COVID-19 Payment Holiday Expiry
Where you are able, returning to your previous payment arrangement, as soon as can you afford to do so, is in your best interests as it will reduce your interest cost over the remaining term of your loan.
Where you are not yet ready and need some longer term support, we can help. It is important that you understand how those options will impact your mortgage and we have outlined that information below.
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Ready to return to full payments
We will be in contact with you over the coming weeks to discuss your options. Your mortgage will automatically return to the previous agreement. Your repayment details will change so we will send you a letter confirming your new repayment amount details such as the amount and the start date your repayments will begin. Your monthly repayment date will remain the same as before. The terms and conditions of your mortgage will be the same.
If you were paying by direct debit these payments will automatically restart unless you cancelled your direct debit.
If you cancelled your direct debit during your Payment Holiday you will need to set it up again and make sure there is enough money in the account, to avoid missing any payments. If you don't pay by direct debit, please make sure that your mortgage payment arrives on time.
You can catch up on the Payment Holiday amount and make a lump sum payment either now or through the course of your mortgage if you are in a position to do so.
Alternatively you can make a partial lump sum payment with the residual to be paid over the lifetime of the mortgage.
If you are on a fixed rate mortgage, you will not incur any fees for making this lump sum payment.Talk to us on 0345 600 5925 or request a callback. A member of our mortgage team will be in contact with you within three working days to process your request. Lines are open Monday-Friday 9.00am-5.00pm (excluding Bank holidays).
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I want to extend the term of my mortgage
If you availed of a Payment Holiday of up to three months and are in a position to return to full repayments, you can apply for a term extension to your mortgage of up to three months.
If you availed of a Payment Holiday of up to six months and are in a position to return to full repayments, you can apply for a six month term extension to your mortgage of up to six months.A term extension will lower your monthly payments when your Payment Holiday ends but you will end up paying more interest over the extended mortgage term.
If you want the extension of your term to take place before your next payment date, please contact us at least seven working days before that date.
You can catch up on the Payment Holiday amount and make a lump sum payment either now or through the course of your mortgage if you are in a position to do so.
Alternatively you can make a partial lump sum payment with the residual to be paid over the lifetime of the mortgage.
If you are on a fixed rate mortgage, you will not incur any fees for making this lump sum payment.Talk to us on 0345 600 5925 or request a callback. A member of our mortgage team will be in contact with you within three working days to process your request. Lines are open Monday-Friday 9.00am-5.00pm (excluding Bank holidays)
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Worried about returning to full payments.
If you’re worried about the impact from COVID-19 on your income and finances, please get in touch. (If our advisers are busy you can request a call back at a time that suits you via our callback form. A member of our mortgage team will be in contact with you within three working days). We have a range of options that may help to minimise any financial stress and anxiety.
Visit Worried about payments or phone us on 0345 600 5925. A member of our team will be in contact with you within three working days. Lines are open 9am-5pm Monday-Friday, excluding bank holidays. (Call charges may vary, please refer to your service provider.)
Practical information is also available through a number of free and confidential services, you’ll find these listed on our Extra Support Page of Money Advice Services
Alternatively, you can also visit the FCA’s dedicated ‘dealing with financial difficulties during the coronavirus pandemic’ webpage
Frequently Asked Questions
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My six month Payment Holiday is due to expire, can I apply for a third Payment Holiday?
If you have already had two COVID-19 related Payment Holidays you cannot have another one.
If you expect that you will have a more long term loss of income as a result of COVID-19, and you will be unable to make your repayments, please go to Worried about Payments phone us on 0345 600 5925. A member of our team will be in contact with you within three working days. Lines are open 9am-5pm Monday-Friday, excluding bank holidays. (Call charges may vary, please refer to your service provider.)
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Can I deposit a lump sum amount to catch up on my Payment Holiday amount?
You can catch up on the Payment Holiday amount and make a lump sum payment either now or through the course of your mortgage if you are in a position to do so. If you are on a fixed rate mortgage, you will not incur any fees for making this lump sum payment.
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I want to extend my mortgage term, do I need to review my mortgage protection life cover policy?
It is your responsibility to carry out a full review of any mortgage protection life cover to ensure appropriate cover is in place. If your term extension is approved and you decide not to put alternative mortgage protection life cover in place, any shortfall in life cover upon death may result in there not being enough cover to pay the mortgage and your estate becoming liable for repayment of the mortgage. You should get independent financial advice regarding your life assurance cover.
If you adjust your mortgage protection policy for a longer term, your mortgage protection provider may ask for additional health screenings and an increase in premiums.
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Has my credit rating been impacted by my Payment Holiday?
External credit reports have not updated with any Payment Holiday details for the duration of the Payment Holiday.
Normal credit reporting will resume at the end of any Payment Holiday and customers offered any further form of support as forbearance will have their credit files reflect this
As the COVID-19 situation evolves we will keep these FAQs updated.
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