Emma Harvey of MoneySuperMarket says the extension of mortgage payment holidays is welcome, but the impact of taking one can be difficult to understand.
Price comparison website MoneySuperMarket has responded to the Financial Conduct Authority’s (FCA) decision to extend the availability of mortgage payment holidays to 31 October 2020.
Emma Harvey, mortgages director at MoneySuperMarket, said: “The coronavirus crisis is continuing to have a significant impact on household finances across the country, with nearly two million mortgage customers taking advantage of mortgage holidays so far.
“The FCA’s decision to extend its deadline for applying for a mortgage holiday to 31 October is good news for borrowers who are struggling at this difficult time.
"But the impact of taking a mortgage holiday can be difficult to understand – it’s also a decision that’s not to be taken lightly."
In April, MoneySuperMarket and Podium launched a mortgage payment holiday calculator to help borrowers understand how much their monthly bill would go up after the payment holiday.
The calculator then takes customers directly to their lenders’ mortgage repayment holiday information to begin an application process, should they wish to go ahead.
Harvey added: "We’ve made a mortgage payment holiday calculator freely available on our website so that customers considering this option can gain visibility of the impact a holiday will have on their mortgage repayments in the future.
"To date, the calculator has been used by 50,000 visitors to our site.
“We are also making the calculator free to charities and media organisations that would like to host the calculator on their website.”
