Deferral of your mortgage loan repayments
If you are facing financial difficulties following the coronavirus health crisis, you can ask for the deferral of your monthly repayments. You are entitled to defer your payments if you fulfil certain conditions. The deferral is free of charge: You will not be charged any administrative or processing fees.
3 months' payment deferral
The deferral of payment means that you are not required to repay your mortgage loan – both capital and interest – during a 3-months period.
After that period of deferral, you will resume payments as before.
Consequently, the duration of your credit will consequently be 3 months longer than originally agreed.
New application for a payment deferral
Until 21 March 2021 inclusive, you may apply to defer the payments of your mortgage loan subject to certain conditions. Beyond that date, requests for extensions will no longer be granted.
Do you want to defer your monthly payments starting in January 2021? Don’t wait too long to make your application. You must apply 10 calendar days before the payment date of your monthly repayment.
These are the conditions you must meet to apply for a deferral:
- you are suffering from a loss of earnings because of the coronavirus crisis;
- you have current proof of your loss of earnings and are capable to show it to us;
- at the time of the application for deferral, you fulfil the 4 compulsory conditions (see below).
Conditions for deferral of the repayment of a mortgage loan: 4 Obligatory conditions
To request a payment deferral, you must fulfil 4 conditions.
1. The coronavirus crisis has led to a drop or loss of income due to:
- temporary or full unemployment,
- a Covid-19 related infection,
- the closure of your business,
- transitional measures.
For couples, this may mean the drop or loss of one partner's income as a result of the coronavirus crisis.
2. As of September 1, 2020, you were not late in paying the mortgage loan for which you are claiming a deferral.
3. The mortgage loan must be taken out – at the time of the application for deferment – for your sole and primary residence in Belgium. If you have a second residence, you cannot claim the deferral for the repayments of the mortgage loan for your main residence.
4. The total of your movable assets in your current and savings accounts and in an investment portfolio held with BNP Paribas Fortis or another bank is under €25,000 at the time of your application. This calculation does not include pension savings.
Based on your income
Is your family's net monthly income less than or equal to €1,700? You can defer the payment of your mortgage loan without extra interests. After the deferral period, the payments will resume at the same monthly rate as before.
Does your family's net monthly income exceed €1,700? You can apply to defer the repayment of your mortgage loan. After the deferral period, payments will resume at an adjusted monthly rate, since the deferred interest will be accrued.
What is the “family’s net income?”
Are you a salaried employee? This refers to your monthly income for February 2020, and includes any recurring income such as child-support payments and rental income, excluding child allowances and after the deduction of any charges linked to your consumer credit(s) and mortgage loan for your primary residence.
Are you self-employed? This refers to your monthly income before the Coronavirus health crisis: your income for 2019 divided into 12months, including any recurring income such as child-support payments and rental income, excluding child allowances and after the deduction of any charges linked to your consumer credit(s), mortgage loan for your primary residence and company loans in their own name.
Proof of the drop of income
Along with your application for the deferral of repayments, you must enclose documents justifying the drop in your income. These include
- unemployment benefit declaration;
- medical certificate;
- application relating to transitional measures;
- a declaration on your honour stating that your income has dropped.
Apply for a deferral of payment
Do you fulfil the conditions? You can apply for a deferral of payment until 21 March 2021 included. As of 22 March 2021, you will no longer be able to claim a deferral.
It is best to apply for an extension by telephone. Contact the Hello Team and they will assess your situation and will help you to take the necessary steps. Call them on: 02 433 43 82.
Did you obtain a payment deferral? The next 3 repayments will be suspended. You will start paying your monthly repayments again in 4 months.
If you have not applied for or obtained a deferral, the repayment of your mortgage loan will proceed as usual.
The current situation has resulted in a significant number of applications being received. We have reinforced our teams to answer every question in the shortest delays. Thank you for your patience.
Do you have any other questions?
Please check out all the questions and answers section on the Febelfin website.