Three-month mortgage payment break for Kilkenny local authority tenants
Kilkenny residents who benefit from the local authority’s home loan borrower’s scheme may now apply for a mortgage payment break of up to three months on their home loan if their circumstances have changed adversely due to the coronavirus emergency.
The news was announced this week by Kilkenny County Council. It applies to local authority home renters who have experienced a reduction (or anticipate suffering a reduction) in their income due to the Covid 19 emergency.
The scheme is being set up to assist people who are unable to make repayments on their home loan.
Cathaoirleach of Kilkenny County Council, Cllr. Peter ‘Chap’ Cleere commented: “I welcome this announcement by the Government during this very difficult time when people are losing their jobs. I would urge any borrower facing difficulty to contact their local authority immediately and fill out the necessary forms in order to avail of the mortgage break.”
A mortgage payment break means that the borrower will make no mortgage payments for up to three months. Additional interest will not accrue to the borrowers account during the period of the payment break ensuring that no increased cost will arise.
The monthly repayment following the break will increase to facilitate the repayment of the loan over the remainder of the existing term of the loan. This facility applies to all local authority home loan products.