{"id":532,"date":"2020-04-15T13:30:57","date_gmt":"2020-04-15T13:30:57","guid":{"rendered":"https:\/\/www.shinemortgages.co.uk\/news\/?p=532"},"modified":"2023-08-02T09:22:14","modified_gmt":"2023-08-02T09:22:14","slug":"uk-lenders-will-offer-mortgage-payment-holiday","status":"publish","type":"post","link":"https:\/\/www.shinemortgages.co.uk\/news\/uk-lenders-will-offer-mortgage-payment-holiday\/","title":{"rendered":"UK lenders will offer mortgage payment holiday on 1.2m mortgages"},"content":{"rendered":"

As the mess of Covid -19 has taken the world in its domination the mortgage bearers are now in great difficulty. In response, the lenders<\/a> are offering 1.2 million mortgage payment holidays<\/strong> to their borrowers. The decision is right as well as bad news for the loan holders. <\/span><\/p>\n

Concerns on a mortgage payment holiday <\/b><\/span><\/h2>\n

Two prime concerns rise with the payment holiday that can affect the borrowers.\u00a0 <\/span><\/span><\/p>\n

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  1. Future mortgage borrowing can become difficult for the borrower as the borrower declares that he is financially weak. This makes him less creditworthy in the eyes of the lenders.<\/span><\/li>\n
  2. The borrowers are worried that this may affect their credit rating<\/strong>. <\/span><\/li>\n<\/ol>\n

    What is the justification for the concerns?<\/b><\/span><\/h2>\n

    Well, both the situations do exist, but you should know what the reality is \u2013<\/span><\/p>\n

      \n
    1. If you talk about the issue of difficulty in borrowing mortgage in future, yes this issue exists. The fund seekers with the payment holiday in the past payment history<\/strong> may face the problem in availing funds.<\/span><\/li>\n<\/ol>\n
        \n
      1. If it is about the fear of degrading in credit rating that is not true. It was made clear by the Financial Conduct Authority (FCA) and the lenders.<\/span><\/li>\n<\/ol>\n

        Mortgage broker Private Finance said <\/i><\/b>\u2013 A repayment holiday makes your application prone to rejection for any kind of mortgage. Those who have availed it have to face such consequences. Shine Mortgages<\/a> too agrees on this fact.<\/span><\/p>\n

        The outcome picture<\/b><\/span><\/h2>\n

        The whole mortgage market<\/a> and the borrowers also, are going through a difficult time of contradiction. All know that they did not ask the mortgage payment holiday granted to the borrowers. <\/span><\/p>\n

        The situation leaves people with several questions, and they are<\/b> \u2013<\/span><\/p>\n

        As the payment holiday was not the actual demand of the borrowers. It was a result of the corona lockdown situation, can people avail payment holiday again?<\/span><\/p>\n

        Should FCA do something about the situation? This condition was unpredictable, but the borrowers have to face the consequences. They have lost the next chance to get a mortgage.<\/span><\/p>\n

        What should be the compensation for the lenders against the loss they have to bear?<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"

        As the mess of Covid -19 has taken the world in its domination the mortgage bearers are now in great difficulty. In response, the lenders…<\/p>\n","protected":false},"author":1,"featured_media":533,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[49],"tags":[],"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/www.shinemortgages.co.uk\/news\/wp-json\/wp\/v2\/posts\/532"}],"collection":[{"href":"https:\/\/www.shinemortgages.co.uk\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.shinemortgages.co.uk\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.shinemortgages.co.uk\/news\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.shinemortgages.co.uk\/news\/wp-json\/wp\/v2\/comments?post=532"}],"version-history":[{"count":1,"href":"https:\/\/www.shinemortgages.co.uk\/news\/wp-json\/wp\/v2\/posts\/532\/revisions"}],"predecessor-version":[{"id":534,"href":"https:\/\/www.shinemortgages.co.uk\/news\/wp-json\/wp\/v2\/posts\/532\/revisions\/534"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.shinemortgages.co.uk\/news\/wp-json\/wp\/v2\/media\/533"}],"wp:attachment":[{"href":"https:\/\/www.shinemortgages.co.uk\/news\/wp-json\/wp\/v2\/media?parent=532"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.shinemortgages.co.uk\/news\/wp-json\/wp\/v2\/categories?post=532"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.shinemortgages.co.uk\/news\/wp-json\/wp\/v2\/tags?post=532"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}