The founder of MoneySavingExpert.com published his latest financial guide in his weekly newsletter.
Martin Lewis has issued a time-sensitive warning to anyone with a mortgage, credit card, car finance and more.
The financial expert warned people to evaluate their living conditions as soon as possible.
These included vacation arrangements, subsidies for self-employment, a general credit boost and the right to three months’ paid leave for most debts.
Since the outbreak of the coronavirus pandemic, four vital pillars to support personal finances have been put in place to help the public stay on lockdown.
The donors stressed that “everyone should evaluate as soon as possible if they need one”.
Although the pandemic is still not over, many changes are being introduced to these support systems. Economic uncertainty continues, and many people and businesses are struggling with it.
Martin pointed out that while there are few people who can prevent the changes that are about to take place, exemptions from payment can still be a welcome relief if people are able to get them before the closure.
If you apply for a payment deferral before October 31, it will take three months.
If your finances are affected by Covid-19, you can request a payment deferral, which means that you will not have to make any repayments.
There is also a monthly payment and interest holiday for loans with a payment date.
If you apply by the end of this month, you will almost automatically receive three months. Payment vacations are available for mortgages, overdrafts, credit cards, personal loans, insurance, car financing, buy-now-pay-later, rent-to-own and pawnbroker loans.
Martin warned that if you have already had two three-month payment holidays for a single product and apply for another for the same product, you will be switched to the post-October 31st scheme.
It could involve payment vacations, reduced payments, lower interest rates, or another product, and the assistance will be recorded on credit files, which is likely to have a much greater impact on your ability to obtain future credit than the assistance currently offered.
Martin Lewis emphasizes that you should only take payment leave when you really need it, as if it were better than missing payments, because there are two important consequences:
As of November 1, there will be a shift from paid leave to “tailored assistance” depending on your circumstances.