Extra Time: Getting Your Affairs In Order

by Magical Penny on April 9, 2020

Due to the Coronavirus, you’re probably sitting at home wondering what you would do if you really needed to access all your savings. And this should get you thinking about the concept of extra time. In all things finance and investing, there is always the feature of extra time. This is built into many of our modern-day financial instruments and regularly used as an option by financial institutions. It’s used in special circumstances and is designed to give the subject in question to organise his or her affairs in order to carry on with the main narrative or obligation. You probably didn’t know you had the right to ‘extra time’ but yes, you do; in several ways.

Freezing a loan 

Here’s a secret; loan companies are more scared of you than you are of them. It’s kind of what you would say to a child when they first see a spider, but the saying still fits most lenders. The issue they have is, if you stopped paying, they would lose a lot more than you. Unless you’re in a situation whereby you have a collateral obligation, they will have to settle for receiving the money when you’re good and ready. Of course, this will be with added interest but you still have time. If you’re ever in trouble with payments, ask your creditor to freeze the payment schedule. This means that you will get a few months off and not have to make payments. The payment for the months you missed will be added on and thus, through interest, you will end up paying more, but you are allowed to take a breather.

Conversing with the law

Even when you’re rubbing shoulders with the law, you can still ask for extra time and you’re more than likely to receive it; if you have a decent reputation. If you have been handed down a sentence that requires you to do a bit of time, you can ask your legal time to ask the judge presiding over your case, for a suspended sentence. This will give you extra time to get your affairs in order. It will mean you have to wear a bracelet that tracks your movements and you’re more than likely to be given a curfew by which you need to be at home. However, if you would like to get your financial affairs in order, cancel holidays, cease a financial transaction or perhaps have more time with your family, you can do so.

Special mortgage circumstances

Right now due to the pandemic lockdown, you have extra rights as a mortgage holder. You may not be working and you’re probably still being forced to make payments. Since the housing market is a huge sector, it’s directly linked to local authorities. You can ask your local authority and your mortgage lender to stop all mortgage payments for the time being, until you’re back in full-time employment. 

You should never feel as if you’re forced to carry on as normal when your circumstances change. Speak with your lender when you need a freeze on your payment schedule before giving up. 

 

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