The Tribune

By YOURI KEMP

Tribune Business Reporter

ykemp@tribunemedia.net

The Bahamas Mortgage Corporation yesterday indicated it did not expect to be inundated with loan deferral applications as most borrowers are government workers who are still being paid.

Philip Haven, the government-owned home lender’s managing director, told Tribune Business that a significant number of borrowers had told it they still intended to meet their obligations as they come due despite the three-month mortgage repayment deferral announced earlier this week.

“Quite a few of them said they want to make the payment because most of them are employees of government,” he said. “They said it is nice to know. It [the deferral] is just a matter of them filling out a form, but there are some conditions attached to that as you have to be in good standing.

“We have a number of customers who have made the request on Wednesday and yesterday in office. We are also encouraging them to do so online via the e-mail address provided in our earlier press release. We also want to remind our customers that only those in good standing will be approved for the waiver. If customers are delinquent they do not qualify.”

Mr Haven said the Bahamas Mortgage Corporation will also see if it can work with borrowers who are only slightly behind on their mortgage payments. “I have delegated the authority to the responsible people to say that if you have people that are only a couple of payments behind, let’s see if we can consolidate the payments and then give them the waiver,” he added.

“This is a good way for us to bring people in who may be what we consider to be minor delinquents and restructure the account. So we are telling customers that we are there for them, and we understand what it is they are going through, and we also want them to be mindful that we have a relationship with them and the relationship is not only for the good time but also for the bad.”

The Bahamas Mortgage Corporation announced on Wednesday it had agreed to provide a three-month loan payment deferral plan for mortgagors who have been negatively impacted by the COVID-19 pandemic.

Forbearance of monthly payments will be provided for mortgagors who maintained their accounts in good standing before the onset of the pandemic. Payments will resume, with accrued interest, being applied to the principal balance at the end of this period, although the lender indicated this could be extended depending on how long the crisis lasts.