Last updated: 04 June 2020
On 22 May 2020 the Financial Conduct Authority (FCA) announced its intention for lenders to extend payment holidays beyond the original 3 month period to 6 months for customers who have been affected by COVID-19 ensuring the additional payment holiday is the right option for their circumstances.
For customers who are wanting to extend their payment holidays we are currently working on a solution that we will have live shortly.
If you need to take a short break from paying your mortgage because you feel you have been affected by the Coronavirus in any way, you can complete the form linked below and we’ll do the rest.
Buy-to-Let, Short Term Lending, Commercial Investment
T: 0345 848 0223
Second Charge Mortgages
T: 0345 650 6287
How it works
Before you get started
If you’re going to struggle to make your monthly mortgage payments a mortgage payment holiday may be the right option for you. The mortgage payment holiday will not impact your credit file and can last between one and three months.
Mortgage payment holidays are available to mortgage customers who may be impacted by coronavirus and are also available to buy-to-let landlords whose tenants are affected.
You can apply for a mortgage payment holiday if:
Where possible we will start your mortgage payment holiday from your next monthly payment. However, if your next payment is due in the next few days, your payment holiday may start the following month. Please do not cancel your direct debit but if the payment is likely to fail please call us to discuss.
We’ve received a large number of requests for mortgage payment holidays and as a result applications are taking longer to process than expected. Some confirmation letters have been delayed as result but please bear with us.
Yes, if you take a mortgage payment holiday, we’ll add your monthly payments to your mortgage balance.
This means that your mortgage balance will increase and the amount of interest you pay will increase for the remaining term of your mortgage. Your monthly payment then increases to reflect this after the payment holiday has ended.
Following the mortgage payment holiday we will add these payments onto your remaining mortgage. As a result, your mortgage balance will increase and your monthly payment will be recalculated over your remaining mortgage term.
Your monthly payment and the amount of interest you pay will increase for the remaining term of your mortgage. However, there are options available to minimise this. We’ll send you more information about these in your reminder letter at the end of the payment holiday.
To make things a little easier, we've waived any arrears fees during this period.
For extra peace of mind, we won't seek possession of any properties during this period.
Some valuations are proceeding electronically but others may need to be delayed. If you have any questions about your valuation, please speak to your mortgage broker or contact us.
We’d like to reassure you that all our product transfer requests are being reviewed and processed as normal. If you have any questions about your transfer request, please speak to your mortgage broker or contact us.
Yes, you can apply for a new product if your existing deal ends within the next three months.
We will not be able to offer further lending if a payment holiday has been utilised until we have received three monthly payments following the end of the payment holiday period.
If you need to take a short break from paying your mortgage because you feel you have been affected by the Coronavirus in any way, you can complete the form below and we’ll do the rest.
For your safety, please do not send security details such as passwords by email.
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