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Martin Lewis confirms payment holidays may affect future credit applications - including mortgages

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dailyrecord.co.uk
dailyrecord.co.ukdailyrecord.co.uk:

New research by MoneySavingExpert.com suggests that taking a payment holiday on a mortgage or other forms of debt could potentially affect someone's future applications to borrow money.

This is despite assurances that people's credit scores would not be affected - as some firms may also use other sources of information about a potential borrower when making lending decisions.

Lenders have been working with the Financial Conduct Authority (FCA) to help people struggling through the Covid-19 crisis by offering payment freezes on credit cards, personal loans, car finance and mortgages of up to three months.

Interest will still build up during a payment holiday, unless the lender says otherwise, and the payments that have been skipped will

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