Skip a Payment, Deferred Payments, & Financial Programs Available in Canada
The COVID-19 pandemic has affected every single person all around the world. Many businesses are closed, and unemployment rate continues to climb.
In Canada, several government programs have been put in place to help businesses and individuals cope with the financial impact caused by this pandemic.
Lenders have stepped in and are offering relief including skip a payment, and payment deferral for mortgages, student loans and car payments. Call times to all financial institutions are long but some lenders have developed other ways to get in touch through an online portal or via email. I have provided a list to the best of my knowledge below. New programs are available daily with new ways to get in touch. If you don’t see your lender on this list, it doesn’t mean there is nothing in place. Please contact them directly and check out their website for the most up to date programs/ best ways to get in touch.
In terms of mortgages two options Skip a Payment and Payment Deferral seem to be the most popular. I encourage clients to only use these if as a last resort and continue to pay your mortgages payment as usual if it’s possible for you.
Skip a Payment:
- Requires lender approval but gives the option to skip a single payment
- Requires lender approval but would allow you to forgo mortgage payments for a period.
- Interest will still accrue & the amortization would be extended accordingly
*This means the interest owed over the time you were not making payments would be added to the mortgage balance. Your payments would remain the same once you resume, however, the amortization (ie: how much time it would take to pay off your mortgage making your regular payments) would be longer than it would otherwise.
In this unprecedented time, there are so many questions and unfortunately, we don’t have all the answers. We’re all in this together, speak with your broker and lender and see what your options are. If you are worried about your finances due to loss of employment, reach out. Don’t just ignore your payments as that will have a very negative affect on your credit and future availability of credit.
Website/email for COVID-19 (if applicable)
Bank of Montreal
1.888.995.2657, selection 4
Dominion Lending Centres (DLC) Mortgage
First National Financial
Online MyMCAP portal
RFA (Formerly Street Capital)
647.259.7873 or 1.877.416.7873
Online Book a call