Mortgage Holiday How Will Future Lenders View This?

AnthonyF81

Hi Guys,
Hope everyone is keeping safe and healthy. 

I have taken a 3 month mortgage holiday for my personal home mortgage but also for a personal loan, again for 3 months.
I understand it does not effect credit scores and been assured of this. However, after talking with friends they think it will go against me with future lenders. 

There reasoning is that although may not effect the score but will be marks of non payment on credit report. Future lenders may view this negatively even if they are not technically meant to. 

Would be great to hear your thoughts. 

Wkmg

To be honest does it really matter? If you can afford to not take a mortgage holiday, then don’t as all it is doing is increasing the amount you will pay back in the long term. If you can’t afford it then you don’t have a choice. Sorry I can’t be more helpful. 

onlyfoolsandparking

Same as @Wkmg really, if you need the payment holiday then you need it although I can see what your really asking and whatever anyone says its all speculation at this time. FWIW my own opinion is this: I've chosen not to take any payment holiday, yes I could use one but I'm not desperate for one. I accept what has been implemented regarding 'no effect' on credit scores but I think there will be a 'negative' effect on people who took payment holidays especially regarding future credit requirements. My reasoning for this and again its only MY opinion is the missed payments although recorded as a 'U' or some other unclassified entry WILL at a later stage be able to be identified AND for the next 6 years by any lender. As a slight aside I still believe all types of credit are going to be a lot harder to get in the future unless your credit history is immaculate, oh and you own 90% of your house,lol      

Thrugelmir

There'll be a general tightening of lending criteria until the dust settles. Short term holidays are fairly inconsequential in the greater scheme of things. The crisis will ultimately expose those that have survived so far on the financial edge month to month.