The Financial Conduct Authority (FCA) has confirmed that homeowners who are financially affected as a result of coronavirus will be able to extend their mortgage payment holiday for a further three months.
Starting from Thursday 4 June, those homeowners who have previously requested a mortgage payment holiday – and who are coming to the end of the current arrangement – can now request a further extension of three months.
Homeowners who have not previously requested a mortgage payment holiday have until 31 October to do so.
Christopher Woolard, interim chief executive at the FCA, said:
‘’The measures we have confirmed today will mean anyone who needs to can get help from their lender, if they are still struggling to pay their mortgage due to coronavirus. It is important that if a consumer can afford to re-start mortgage payments, it is in their best interests to do so. Customers should talk to their firm about the best option available for them.”
Lenders will continue to support customers who have already had a payment holiday where they need further help. The decision to take a mortgage payment holiday will not have a negative impact on credit files, but lenders may use information from other sources to form part of their future lending decisions relating to mortgage and remortgage applications.
Additionally, the FCA also confirmed the ban on repossessions of homes by lenders will also be extended until 31 October.
If you are considering a mortgage payment holiday you may find our recent article detailing what you need to know about mortgage payment holidays to be useful.
Cooper Associates Mortgages are on hand to assist you, should you have any queries about mortgage payment holidays. We offer fee-free advice and would be delighted to assist anyone who is concerned about their mortgage payments. Should you wish to discuss your situation with one of our mortgage advisers please call 01823 273880 or complete an enquiry form and we will reply to you as soon as possible.