interest only mortgage non earner?

[moonwood]

I potentially could be in the position of being a single sahm and am wondering if anyone knows of the ease/chance of getting my mortgage which is currently capital and interest repayment to an interest only mortgage whilst I am not working and things are tight? any experience/advice gratefully received. and also am looking to see if i claimed income support and tried to make a go of phoenix cards how this would effect the level of support seeing as i have no idea what earnings i will make but guess that they would be small pennies to start with anyway.

I think a good place to start would be with your current lender. They can be quite helpful if you're open and up-front. They may be able to offer some solutions to reduce your payments short-term e.g. extending the term of your mortgage or going onto interest only temporarily.

On benefits and earnings, try this benefits checker as a first step and also talk to the Job Centre staff who would be able to tell you when a hobby becomes a job.

Once you have been on income support for a few months they pay the interest on your mortgage. It's called support for mortgage interest.

Be aware that it is 39 weeks before you will get the interest paid for you on your mortgage.

13 weeks, the rules changed a couple of years ago.

Even if it's 13 weeks, 3 months is a long time to be paying the full capital & interest... long enough to get into arrears and start getting nasty letters. Which is why it's best to contact the lender proactively and reschedule the loan.

I agree, COG, that contacting your lender should be the first thing you do. When I was a SAH Lone parent I was able to change to interest only and take a payment holiday until the SMI kicked in. You can earn up to £20 a week and still claim IS but bear in mind any more than that may affect your benefits. You may also have to register as self employed with HMRC.

Oooh I have been out if the country for three years. Cog is right though best to contact the lender