PHOTO: PETER MEECHAM/STUFFThe package will include a six month principal and interest payment holiday for mortgage holders and small and medium enterprise customers whose incomes have been affected by the economic disruption from Covid-19.
The Government has announced a mortgage holiday for those affected by coronavirus.
At a press conference on Tuesday Finance Minister Grant Robertson said the major retail banks had agreed to a six-month mortgage holiday for people who had their income affected due to Covid-19.
The exact criteria was yet to be finalised, but it would cover both principal and interest payments.
Robertson said he urged people not to “bombard” banks with queries about having a mortgage holiday.
What is a mortgage holiday?
Paying the mortgage quickly becomes a problem when income drops.
And the economic disruption caused by coronavirus has put about 67,000jobs on the line.
A mortgage holiday is when you stop contributing or making any repayments on your mortgage, but interest continues to mount.
READ MORE VIA STUFF