With businesses across the UK suffering amid the COVID-19 crisis, many workers have taken a hit to their income. it is therefore understandable that many are worried about paying their mortgage or rent. That's why the government has stepped in with a financial support package to help people remain in their homes.
On 17th March, the government announced that mortgage lenders would be offering three-month mortgage payment holidays to homeowners affected by coronavirus. It should be noted that the measure is a temporary reprieve - interest will still accrue on the loan, while the capital sum outstanding will remain unchanged.
Measures were also introduced to assist renters facing eviction. In the Coronavirus Act 2020, the notice period a landlord must give a tenant before starting eviction proceedings was extended until 30th September 2020. While the measure provides relief to financially struggling tenants, it does not exempt them from paying rent, which could lead to further financial difficulty if not appropriately managed.
Financial advice is key
In times such as these, it is essential to seek professional advice to avoid further damage to your finances. If you have any concerns, please get in touch.
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Your home may be repossessed if you do not keep up repayments on your mortgage
Simmonds Mortgage Services is an appointed representative of Stonebridge Mortgage Solutions Ltd and can source the most appropriate cover from its panel of insurers with a free review of you overall protection and insurance needs. As with all insurance policies, conditions and exclusions will apply.