5 Reasons why Mortgage EMI Sleeping Period will be beneficial for current mortgage borrowers?

Our Product "Mortgage EMI (Equated Monthly Installment) sleeping period" refers to a specific period during which borrowers are allowed to temporarily suspend their EMI payments. This concept gained prominence during times of financial stress, such as economic downturns or unforeseen crises. Here are five reasons why a mortgage EMI sleeping period can be beneficial for current mortgage borrowers:

Financial Relief During Difficult Times: Economic downturns, job losses, medical emergencies, and other unexpected events can lead to financial strain. Allowing borrowers to defer their EMI payments temporarily provides them with breathing room to manage their immediate financial challenges without the burden of regular mortgage payments.

Preservation of Credit Score: During times of financial stress, borrowers might find it difficult to make their EMI payments consistently. Late or missed payments can negatively impact their credit score, making it harder for them to access credit in the future. A sleeping period helps borrowers avoid this situation by providing an officially sanctioned period of non-payment.

Flexibility in Financial Planning: A mortgage EMI sleeping period enables borrowers to adjust their financial plans and allocate funds toward more pressing needs, such as medical expenses or education costs. This flexibility can be particularly important for families facing unexpected financial demands.

Avoiding Defaults and Foreclosures: When borrowers are unable to make timely EMI payments, there's a risk of defaulting on the loan. In worst-case scenarios, this could lead to foreclosure, where the lender takes possession of the property. A sleeping period helps borrowers avoid falling into default, giving them time to stabilize their financial situation and resume regular payments.

Stress Reduction and Mental Well-being: Financial stress can take a toll on mental well-being and family dynamics. The uncertainty and pressure of making mortgage payments during tough times can lead to anxiety and strain. A sleeping period provides relief from these pressures, allowing borrowers to focus on finding solutions to their financial challenges.

Therefore, from above we can see that our product 'Mortgage EMI Sleeping Period' benefits people facing financial crunch in paying their monthly EMIs. This product gives a respite for current mortgage holders in the UAE who are affected by increasing interest rates.