Mortgage Payment Break

Debhog

I have a mortgage with Derbyshire after buying my very own piece of heaven in December.

I got a lovely bonus from my company and immediately booked a holiday for myself and two kids only to find out that the bonus has affected my child credits and I now have to pay them back! :-/

The only thing I can think of that will give me a break and set me back on track again is if I can get a break from paying the mortgage, just the one month.

What are the pros and cons of doing this and how likely is it that my lender will let me have one?

Debs

regularsaver1

depends, you'd have to ask Derbyshire if they offer this (how long you have to hold mortage too) and how it works

some companies do not extend your term by the 1 month, so your monthly payment goes up instead

give them a call

cattie

If you check the confirmation documentation from your mortgage offer it should detail there if a payment holiday is an option & the terms under which it is allowed.

As you've only had your mortgage since December you may not qualify, even if the lender offers this option on your mortgage.

Debhog

Just given them a ring. They require a token payment to avoid a nonpayment penalty and then you pay back the underpayment over a maximum of 12 months. There is no interest added.

Thought I would share the info.

Many thanks

Debs

saver_sam

Your mortgage is the most important bill to pay as it provides a roof over the head of your family, and I would find ways to make sure this is paid 1st before anything else, and tell the child tax credit people to wait for their money, they don't normally want it all in one lump sum (i gather from reading other post) so get them to reduce what you are still getting or to pay it back in installments