FCA announces further proposals to support mortgage borrowers impacted by coronavirus
Regulatory Updates | 02/11/20
The Financial Conduct Authority (FCA) has announced further proposals to support mortgage borrowers impacted by coronavirus in light of the second lockdown recently announced by the UK Government. This will mean that:
• those who have not yet had a payment deferral will be eligible for 2 payment deferrals of up to 6 months in total
• those who currently have an initial payment deferral, will be eligible for another payment deferral of up to 3 months
• those who have resumed repayments after an initial payment deferral will be eligible for another payment deferral of up to 3 months.
Under the FCA’s proposals, borrowers would have until 31 January 2021 to request a payment deferral. A payment deferral under these proposals would not be reported as missed payments on a borrower’s credit file.
The FCA is asking for comment on the proposals by 10am on Thursday 5 November, with the final guidance to be published as soon as possible after the comment period closes.