Customers who still require a payment break urged to contact their lender as soon as possible as European Banking Authority sets June 30th deadline for issuing of payment breaks
Banking & Payments Federation Ireland (BPFI) and their members have today published a new Guide on Payment Breaks as latest figures show that 140,000 payment breaks have been issued, with close to 80,000 of them for mortgages. The latest COVID-19 payment break figures show that over 140,000 payment breaks have been provided to mortgage, personal and SME customers, including 78,000 mortgage payment breaks and 35,800 SME loan breaks.
Speaking about the latest figures Brian Hayes, Chief Executive, BPFI said: “With the initial three-month payment breaks issued in mid-March lenders are now undertaking a significant process of engagement with those who have availed of a break and those customers are now being contacted about their options once the current payment break ends. These include the availability of a payment break extension of up to an additional three-month period for those that continue to be directly impacted by the fallout from the COVID-19 pandemic.”
Important advice on EBA June 30th deadline on issuing of payment breaks
He said: “Today we have published an extensive Guide to the COVID-19 Payment Break to help those who have an existing break and want to know what options are open to them as they reach the end of their initial three-month break. It is also provides important advice for those who may need a payment break but have not yet taken one”.
“Significantly for those who have been directly impacted by COVID-19 and who have not yet sought a payment break but feel they may have difficulty managing their repayments, we are urging these customers to contact their lender as early as possible in June to ensure they can avail of a break. A deadline of 30th June has been set by the European Banking Authority (EBA) for lenders to process and grant COVID-19 related payment breaks and therefore it is essential that customers apply for a payment break as soon as possible if they feel they need one.”
Payment break extension
Brian Hayes said: “The BPFI guide covers a range of vital information for those who have an existing payment break, including the option of getting a payment break extension. It details the different repayment options for borrowers, including the provision of term extensions on mortgages. We readily acknowledge the very positive engagement with the Central Bank of Ireland on all these matters for our customers.
The new guide also provides important advice for those borrowers who believe their financial challenges may be longer term in nature and the gives clear guidance on the next steps to take. Our key message to customers is to engage with their lender as soon as possible, this is the first and most important thing they can do. Our members have well established support systems and dedicated teams in place so the earlier customers discuss their concerns with their lender, the sooner the lender can understand their circumstances and work through the most appropriate solution for them.”
Notes: Banking & Payments Federation Ireland (BPFI) represents the banking, payments and fintech sector in Ireland. Together with its affiliates, the Federation of International Banks in Ireland and the Fintech & Payments Association of Ireland, BPFI has some 100 member institutions and associates, including licensed domestic and foreign banks and institutions operating in the financial marketplace here.
Contact: Jillian Heffernan, Head of Communications, 087 9016880 or firstname.lastname@example.org