Coronavirus help and support for our customers

If you take a payment deferral, this means that you wouldn’t make your contractual repayments for an initial period of up to 3 months depending on your individual circumstances.

You may be eligible for a payment deferral or further deferral if you have already taken a deferral.

We will not charge any additional interest, fees or charges during your deferral period so you’ll only repay what you original agreed at the outset of your loan; however, it is important to note that interest will continue to accrue on your account.

Your credit file will not been adversely impacted although there are other ways a lender can tell you have taken a payment deferral which may impact future lending decisions.

Option 1: Repay the deferred payments within your contracted term
One option for repayment is to add the deferred payments from your payment deferral to your balance. This means you will be given an increased payment instalment amount and the cost of the payment holiday will be spread over the remainder of your loan term.

Option 2: Make a lump sum payment
The second option for repayment is to make a lump sum payment, putting your account back in the position it was prior to taking the payment deferral. Allowing you to make sure you have paid the deferred payments back sooner.

Option 3: Increase your payments over a shorter period of time
Another option for repayment is where you can pay more than the minimum contractual payment, catching up on the deferred payments over an agreed of time (i.e. 3-6 months).

Option 4: Extending the term of your mortgage
The final option for repayment is to extend the term of your loan term. This means we will recalculate your loan term to repay the deferred payments including the accrued interest while keeping your repayment amounts around the same as your previous contractual payments.

To ensure that this option is affordable and sustainable we will need to discuss your financial situation, such as your income and outgoings. When extending the term of your loan, if you are not already retired, we would not extend the term into retirement.

Extending your term means the loan runs for longer than initially agreed, and it is the slowest option to repay the amount from the payment deferral. It is also important to note that extending your loan term could impact your credit file.

Please call us on 0161 814 9975, so we can discuss this in more detail with you.

Option 2: I can’t pay anything and need an extended payment deferral.
If your payment deferral is coming to an end and you are unable to afford any kind of payment towards your account, we may be able to offer a further payment deferral or arrange alternative options with you.

Please call us on 0161 814 9975, so we can discuss this in more detail with you.

Contact us on 0161 814 9975 to discuss what options are available to help you.

You may also want to seek free, independent financial advice from moneyhelper.org.uk, StepChange Debt Charity or Citizens Advice.

If you weren’t in arrears prior to the payment deferral, you will not be reported as being in arrears. If you were already in arrears prior to the payment deferral, the arrears amount will not increase. However, it is important to note lenders may consider other information when making future lending decisions.

Once the payment deferral ends credit reporting will return to normal and missed payments on your account may show as arrears on your credit file. This may impact your credit rating.