Mortgage Holiday

lucky_magpie_2 · 26 April 2020 at 11:28PM

I have taken a 3 month mortgage holiday I will have to start paying again on 1st July which means that I will have to start working again by 1st June. I am not receiving a furlough payment as I was on a contract by an agency and I am unable to get in touch with them. Universal Credit would not help pay my mortgage. I know millions of people are in the same position but what happens if we are unable to find work before this date, will the lenders extend this further.

7sefton · 27 April 2020 at 1:39AM

Still unknown I’m afraid. Banks are supposed to show ‘forbearance’ though, meaning they have to look on your situation sympathetically and do all they can to help you. The best advice I can offer is keep trying to find work in the meantime, and if things still look tricky in June then give your lender a call BEFORE the repayments start again to explain your situation and ask for their help. I’d expect either the government to have directed mortgage holiday extensions for people in your situation, or the bank to work with you to reduce your payments by extending the loan period/ going onto interest only, or similar. Either way, there will be solutions available so try not to worry too much - just focus on getting through this period safely whilst looking fo work.