Mortgage Deferrals

Written by Jeff Gunther

On August 1, 2020
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Since March, Canadian lenders have offered borrowers an opportunity to defer mortgage payments (they’re okay with this because interest continues to accrue, and they’re in the business of earning interest).
 
As one of our goals is the rapid repayment of principal, we only considered mortgage deferrals in situations where it would make sense for us to shore up cash reserves. We have never been in danger of default.
 
In the few instances where we did take advantage of deferrals, those either have, or will soon be coming to an end, and we’re in good shape.
Note: While mortgage deferrals do not affect borrower credit scores, they do show up on credit reports and should be resolved prior to seeking new credit.

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