During this period of unprecedented economic upheaval and financial uncertainty, Canada’s largest banks are offering mortgage payment relief to customers by way of deferred mortgage payments.
All customers who are currently in good standing and have been impacted by COVID-19 can apply for mortgage relief from their bank. Customers will answer a few questions to help their banks direct applications appropriately.
COVID-related mortgage deferral is available for an indefinite period and customers do not face a deadline for having to seek relief. They can approach their bank as the need arises.
Customers should understand that this is not mortgage forgiveness. Mortgage deferral means that payments are skipped for a defined period of time, during which interest which would otherwise be part of the deferred payments is added to the outstanding balance of the mortgage. The added interest is incorporated into the monthly payment, either when payments resume at the end of the deferral period or upon renewal at the end of the mortgage’s term.
Banks are encouraging customers to visit their websites for the latest information, rather than calling or visiting a branch.