Homeowners have just one week left to apply for mortgage payment holiday

Homeowners who are looking for a deferred mortgage payment should note they have just one week left to apply.

The deadline for the scheme, which has been designed to offer financial breathing space for many property owners during the coronavirus pandemic, is Wednesday, March 31.

Mortgage payment holidays can last up to a maximum of six months.

This means if you've already had a holiday that only lasted for three months, you may be able to get a further three-month deferral.

However, if you have already reached the six-month limit and are still struggling to pay the money for your mortgage, speak with your lender as they should be able to offer you tailored support.

All mortgage payment holidays are currently scheduled to end on Saturday July 31, 2021 .

UK Finance, which is the the industry's trade association, says 2.75 million deferrals were given until the end of 2020, with a peak of 1.8 million in place in June 2020.

By the end of February 2021, just over 100,000 mortgage payment deferrals were still in place.

If you need more information about the different options available to you, visit your lender's website.

According to Wales Online, Charles Roe, director of mortgages at UK Finance, said: “The current mortgage payment deferral scheme will come to an end on July 31, and final applications should be made by March 31.

“It will always be in the long-term interest of borrowers to resume making payments if they are able to do so, but for anyone who is still struggling financially, ongoing support will be available.

“Customers who have already benefited from a full six-month payment deferral, but are continuing to experience financial difficulty, should contact their lender early to discuss available ongoing support options.”

Like what you see? Then fill your boots…

Want to bring a little glamour to your life every day with all the most exciting real-life stories, fashion and even sex tips HOT off the press?

Well, we've got you covered with our great new Hot Topics newsletter – it'll drop straight into your inbox around 7pm and you can unsubscribe whenever you like.

And signing up now means you'll get a front row seat for our great new series inside the lives of the next generation of Daily Star Page 3 girls.

You can sign up here – you won't regret it…

For the longer term, Halifax says some homeowners may want to consider making overpayments to get their balance back on track.

The lender said that if people are struggling with their outgoings, they could also consider reducing the size of monthly payments by extending their mortgage term.

Don't simply cancel your payments without agreeing with your lender first, as this would count as a missed payment, not a holiday.

Those who are granted a payment holiday still owe the money and interest will normally still accrue.

Source: Read Full Article