Loan repayment relief impact credit file

Discussion in 'Loans & Mortgage Brokers' started by flosed, 23rd Mar, 2020.

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  1. flosed

    flosed Well-Known Member

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    We know banks provide repayment reliefe. (Not repayment holiday, but delayed interest capitalized)

    I wonder will applier's credit score impacted by this? Apra said those should not be treated as arrears. But need be reported specifically.

    So in theory, this will get some notes in your credit file. But not impact your score I guess?
     
  2. Terry_w

    Terry_w Lawyer, Tax Adviser and Mortgage broker in Sydney Business Plus Member

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    I doubt it would.
     
  3. Paul@PFI

    [email protected] Tax Accounting + SMSF Business Plus Member

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    APRA announced that the credit score prior to 13 March will be frozen.
     
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  4. Trainee

    Trainee Well-Known Member

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    You need and meet the criteria for mortgage relief, and you are worried about your credit score?
     
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  5. flosed

    flosed Well-Known Member

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    Any link to above announcement please? Thanks!
     
  6. KateSydney

    KateSydney Well-Known Member

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  7. Terry_w

    Terry_w Lawyer, Tax Adviser and Mortgage broker in Sydney Business Plus Member

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    Poor wording I think:

    ".. the bank need not treat the period of the repayment holiday as a period of arrears. "

    What the heck does 'need not' mean. It is not the same as 'must not' but seems to imply that the bank still has the option of classing the repayment holiday as being in arrears.