Kiwibank has launched its home loan support service. They are handling queries for people who have been financially impacted by Covid-19 via an ‘online application form’ on their website.
Excerpt from Kiwibank website. Updated 1 April 2020.
Reducing to minimum payments
You may be able to reduce your mortgage payments to the minimum required if your repayments are set higher than the minimum required currently.
Extension of home loan term
You may be able to extend your home loan term, which will reduce your regular home loan repayments. You’ll end up paying your home loan over a longer-term which will increase your overall cost of borrowing…
Interest-only home loan payments
If you need to reduce your home loan repayments further, then an interest-only loan could be the right option for you. During this time, your home loan balance will remain the same as you will just be paying the interest on your home loan… An interest-only loan is available for a period of up to six months.
Home loan repayment deferral (previously known as a repayment holiday)
(mhq: we’re happy to see the vernacular changing from holiday to deferral)
Applying for a home loan repayment deferral (also known as a home loan repayment holiday) is another option. This offers short term relief to customers who can’t afford to make repayments onto their home loan.
A home loan repayment deferral stops repayments onto your home loan and may be approved for up to six months. You’ll still be charged interest during this time and as a result, your home loan balance will increase.