Can you get a grace period on your loan if you are out of work?

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CHATTANOOGA (WDEF) – The coronavirus has caused businesses around the nation to shut down, and it has left many wondering how they will pay off their loans.

Mortgage lenders around the country have already created guidelines to help people who are out of a job.

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Included in the stimulus bill is a forbearance program.

That means for up to 60 days, there will be no fees, penalties or any added interest.

“They need to contact whoever is servicing their loan now and go through the process. As I understand that is written in the law now, there is no documentation required just a conversation they need to have with a servicer. That’s not a warning but just a bit of information. Don’t just skip a payment but you need to contact the servicer.”

Tenants cannot be evicted for a 120 day period if the landlord has a federally backed loan.