Winnipeg Mortgage Brokers Explain Deferred Mortgage Payments and Your Credit Score

Keeping your credit score healthy is important and we simply can’t stress this enough. COVID-19 is unfortunately now forcing us into uncharted territory. If your income has become affected by the pandemic and you are looking at possibly deferring your mortgage payments, what happens to your credit score?

Both lenders and Equifax have stated that credit scores will not be affected by a mortgage deferral. We all know, however, that mistakes can happen. Perhaps you have even experienced an error on your credit report in the past. A low credit score makes qualifying for financing, among other things, much more difficult. If you find yourself in the position of having to defer your mortgage payments, do you know how to protect your credit score?    

Here are some tips to help protect your credit score:

- Ask for written confirmation that your payment has been deferred
- Make sure to get the name of the customer service representative who confirmed your deferred payment
- Note in writing the day and time you spoke to the customer service representative
- Keep all your supporting documentation in a safe and easy to access location
- Track both your Equifax and TransUnion credit reports for several months
- If you do find an error on your credit report, reach out to your lender and appropriate credit reporting agency to open up a dispute

Are you concerned about your credit score if you are forced to defer mortgage payments? Talk to one of our trusted Winnipeg Mortgage Brokers to learn more – 204-954-7620.