Four Mortgage Payment Breaks each of three months duration are permitted bringing the combined total of the four Mortgage Payment Breaks up to a maximum of 12 months. At the end of the first Mortgage Payment Break, if you have already availed of one Mortgage Payment Break, or previously completed that Mortgage Payment Break, you can either:
- Recommence your full home loan monthly repayments, which will be marginally higher than before the break; or
- Apply for a second mortgage payment break. You must apply to your local authority for your second mortgage payment break.
At the end of the second Mortgage Payment Break, if you have already availed of a second Mortgage Payment Break, or previously completed that Mortgage Payment Break, you can either:
- Recommence your full home loan monthly repayments, which will be marginally higher than before the break; or
- Apply for a third mortgage payment break, bringing the total combined duration of the three Mortgage Payment Breaks to date up to a maximum of 9 months. You must apply to your local authority if you wish to avail of a third mortgage payment break.
During your third Mortgage Payment Break, the local authority will engage with you to review your financial circumstances. At the end of your third Mortgage Payment Break, if you have already availed of a third Mortgage Payment Break, or previously completed that Mortgage Payment Break, you can either:
- Recommence your full home loan monthly repayments, which will be higher than before the break; or
- Apply for a fourth Mortgage Payment Break, bringing the total combined duration of the four Mortgage Payment Breaks up to a maximum of 12 months. You must apply to your local authority if you wish to avail of a fourth Mortgage Payment Break.
- If it is unlikely that your financial situation will have improved by the end of a third Mortgage Payment Break, a longer term arrangement through the Mortgage Arrears Resolution Process (MARP) may be more appropriate, see question no. 33. Your local authority will discuss alternative payment arrangements with you.
During your fourth Mortgage Payment Break, the local authority will engage with you to review your financial circumstances. At the end of your fourth Mortgage Payment Break, you must recommence your full home loan monthly repayments. Your monthly repayments will increase. This is necessary to ensure that your home loan will be repaid in full within its original term. Your Notification of Approval(s) will include the revised/higher amount of your repayments after the Mortgage Payment Break(s).
As soon as you realise that your financial circumstances have not improved and you may be unable to recommence paying your full monthly repayments, you should notify your local authority immediately who will discuss alternative payment arrangements with you. Please see question no. 33 re Mortgage Arrears Resolution Process (MARP).