Mortgage Break

A

aidole

Guest
Hi,
I am finding it difficult at the moment to pay my mortgage and was wondering if anyone knows if it is possible to freeze my repayments for a few months.
Thank you
 
If you talk to your bank some banking institutes will freeze your mortgage e.g for a holidays etc but you would need to talk to your bank directly. As all institutes differ
 
Call your lender to discuss your options. They may give a moratorium or they may adjust your repayments to a more manageable amount or increase the term etc. It will depend on your lenders policies. As long as you contact them rather than miss payments you should find they'll do their best to help.
 
casperb said:
If you talk to your bank some banking institutes will freeze your mortgage e.g for a holidays etc but you would need to talk to your bank directly. As all institutes differ
Click to expand...

You shouldn't be thinking about spending money on a holiday if you cant afford your mortgage!
 
Speak to the bank and outline the reasons why you cannot pay e.g. kids back to school etc.
Anecdotally, August and January are the two biggest months for payment breaks so the bank will expect such calls.
Try and pay interest only as opposed to taking a payment break. Payment breaks should be your last option as it capitalises interest.
Also note, that you cannot extend the term unless you have a mortgage protection policy to cover the additional years. Also, if you do extend, your monthly interest amount will not change considerably (and not at all in the first month).
So if you want to pay the least amount possible for a time, interest only is a better option than extending the term.
 
Hi thank you for the replies, i am making an appointment with the loan advisor in my bank for next week.
Thanks again
 
I would just like to mention that if you are on a fixed rate then you can not take a payment break (without a large penalty) until ur fixed term is up..
 
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