.
Our tip: when contacting your lender, make sure you’re able to talk to about your current situation, your finances and have an idea of how much you can afford to pay.
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