Furlough mortgage question and question about mortgage payment holiday and renewal

[Deleted User]

Hi, I was wondering if anyone has been in the same/similar position and might know the answer to a question I have. I am on furlough at the moment, and I expect it will be extended until at least March with the current announcement (I am being paid 80% of my salary). Our mortgage is due to come to the end of it's fixed term next May. I wondered if the fact I am on furlough will have any impact on the application - my pay slips show "furlough 80%".
Another question - we took the mortgage payment holiday for 3 months at the start of the first lockdown, will have that have an impact on the date we are able to renew, as in will it be pushed forward 3 months from May?
Thanks very much.

MattMattMattUK

c_j_mc said:

I wondered if the fact I am on furlough will have any impact on the application - my pay slips show "furlough 80%".

Yes, no one knows what impact until they try, but the view will be that if you have been on furlough that long then our job is not secure. You will have also taken a 20% cut in salary for that period. You should however be able to take a follow on rate relatively easy, rather than having to do a complete reapplication. 

c_j_mc said:

Another question - we took the mortgage payment holiday for 3 months at the start of the first lockdown, will have that have an impact on the date we are able to renew, as in will it be pushed forward 3 months from May?
Thanks very much.

It should not, if anything it would be pushed back three months, but unless that was specifically in the information you were sent I would imagine you deal will end on the same rate. The mortgage holiday will also have a negative impact when you come to remortgage, but again, how much, is currently unknown.

May is seven months away, the way things are currently going that might as well be seven years, things will change, employment and mortgages will change, it is currently very hard to make anything more than a reasonable guess.