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Talk to me about mortgage holidays

4 replies

Eeeka · 23/01/2023 14:17

We have been hit by a huge tax bill. It’s pretty unprecedented and will never happen again. We kind of knew it was happening, but it’s been a busy, horrible year and it just didn’t click.

We have arranged a 12 month payment plan with HMRC but it’s still a huge amount of money. We can make it work by a family loan or moving other money around but the latter may lose us £££ in the long term. So we are exploring all options.

I am aware that family friends have used mortgage holidays when they have had a year of expensive childcare costs, or periods where one of them is unemployed. Just paying the mortgage interest will take some of the heat off.

But are there any downsides?

Will we get hit with other penalties down the line like a reduced range of products when remortgage time comes?

interested to hear experiences and anecdotes.

many thanks :)

OP posts:
Heathcote294 · 23/01/2023 14:23

We took a mortified break when I went on maternity leave. No issues further down the line, 13 years on and we've managed to get it cleared. You really just need to speak to your provider but it certainly worked for us.

Notjusta · 23/01/2023 15:23

Following this with interest (no pun intended!).

pinkstripeycat · 23/01/2023 15:25

We took 2 x 4 month mortgage break during lockdowns as we had no income. We knew the extra would be added on to our mortgage.
The new payment was less than before the mortgage break! It saved our bacon and eased the pressure of having no money coming in.

Was an excellent decision for us

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lurchermummy · 23/01/2023 19:35

I believe they really hit your credit record. Might not be a problem if you are not moving but if you need to remortgage or anything it might. A secured loan might be cheaper/less harmful

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