Buying guide
What happens if I can’t pay my mortgage?
Struggling to pay your bills? You have options. Here's a list of 11 things to do if you can’t pay your mortgage.
AI summary
Struggling with mortgage repayments? The most important step is to contact your lender immediately to discuss your options.
Your bank can offer temporary relief through solutions like switching to interest-only payments, taking a repayment holiday, or restructuring your loan. You can also apply for financial hardship assistance. Other avenues include checking insurance policies or considering a Kiwisaver hardship withdrawal. Acting quickly is crucial to avoid a potential mortgagee sale, which lenders prefer to prevent.
11 things to try if you can’t pay your mortgage
1. Take a close look at your finances
2. Get a little help
3. Talk to your lender right away
Your lender will suggest options to help reduce your repayments.
4. Request financial hardship assistance
5. Reduce your repayments
6. Switch to interest only
7. Use funds in your home loan
8. Restructure your loan
9. Try a repayment holiday or loan payment deferral
10. Check your insurance
If you're struggling to pay your mortgage there is help available.
11. Consider a Kiwisaver hardship withdrawal
What if I still can’t make repayments on my mortgage?
Stay calm and seek help
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