tiktok³ÉÈË°æ

The Hardship Mortgage Letter is a crucial document used in New Zealand when borrowers experience significant financial difficulties affecting their ability to meet mortgage obligations. It serves as a formal request for temporary relief under the provisions of the Credit Contracts and Consumer Finance Act 2003 and the Responsible Lending Code 2021. This document is typically used when unforeseen circumstances such as job loss, illness, or significant life events impact a borrower's ability to maintain regular mortgage payments. The letter must include specific details about the nature of hardship, current financial situation, proposed solution, and supporting evidence. It initiates a formal process requiring lenders to consider the hardship application according to New Zealand lending regulations, making it a significant tool for borrowers seeking mortgage modifications during financial distress.

1. Personal and Loan Information: Borrower's full name, address, loan account number, and property details

2. Date and Lender Details: Current date and full details of the lending institution and relevant department

3. Hardship Explanation: Clear explanation of the nature of financial hardship, including when it began and its cause

4. Current Financial Situation: Detailed overview of current income, expenses, assets, and liabilities

5. Specific Request: Clear statement of the type of assistance being requested (e.g., payment reduction, temporary pause, term extension)

6. Action Plan: Description of steps being taken to address the financial hardship and return to normal payments

7. Contact Information: Best contact details and preferred contact method for further discussion