Thinking of deferring payments due to corona virus

James2201

I need some advice as am unable to get a clear answer and have tried calling but seems very busy. Me and my wife are going to be impacted due to Corona virus, I am still able to work but will need to take some time unpaid due to childcare as will she. I am thinking of either having a mortgage holiday or deferring my personal loan. I do not want to do both. But I am unsure if it will have a big negative impact on my credit rating in the future and also if I was to defer which would be advisable mortgage or loan? They are of a smiliar amount. 

It would help us out a lot but at ths same time I dont want it to have a negative impact on us in the future. If anyone has any experience of knowledge I would really appreciate your advice.

Thrugelmir

Credit history can be repaired in the future. Don't worry about the impact on your file. There's going to be very many people in the same boat.
Rather than deferring the personal loan entirely. See if the lender will allow reduced payments. 
Save the mortgage holiday for when you actually need it. There's no indication yet as to how long this crisis will last. Go through your budget and reduce/cut out any outgoings you can. 

James2201

Thank you, I think I will contact Natwest and see what they can do. Even if they can just freeze interest charges on my overdraft aswell that will help. Yeah I know my credit rating can be repaired just want to avoid damaging it if I can help it 

tonyhender

The loan should be deferred because with a mortgages holiday you still have to pay after 3 months plus interests . Where as if the loan is unsecured it harder to recover . It's better to pay mortgage.

xlnc99

There will be no effect on your credit file when the mortgage is deffered. They will not mark is as a late payment

James2201

Hi sorry for the delays been a hectic few days. I was weighing up what I would, however we found out today it looks like my wife is going to be made redundant due to all of this. Which financially will make us even tighter. I still want to pay the mortgage, but I am going to call Natwest and see if they can help me at all without damaging my credit file too much