COMMON QUESTIONS ABOUT

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  • What is the Government’s announcement about helping those financially impacted by COVID-19?

    On Tuesday 24 March the Government, along with the Reserve Bank and all retail banks, announced a six-month principal and interest Mortgage Payment Deferral option for mortgage holders and SME customers, whose incomes will be affected by the economic disruption from COVID-19. TSB will also be offering customers the option of moving to Interest Only payments for up to six months.

  • Will I qualify for this?

    If your income is affected by COVID-19 you may qualify for this support.

  • What can TSB offer at this time?

    In response to the Government’s announcement, TSB will be offering support to customers by: 

    • Offering ‘Interest Only’ payments for up to six months 
    • Offering a ‘Mortgage Payment Deferral’ for up to six months 
  • Does this package apply to all loans at TSB?

    The Mortgage Payment Deferral and Interest Only offers apply to TSB home loans, we have other options available for qualifying customers with other types of lending. 

  • What are ‘interest only’ payments?

    Interest Only payments are where you only pay the interest, you won’t pay any principal on your loan. This helps to reduce your payments, however your loan balance will stay the same for as long as you are on interest only.  
     
    Due to no principal payments being made while on Interest Only, you will end up paying more over the life of the loan however you’ll pay less overall, than if you deferred your total mortgage payments for this period. 

  • What is a Mortgage Payment Deferral?

    A Mortgage Payment Deferral allows you to take a break from making your contractual mortgage payment for up to six months. Interest will continue to be charged and will be added to your loan at each payment date. 

    The end-result is that you’ll end up paying more over the life of the loan and you may face either increased future payments or a longer loan term, at the end of the payment deferral period. 
     

  • Remind me about ‘principal and interest’ payments again please?

    When you pay your mortgage, unless you’re already on ‘interest only’, you’re paying both principal and interest, and reducing your loan balance over time. For customers who expect to be paid as normal, you should continue making both principal and interest payments as normal. 

  • A six-month Mortgage Payment Deferral sounds great – but are there any impacts to consider?

    A Mortgage Payment Deferral allows you to take a break from making all of your contractual mortgage payment for up to six months. However, interest will continue to be charged and will be added to your loan at each payment date. The end-result is that you’ll end up paying more over the life of the loan.  

  • Can I take a shorter payment deferral or interest only period than six months?

    Yes, you can take a payment deferral or opt for interest only for terms less than six months. Talk to us to discuss the best option for you. 

  • How do I apply for the Mortgage Payment Deferral or Interest Only?

    Please use our Application Form to request this offer. 

  • I’m already on a payment deferral, can I get this package?

    Please contact us and we’ll be happy to work with you to assess your needs.  

  • I’m already paying interest only, do I still qualify for this package?

    If your income has been affected by COVID-19, then yes.

  • What happens if my income returns to normal or I decide I no longer need the Mortgage Payment Deferral or Interest Only?

    If at any time your circumstances change, simply contact us to discuss your options.

  • How long will the special COVID-19 Mortgage Payment Deferral or Interest Only be available for?

    The payment deferral option is available for all qualifying customers and at this stage we have no firm end date in place. TSB also has existing options for customers experiencing financial hardship (before or during COVID-19) and these will continue to be available throughout this time.  

  • What if my loan relates to an investment property, can I still apply?

    Yes. 

  • Will this Mortgage Payment Deferral or Interest Only offer impact my credit rating?

    No, your credit rating will not be impacted by taking this offer. 

High call volumes

Our Customer Contact Centre is very busy at the moment but our team will continue to be available in the coming days online and via telephone, since banking is an essential service.

APPLY FOR A MORTGAGE REPAYMENT DEFERRAL OR INTEREST ONLY PAYMENTS