If you are able to maintain your mortgage payments, you should continue to do so. However, if you have been financially impacted by COVID19 and this is impacting your ability to meet your monthly mortgage payment meaning that you require emergency assistance, then you are able to request a payment holiday up to a maximum of 3 months as long as you are currently up to date with your mortgage repayments without any impact on your credit file. If you are currently in arrears, please e-mail us at CommercialLendingRelationshipTeam@ybs.co.uk, and we will call you back to discuss alternative solutions.
If you choose to take a payment holiday you need to be aware that the interest usually charged within your monthly payments will be added to the balance of the mortgage. Your account will be re-calculated at the end of the instalment break and written confirmation will be provided. The payment will be calculated at that time using your higher balance and spread throughout the remaining term. It is very likely your monthly payments will increase.
If you have elements of your mortgage account on interest only you need to be aware that these balances will increase to cover the amount of accrued interest that has been added due to the missed payments.
For the interest only elements of your mortgage the recalculated monthly payments will continue to only pay off the interest and will not reduce your increased outstanding balance. It is important, therefore, to check regularly that your savings plan and other investment plan that you may have in place is on track to repay this mortgage at the end of its term.
By requesting a payment holiday, you are confirming:
If your mortgage is a buy to let and we agree a payment holiday with you because your tenant is unable to pay the rent then the benefit of the payment holiday should be passed onto the tenant.
Your payment holiday will be agreed in writing subject to approval. If you still require assistance with your mortgage once the payment holiday ends, please email us at CommercialLendingRelationshipTeam@ybs.co.uk and we will call you back to discuss this with you.
Although Payment Holidays can help in the short term, if you have a repayment mortgage at the time of the payment holiday the interest will continue to be added to your mortgage and the missed payments will need to be made up over the remainder of the mortgage term, meaning that your contractual monthly payment will increase.
If you have made over payments to your mortgage that have not been processed as a capital repayment it is expected that over payments are utilised before a payment holiday will be agreed.
You may be eligible to apply for a Payment Holiday if:
Although we try to help as many customers as possible, there will be some cases where a payment holiday may not be available to you.
Please note that if your next payment is imminent, within the next 7 days, we may not be able to process your request until after this payment has been collected.
If you think you would be eligible and would like to apply for a Payment Holiday, complete the:
We will aim to respond to your request within 7 working days but please bear with us as we are experiencing high volumes.
Commercial mortgages offered by YBS Commercial Mortgages are not regulated by the Financial Conduct Authority.
YBS Commercial Mortgages is a trading name of Yorkshire Building Society. Yorkshire Building Society is a member of the Building Societies Association and is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority. Yorkshire Building Society is entered in the Financial Services Register and its registration number is 106085. Head Office: Yorkshire House, Yorkshire Drive, Bradford BD5 8LJ.
References to 'YBS Group' or 'Yorkshire Group' refer to Yorkshire Building Society, the trading names under which it operates (Chelsea Building Society, the Chelsea, Norwich & Peterborough Building Society, N&P and Egg) and its subsidiary companies.
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