Payment holiday AP marker

[Deleted User]

MattMattMattUK said:

Deleted_User said:

GeordieGeorge said:

Deleted_User said:

Thrugelmir said:

Deleted_User said:

GeordieGeorge said:

Deleted_User said:

GeordieGeorge said:

Deleted_User said:

MattMattMattUK said:

Deleted_User said:

Jeremy535897 said:

I wonder whether they have treated the refund of the payment as a "new arrangement", despite the fact that they have caused the problem in the first place. You will have to contact them to get them to explain why this has happened, and how they will deal with it.

It shouldnt have as it was taken in error which they themselves admitted, the next day the 99p token payment was also taken for the holiday. They admitted wrongdoing and even compensated me and apprently it was because I paid £30 towards the loan while in a holiday, which according to FCA rules i should be allowed to do.

You should be allowed to, but it does sometimes cause issues, as could well have been the case here.

Deleted_User said:

Im scared other banks will close my accounts or reduce my credit lines. 

It is very unlikely a bank would close an account, if you had a credit card and the bank were reviewing limits at that specific period in time it might have an impact, but it also might not. Some banks (particularly Barclaycard) and reducing credit card credit limits at the moment, but that is an ongoing process.

Deleted_User said:
Im now wondering weather nationwide have breached the loan arrangement in its entirity, the FCA in my opinion should investagate nationwide,

You need to get some perspective, this is a minor administrative issue that will in all likelihood be resolved in a few weeks at most. The FCA will have no interest in investigating a building society (or bank) over a minor administrative error and it is absurd to think they should. Nationwide have not breached the terms of the loan, technically you have by taking a payment holiday, it is just a breach agreed by both parties. 

Deleted_User said:
I should not have to face financial ruin because of their incompetance.

You will not face "financial ruin" and it would be unlikely to have any impact at all.

Deleted_User said:
I took a loan of £6800 a year and a half ago and the balance is now £2500, they should be made to write off the rest as they have broken the rules.

That is absolutely absurd.

Im happy enough to pay to loan after the holiday but I dont believe its "absurd", fact is lenders have a duty of care if they have failed to act with due care in regards to that agreement, then they shouldnt be allowed off the hook, dont think thats unresonable and if the FCA are setting these rules then its not absurd to expect them to step in when "errors" are being made and incompetance is to blame for it ! 

It would only be "absurd" if I didnt keep my end of the bargain and just refused or didnt pay them at all, but I havent !

You’ve a very negative view of a company that has allowed you to take a payment holiday when you couldn’t pay them what you’d agreed to.

That’s your prerogative of course, but you were the one that breached your agreement with them first.

It was the goverment who allowed me, it wasent them being nice, so people are being made to feel guilty for taking one, go away the agreement was not breached, no one exactly asked for covid ! 

Even though im on a holiday im still having to pay interest on that loan, they arent doing me a favour ! 

If they aren’t doing you a favour then just pay your normal amounts in full, stop messing around paying less.

What on Earth were you thinking of, taking a payment holiday if you didn’t need it?

Taking a payment holiday DOES NOT affect someones ability to obtain credit in the future as long as its recorded correctly , 

It will influence a finance company's decision when assessing the application for credit. A payment holiday will at the very least suggest suggest a stretched financial position. Finance companies set their own criteria they are not instructed who to lend to. . 

it seems that some on the MSE forum are laying down the law on their behalf, it indicates nothing unless it was a missed payment or a default.

You have also been on shaming others for taking payment holidays too ! 

You were unable or unwilling to make your contractual payments. That is going to be viewed as a negative, despite your excuses. You are an adult, and need to take responsibility for the decisions that you make as an adult.

No I took a holiday because I needed the extra cash due to extra costs as a result of my disability due to covid, its not allowed to be recorded as such and I think you are well aware of that, I will be informing the moderator of this payment holiday slamming going on around these forums and ive had enough of people on here thinking they know peoples life stories better than the OP, stop judging people ! 

It is not "payment holiday slamming" to point out that a payment holiday is a negative factor on a credit report.

The government agreement with the financial services industry was that Covid payment holidays (rather than just a payment holiday) would not be recorded as a default, or as an agreement to pay. If a bank makes an error in the recording of that then it will be corrected. However the banks and lenders will report accurately to the CRAs, that means that if a loan was going down monthly, then either stopped going down, or started going up again (depending on how/when interest is applied) then it would be obvious that a payment holiday had been taken, even if it was not recorded as a default.

Other lenders, examining the data in a credit file before any future lending would be able to see that the person had taken a payment holiday as there would be no default or agreement to pay recorded, however payments would have stopped/reduced and balances would have stayed the same or risen. As a responsible lender they would use that data to indicate that a borrower was or had recently been in financial difficulty and that it would be unwise to extend further lending to them, additionally lending to that person may breach the responsible lending criteria. Most lenders are also now asking if a potential borrower has taken a payment holiday and it would be fraud to lie about this on an applications, resulting in a CIFAS marker which would be a much bigger issue. Many lenders are also now asking for proof of income and the potential borrower not being on furlough etc. some card companies (most prominently Barclaycard) are reducing people's existing credit limits in line with adjusted risk profiles unless they provided proof of earnings which justifies the facility.

People on here may not know someone's life story, but, just as in the case of a potential future lender that is irrelevant, the financial data will speak for itself. Payment holidays in some cases might not indicate outright poor financial management skills, but it does indicate that one first accumulated debt, had an inadequate safety net and that is what lead them to ultimately need a payment holiday. As an example 11 million people have mortgages, only 2.5 million took a mortgage payment holiday and only 227,000 took a second three month mortgage payment holiday. There were an additional 1.5 million credit card and loan payment holidays taken, although it is unknown how many people this involved as some people had multiple sources of borrowing and took multiple payment holidays, estimates are that the total number of people taking a loan or credit card payment holiday was around 800,000, but no one can be sure. 

Many people who have been absolutely hammered by the Covid related shutdowns have not taken payment holidays, some who were not financially impacted took them regardless. However the banks do not care the specific reason as to why someone was not able to keep up their contractual repayments, only that they either could not, or would not keep up those contractual payments, which indicates financial difficulty, financial mismanagement, or worse. Lenders will make their judgements on future lending accordingly. 

P.S. a CIFAS marker would not be recorded against someone for not declaring a payment holiday, for a CIFAS marker to be registered against someone the bank must be able to prove that any alleged fraud was of criminal standard I.e. something they had hard proof of and would meet the high lawful threshold of "beyond resonable doubt." Lenders are not permitted to apply them as they wish, and CIFAS can take action against lenders for inappropriate use of that system where the alleged wrongdoing would not paas the criminal evidence test. Inconstant applications can be down to human or system error, there would have to be a pattern of deception and it must be obvious, putting a CIFAS marker against someone because of a genuine mistake is not justified. 

As payment holidays are not recorded specifically on credit files, there is no evidence that the person actually was on a payment holiday, and the bank in question must prove the person was in fact on a payment holiday with the other lender for that to happen, not just because they "think" or "assume" that the person in question was, there can be many reasons why a balance did not update other than a payment holiday !

You are fearmongering, as far as im aware no lenders are specifically asking customers if they have specifically taken a payment holiday ! 

MattMattMattUK

Deleted_User said:

MattMattMattUK said:

Deleted_User said:

A covid 19 payment holiday cannot be recorded as negative for the allowed period.

That is unfortunately a misunderstanding of what the guidance from government said. The account should not be reported as in default, or as a agreement to pay during an agreed three month period (either the first or second). The data should however be recorded accurately, which shows outstanding balances and will allow anyone with a reasonable understanding (or the highly complex algorithms which have been programmed to look for it) to recognise a payment holiday from the raw data. Based on that information, future potential lenders will make their decisions accordingly. Covid payment holidays are not impact free, they are just a lot less damaging than a default. 

It has an AP marker even though it shouldnt, thats the problem here, nothing else ! There is no "misunderstanding" in that regard, so I'm struggling to see what the point actually is ! 

The point is that you seem to think that a payment holiday is impact free, it is not.

Deleted_User said:

P.S. a CIFAS marker would not be recorded against someone for not declaring a payment holiday, for a CIFAS marker to be registered against someone the bank must be able to prove that any alleged fraud was of criminal standard I.e. something they had hard proof of and would meet the high lawful threshold of "beyond resonable doubt." Lenders are not permitted to apply them as they wish, and CIFAS can take action against lenders for inappropriate use of that system where the alleged wrongdoing would not paas the criminal evidence test. Inconstant applications can be down to human or system error, there would have to be a pattern of deception and it must be obvious, putting a CIFAS marker against someone because of a genuine mistake is not justified. 

CIFAS do not require members to prove to a criminal standard, if they could prove to a criminal standard the individual would be prosecuted for fraud. Not declaring a payment holiday when one had been taken would be a CIFAS Cat. 7 Application Fraud situation. It would not be an "inconsistent application" to lie about having received a payment holiday. People have and do receive CIFAS markers for what they sometimes believe are "genuine mistakes", if one could demonstrate for instance that they had transposed a digit (eg a salary of £45k not £54k) then they would be unlikely to get a marker, or be able to have one removed, if however the ticked the box saying that they had not taken a payment holiday when they had, that would in all likelihood be deemed "not an accident".

Deleted_User said:

As payment holidays are not recorded specifically on credit files, there is no evidence that the person actually was on a payment holiday, and the bank in question must prove the person was in fact on a payment holiday with the other lender for that to happen, not just because they "think" or "assume" that the person in question was, there can be many reasons why a balance did not update other than a payment holiday !

They are not in a sense that there is no "Payment Holiday" flag that is applied to an account, they are plainly visible in the raw data. There can be many reasons why a balance might not update, but the issue would not be a balance not updating, but a balance updating and either staying flat or rising. 

Deleted_User said:

You are fearmongering, as far as im aware no lenders are specifically asking customers if they have specifically taken a payment holiday ! 

I am not in any way surprised that you are not aware. I am not fearmongering, as I and many others both on this forum, in the press and indeed Martin Lewis himself, payment holidays are not free, they have consequences, both in terms of interest accrued and lenders appetite for future lending. That has been made so clear again and again that it is a wonder that anyone could fail to understand it, unless they were trying to do so deliberately. 

sheramber

A friend had a mortgage agreed to buy the flat she  was renting when the sale went through on the flat ashe was selling.
But when she tried to get it it was refused because she had taken a payment holiday. She had to wait three months before she could apply. for  the money.
That was despite the fact that   the government had said it would have no consequences.

sparklep0ny

Deleted_User said:

MattMattMattUK said:

Deleted_User said:

GeordieGeorge said:

Deleted_User said:

Thrugelmir said:

Deleted_User said:

GeordieGeorge said:

Deleted_User said:

GeordieGeorge said:

Deleted_User said:

MattMattMattUK said:

Deleted_User said:

Jeremy535897 said:

I wonder whether they have treated the refund of the payment as a "new arrangement", despite the fact that they have caused the problem in the first place. You will have to contact them to get them to explain why this has happened, and how they will deal with it.

It shouldnt have as it was taken in error which they themselves admitted, the next day the 99p token payment was also taken for the holiday. They admitted wrongdoing and even compensated me and apprently it was because I paid £30 towards the loan while in a holiday, which according to FCA rules i should be allowed to do.

You should be allowed to, but it does sometimes cause issues, as could well have been the case here.

Deleted_User said:

Im scared other banks will close my accounts or reduce my credit lines. 

It is very unlikely a bank would close an account, if you had a credit card and the bank were reviewing limits at that specific period in time it might have an impact, but it also might not. Some banks (particularly Barclaycard) and reducing credit card credit limits at the moment, but that is an ongoing process.

Deleted_User said:
Im now wondering weather nationwide have breached the loan arrangement in its entirity, the FCA in my opinion should investagate nationwide,

You need to get some perspective, this is a minor administrative issue that will in all likelihood be resolved in a few weeks at most. The FCA will have no interest in investigating a building society (or bank) over a minor administrative error and it is absurd to think they should. Nationwide have not breached the terms of the loan, technically you have by taking a payment holiday, it is just a breach agreed by both parties. 

Deleted_User said:
I should not have to face financial ruin because of their incompetance.

You will not face "financial ruin" and it would be unlikely to have any impact at all.

Deleted_User said:
I took a loan of £6800 a year and a half ago and the balance is now £2500, they should be made to write off the rest as they have broken the rules.

That is absolutely absurd.

Im happy enough to pay to loan after the holiday but I dont believe its "absurd", fact is lenders have a duty of care if they have failed to act with due care in regards to that agreement, then they shouldnt be allowed off the hook, dont think thats unresonable and if the FCA are setting these rules then its not absurd to expect them to step in when "errors" are being made and incompetance is to blame for it ! 

It would only be "absurd" if I didnt keep my end of the bargain and just refused or didnt pay them at all, but I havent !

You’ve a very negative view of a company that has allowed you to take a payment holiday when you couldn’t pay them what you’d agreed to.

That’s your prerogative of course, but you were the one that breached your agreement with them first.

It was the goverment who allowed me, it wasent them being nice, so people are being made to feel guilty for taking one, go away the agreement was not breached, no one exactly asked for covid ! 

Even though im on a holiday im still having to pay interest on that loan, they arent doing me a favour ! 

If they aren’t doing you a favour then just pay your normal amounts in full, stop messing around paying less.

What on Earth were you thinking of, taking a payment holiday if you didn’t need it?

Taking a payment holiday DOES NOT affect someones ability to obtain credit in the future as long as its recorded correctly , 

It will influence a finance company's decision when assessing the application for credit. A payment holiday will at the very least suggest suggest a stretched financial position. Finance companies set their own criteria they are not instructed who to lend to. . 

it seems that some on the MSE forum are laying down the law on their behalf, it indicates nothing unless it was a missed payment or a default.

You have also been on shaming others for taking payment holidays too ! 

You were unable or unwilling to make your contractual payments. That is going to be viewed as a negative, despite your excuses. You are an adult, and need to take responsibility for the decisions that you make as an adult.

No I took a holiday because I needed the extra cash due to extra costs as a result of my disability due to covid, its not allowed to be recorded as such and I think you are well aware of that, I will be informing the moderator of this payment holiday slamming going on around these forums and ive had enough of people on here thinking they know peoples life stories better than the OP, stop judging people ! 

It is not "payment holiday slamming" to point out that a payment holiday is a negative factor on a credit report.

The government agreement with the financial services industry was that Covid payment holidays (rather than just a payment holiday) would not be recorded as a default, or as an agreement to pay. If a bank makes an error in the recording of that then it will be corrected. However the banks and lenders will report accurately to the CRAs, that means that if a loan was going down monthly, then either stopped going down, or started going up again (depending on how/when interest is applied) then it would be obvious that a payment holiday had been taken, even if it was not recorded as a default.

Other lenders, examining the data in a credit file before any future lending would be able to see that the person had taken a payment holiday as there would be no default or agreement to pay recorded, however payments would have stopped/reduced and balances would have stayed the same or risen. As a responsible lender they would use that data to indicate that a borrower was or had recently been in financial difficulty and that it would be unwise to extend further lending to them, additionally lending to that person may breach the responsible lending criteria. Most lenders are also now asking if a potential borrower has taken a payment holiday and it would be fraud to lie about this on an applications, resulting in a CIFAS marker which would be a much bigger issue. Many lenders are also now asking for proof of income and the potential borrower not being on furlough etc. some card companies (most prominently Barclaycard) are reducing people's existing credit limits in line with adjusted risk profiles unless they provided proof of earnings which justifies the facility.

People on here may not know someone's life story, but, just as in the case of a potential future lender that is irrelevant, the financial data will speak for itself. Payment holidays in some cases might not indicate outright poor financial management skills, but it does indicate that one first accumulated debt, had an inadequate safety net and that is what lead them to ultimately need a payment holiday. As an example 11 million people have mortgages, only 2.5 million took a mortgage payment holiday and only 227,000 took a second three month mortgage payment holiday. There were an additional 1.5 million credit card and loan payment holidays taken, although it is unknown how many people this involved as some people had multiple sources of borrowing and took multiple payment holidays, estimates are that the total number of people taking a loan or credit card payment holiday was around 800,000, but no one can be sure. 

Many people who have been absolutely hammered by the Covid related shutdowns have not taken payment holidays, some who were not financially impacted took them regardless. However the banks do not care the specific reason as to why someone was not able to keep up their contractual repayments, only that they either could not, or would not keep up those contractual payments, which indicates financial difficulty, financial mismanagement, or worse. Lenders will make their judgements on future lending accordingly. 

As payment holidays are not recorded specifically on credit files, there is no evidence that the person actually was on a payment holiday, and the bank in question must prove the person was in fact on a payment holiday with the other lender for that to happen, not just because they "think" or "assume" that the person in question was, there can be many reasons why a balance did not update other than a payment holiday !

Banks are free to infer whatever they wish from the data that is put in front of them.  They don't need to prove to anyone, including a potential borrower, that they know something happened.  In fact they don't need to justify their lending decisions at all.

Just as a bank is free to make the assumption that a credit limit decrease is because a lender knows something (negative) that isn't obvious from the credit files (even though it may have been the borrower who chose to reduce their credit limits) a lender is free to infer that a credit balance staying flat or increasing is from payment holiday.  In fact, there isn't really any other way to interpret it.  If the lender is updating the credit file monthly that will also be recorded so you can't even say "well maybe it stayed flat because they didn't report."  A lender will see that they were reporting it.

With all due respect, you seem to be a bit "green" when it comes to how credit file reporting (and CIFAS reporting) works and you're trying to argue with people who have a much better understanding of it. None of what is being told to you is some sort of industry secret either, it's information that is freely available on the internet from very reputable sources if you choose to look for it.

Thrugelmir

Deleted_User said:

Thrugelmir said:

Deleted_User said:

GeordieGeorge said:

Deleted_User said:

GeordieGeorge said:

Deleted_User said:

MattMattMattUK said:

Deleted_User said:

Jeremy535897 said:

I wonder whether they have treated the refund of the payment as a "new arrangement", despite the fact that they have caused the problem in the first place. You will have to contact them to get them to explain why this has happened, and how they will deal with it.

It shouldnt have as it was taken in error which they themselves admitted, the next day the 99p token payment was also taken for the holiday. They admitted wrongdoing and even compensated me and apprently it was because I paid £30 towards the loan while in a holiday, which according to FCA rules i should be allowed to do.

You should be allowed to, but it does sometimes cause issues, as could well have been the case here.

Deleted_User said:

Im scared other banks will close my accounts or reduce my credit lines. 

It is very unlikely a bank would close an account, if you had a credit card and the bank were reviewing limits at that specific period in time it might have an impact, but it also might not. Some banks (particularly Barclaycard) and reducing credit card credit limits at the moment, but that is an ongoing process.

Deleted_User said:
Im now wondering weather nationwide have breached the loan arrangement in its entirity, the FCA in my opinion should investagate nationwide,

You need to get some perspective, this is a minor administrative issue that will in all likelihood be resolved in a few weeks at most. The FCA will have no interest in investigating a building society (or bank) over a minor administrative error and it is absurd to think they should. Nationwide have not breached the terms of the loan, technically you have by taking a payment holiday, it is just a breach agreed by both parties. 

Deleted_User said:
I should not have to face financial ruin because of their incompetance.

You will not face "financial ruin" and it would be unlikely to have any impact at all.

Deleted_User said:
I took a loan of £6800 a year and a half ago and the balance is now £2500, they should be made to write off the rest as they have broken the rules.

That is absolutely absurd.

Im happy enough to pay to loan after the holiday but I dont believe its "absurd", fact is lenders have a duty of care if they have failed to act with due care in regards to that agreement, then they shouldnt be allowed off the hook, dont think thats unresonable and if the FCA are setting these rules then its not absurd to expect them to step in when "errors" are being made and incompetance is to blame for it ! 

It would only be "absurd" if I didnt keep my end of the bargain and just refused or didnt pay them at all, but I havent !

You’ve a very negative view of a company that has allowed you to take a payment holiday when you couldn’t pay them what you’d agreed to.

That’s your prerogative of course, but you were the one that breached your agreement with them first.

It was the goverment who allowed me, it wasent them being nice, so people are being made to feel guilty for taking one, go away the agreement was not breached, no one exactly asked for covid ! 

Even though im on a holiday im still having to pay interest on that loan, they arent doing me a favour ! 

If they aren’t doing you a favour then just pay your normal amounts in full, stop messing around paying less.

What on Earth were you thinking of, taking a payment holiday if you didn’t need it?

Taking a payment holiday DOES NOT affect someones ability to obtain credit in the future as long as its recorded correctly , 

It will influence a finance company's decision when assessing the application for credit. A payment holiday will at the very least suggest suggest a stretched financial position. Finance companies set their own criteria they are not instructed who to lend to. . 

it seems that some on the MSE forum are laying down the law on their behalf, it indicates nothing unless it was a missed payment or a default.

You have also been on shaming others for taking payment holidays too ! 

No one is shaming anybody. Merely pointing out that in taking a payment holiday there may well be consequences in the short term if people seek to apply for credit elsewhere. Some people certainly did misunderstand the consequences and believed that was something for "free" in doing so. 

Tokmon

Deleted_User said:

GeordieGeorge said:

Deleted_User said:

GeordieGeorge said:

Deleted_User said:

Thrugelmir said:

Deleted_User said:

GeordieGeorge said:

Deleted_User said:

GeordieGeorge said:

Deleted_User said:

MattMattMattUK said:

Deleted_User said:

Jeremy535897 said:

I wonder whether they have treated the refund of the payment as a "new arrangement", despite the fact that they have caused the problem in the first place. You will have to contact them to get them to explain why this has happened, and how they will deal with it.

It shouldnt have as it was taken in error which they themselves admitted, the next day the 99p token payment was also taken for the holiday. They admitted wrongdoing and even compensated me and apprently it was because I paid £30 towards the loan while in a holiday, which according to FCA rules i should be allowed to do.

You should be allowed to, but it does sometimes cause issues, as could well have been the case here.

Deleted_User said:

Im scared other banks will close my accounts or reduce my credit lines. 

It is very unlikely a bank would close an account, if you had a credit card and the bank were reviewing limits at that specific period in time it might have an impact, but it also might not. Some banks (particularly Barclaycard) and reducing credit card credit limits at the moment, but that is an ongoing process.

Deleted_User said:
Im now wondering weather nationwide have breached the loan arrangement in its entirity, the FCA in my opinion should investagate nationwide,

You need to get some perspective, this is a minor administrative issue that will in all likelihood be resolved in a few weeks at most. The FCA will have no interest in investigating a building society (or bank) over a minor administrative error and it is absurd to think they should. Nationwide have not breached the terms of the loan, technically you have by taking a payment holiday, it is just a breach agreed by both parties. 

Deleted_User said:
I should not have to face financial ruin because of their incompetance.

You will not face "financial ruin" and it would be unlikely to have any impact at all.

Deleted_User said:
I took a loan of £6800 a year and a half ago and the balance is now £2500, they should be made to write off the rest as they have broken the rules.

That is absolutely absurd.

Im happy enough to pay to loan after the holiday but I dont believe its "absurd", fact is lenders have a duty of care if they have failed to act with due care in regards to that agreement, then they shouldnt be allowed off the hook, dont think thats unresonable and if the FCA are setting these rules then its not absurd to expect them to step in when "errors" are being made and incompetance is to blame for it ! 

It would only be "absurd" if I didnt keep my end of the bargain and just refused or didnt pay them at all, but I havent !

You’ve a very negative view of a company that has allowed you to take a payment holiday when you couldn’t pay them what you’d agreed to.

That’s your prerogative of course, but you were the one that breached your agreement with them first.

It was the goverment who allowed me, it wasent them being nice, so people are being made to feel guilty for taking one, go away the agreement was not breached, no one exactly asked for covid ! 

Even though im on a holiday im still having to pay interest on that loan, they arent doing me a favour ! 

If they aren’t doing you a favour then just pay your normal amounts in full, stop messing around paying less.

What on Earth were you thinking of, taking a payment holiday if you didn’t need it?

Taking a payment holiday DOES NOT affect someones ability to obtain credit in the future as long as its recorded correctly , 

It will influence a finance company's decision when assessing the application for credit. A payment holiday will at the very least suggest suggest a stretched financial position. Finance companies set their own criteria they are not instructed who to lend to. . 

it seems that some on the MSE forum are laying down the law on their behalf, it indicates nothing unless it was a missed payment or a default.

You have also been on shaming others for taking payment holidays too ! 

You were unable or unwilling to make your contractual payments. That is going to be viewed as a negative, despite your excuses. You are an adult, and need to take responsibility for the decisions that you make as an adult.

No I took a holiday because I needed the extra cash due to extra costs as a result of my disability due to covid, its not allowed to be recorded as such and I think you are well aware of that, I will be informing the moderator of this payment holiday slamming going on around these forums and ive had enough of people on here thinking they know peoples life stories better than the OP, stop judging people ! 

I’m not judging you, just pointing out the facts, politely and calmly.
Why did you not use your emergency fund, or sell some investments rather than jumping in to such a serious step as taking a payment holiday?
And where are you getting the idea from that it can’t be recorded?

You clearly are, you are trying to get smart by claiming I should have this marker against me, when you clearly know I shouldnt and Nationwide seems to think I shouldnt either !

A covid 19 payment holiday cannot be recorded as negative for the allowed period.

P. S. Not everyone in society is wealthy enough to have "emergency funds" and "investments" we live on pay to pay ! 

You certainly don't need to be wealthy to have an emergency fund and everyone should have one especially if they are on a low income. Not having an emergency fund is simply a lack of proper budgeting because someone who lives "pay to pay" means they spend every penny when they get paid and don't plan to save anything.