Principality Building Society is helping vulnerable mortgage borrowers in arrears get back on track during the pandemic by pledging it won’t repossess homes across its business until 30 June 2021.
The Welsh society has helped thousands of customers with mortgage payment holidays since the start of the pandemic.
And it has committed to continue to offer tailored support to members who need it, including payment deferrals for an agreed period of time.
This advice also applies to its second charge loans business Nemo. Where it continues to be in the best interests of members to repossess their property, Principality and Nemo will continue to work with them.
The announcement comes after the Financial Conduct Authority (FCA) announced plans to extend the so-called Mortgage Holiday scheme – where those struggling with their mortgage due to Covid could defer repayments – to the end of January 2021.
Now Principality is calling on its members who are struggling to pay their mortgages to work closely with them to help them through any financial problems so they can help them stay in their homes.
The Society is also making it clear that it is still in the best interests of members who can afford to meet their mortgage payments, to do so.
Julie-Ann Haines, CEO at Principality, said: “As a mutual, member-owned organisation we want to help people stay in their homes for as long as possible. Many people are facing financial difficulties right now and we will do all we can to help members who need it.
“This is a tough time and there is likely to be great uncertainty for some of our members. Some people might be worried about what to do next if their mortgage payment holiday has come to an end.
“Halting repossessions until July next year will give some members who are in arrears the support needed to get them back on track.
“It is important we look at the bigger picture and support our members at a very difficult time. People are worried about their health, concerns about reduced incomes, or lost their job but the household bills remain the same. We want our members who are having problems to feel secure and will encourage them to be open with us in discussing their concerns. We’ll make sure that there is the flexibility to help them to reach the best solutions based on their individual circumstances.”
If a member or customer needs immediate support, or if their mortgage payment is due within five days, Principality wants them to contact them on 0330 333 4020 (Principality) and 0800 612 9982 (Nemo loans).
