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Payment Breaks

At Norton, we’re giving you the choice.

What is a mortgage payment deferral?

If you think you'll struggle to make your monthly mortgage payments because of coronavirus, we can help by offering our customers a 3-month payment deferral.

A mortgage payment deferral is a break from paying your mortgage. It won’t affect your credit rating, so there’s one less thing to worry about.

Is a mortgage payment deferral the right option for me?

It’s important to remember that a mortgage deferral is a temporary break from your mortgage payments, to help you through these uncertain times.

There are a few things to consider before applying for a mortgage payment deferral, to make sure it’s right for your situation:

What impact will a payment deferral have on my future monthly payments?

At the end of the payment break you can contact us should you wish to pay off the deferred payments earlier and we will discuss your options in any review calls we have with you. Your options will be as follows

  1. Option 1 - to extend the term of the mortgage by the time of the payment deferral i.e. 3 months. This will leave the payments the same however you will pay more interest as the payments will carry on after the original term end date
  2. Option 2 - is that we recalculate the outstanding interest and payments to increase your current monthly payments in order to finish the loan on the due end date. This means your regular payment will increase throughout the remaining term however the amount of interest you pay will not increase. There will be some additional interest but this interest won’t increase once the payments have been recalculated.
  3. Option 3 – is that you can arrange to pay off the deferred payments sooner or all at once if affordable. This will mean your monthly repayments will remain the same and you will save interest as the term will not be extended

What happens after I apply?

Once the payment deferral has been applied to your account, we’ll write to you confirming when your payment deferral will start.

Where we can, we’ll start your payment deferral from your next payment. However, if your next payment is due in the next few days, your payment deferral may start the following month.

We'll aim to get back to you and confirm within 5-7 working days from when you submit your payment deferral application.
You do not need to cancel your Direct Debit. Keeping it set up makes restarting payments much easier after your payment deferral.

Please bear with us and avoid calling in to check on progress. Rest assured we have your application and you’ll hear from us soon.

If you would like more information regarding payment breaks please read the information from the Financial Conduct Authority below:

Read more here: https://www.fca.org.uk/consumers/mortgages-coronavirus-consumers

Ready to apply?

If you are having trouble making your repayments and would like to apply for a mortgage payment deferral or discuss other options that may be available please contact us on 01709 321655, we are here to help.

Other questions you might have

When will my payments restart?

We’ll send a letter to you before your payments are due to restart confirming the start date and the amount of your payment.

What if I have been furloughed?

If you have been furloughed then we would expect repayments to restart once your furloughed payment comes through.

Do I need to cancel my direct debit?

No, please leave this in place so we can restart your payments easily at the end of your payment deferral.

Will you require any proof that my finances have been impacted by coronavirus?

No, you won’t need to provide anything. By contacting us you’re confirming that your finances have been impacted by coronavirus.

If I’ve previously been making overpayments, what will happen when my payment restarts?

When your payment restarts, we’ll only collect your contractual payment.

If you’d like to continue making overpayments, you’ll need to contact us to discuss your requirements.

Can payment deferral's be extended?

At this time, our coronavirus payment deferral can be offered for a maximum of 3 months.

We’ll continue to monitor the situation and help our customers as best we can.

Can I still apply if I’m already behind on my mortgage payments?

Yes, don’t worry, you can still apply.

Your arrears balance won’t increase during the payment deferral but you’ll need to think about how to repay the arrears at the end of your payment deferral.

Do the 3 months have to be taken consecutively?

Yes, you’ll need to take all 3 months together.

I’ve taken out a payment deferral but no longer need it. Can I cancel?

That’s no problem. Please contact our collections team on 01709 321655 to cancel your payment deferral.

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