“I have no income due to coronavirus” payment relief viral message. Fact Check

A message online claims that those who have experienced loss of income due to the coronavirus outbreak can only claim relief from creditors, mortgage lenders and utility companies if they explicitly state they’ve lost their income due to the coronavirus.

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The message states that such companies are not allowed to “coach” people who contact them or suggest they mention the “keyword” coronavirus.

An example of the message as it appears on social media is below –

So – I just learned. When you call your creditors, mortgage lenders, utilities, etc. asking for help due to loss of income, if you just say you’ve lost work, income, jobs, show cancellations, whatever, they can’t help you.
Once you say “I have no income due to the Coronavirus”, that’s the keyword they need to hear to be able to enact their new policies, defer payments, halt late fees, etc.
And, apparently, they can’t coach you to say it. You have to do it yourself.
Just FYI for everyone I know who, I suspect, needs this info. Companies have policies in place already – if you need them, use them!

What’s true?
If you contact a lender, utility company or creditor regarding payments, you should explain your situation. And this is also true if it involves the coronavirus outbreak. Many companies will have special provisions, facilities and services in place to help people during this period.

What’s false?
Not all lenders, utility companies and creditors will have special provisions in place. And of the ones that do, most do not require a customer initiate a keyword or phrase. Most companies we spoke to actively encourage customers to explain their situations, and/or provided ample literature specifically for people affected by coronavirus. Additionally, most companies, especially mortgage lenders, have provisions and facilities in place even if a customer doesn’t mention the coronavirus or their situation doesn’t involve the coronavirus.

The message – which doesn’t reference a particular locale or country – is far too inaccurate and too generic to be of any real help. Not only does the message claim that all lenders, creditors and utilities will only help with relief if they hear a particular “magic phrase” or “keyword”, it also claims that all such companies would not provide any assistance or relief to their customers in cases unrelated to coronavirus, which for many lenders, utility companies and creditors, is patently untrue.

The message also incorrectly implies that all companies will have policies related to the coronavirus in place, which at the time of writing is also not true.

A spokesperson for UK bank and mortgage lender NatWest told us that they could offer three month mortgage holidays to customers affected by coronavirus, and that customers were not required to parrot any keyword or phrase in order to get this relief, rather to simply answer questions honestly. Further to this, the bank – like many other mortgage lenders in the UK – display information related to such relief prominently on their website, not hiding it behind a secret door that can only be unlocked with a particular keyword or phrase.

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The spokesperson added that other types of relief unrelated to the coronavirus are also available providing customers contact them to discuss arrangements that can be made on a case-by-case basis. Most mortgage lenders across the world have very similar policies in place, thus contradicting the claim in the message that a person could not any get type of help if they fail to mention the coronavirus.

A spokesperson for Wells Fargo, a mortgage lender in the US, similarly told us that the claim that “customers could not be coached” or had to initiate a specific keyword were simply bogus, and implored customers who were worried about not being able to make a mortgage payment – for any reason – to contact them through their secure online banking messaging center where they can assess the situation and provide options. The lender – like many others – have invited customers to explain their respective situations via their social media channels.

The same seem to apply to utility companies we spoke to as well. Again we spoke to npower – a UK electricity supplier, who again told us that they encourage customers to explain their situations if they are falling behind on payments in order to come up with an appropriate payment plan. From their website –

If you need to self-isolate and this affects your income and ability to pay for your energy, we’ll discuss this with you and come to a suitable agreement. This might include things like payment arrangements, spreading your bills by Direct Debit over the year or the possibility of allowing 30 days’ extra breathing space for making payments.

Where you may be struggling – for example if you’re off work or on shorter hours because of coronavirus – we’ll look to agree how much you’re able to pay, taking your individual circumstances and vulnerabilities into account.

Many companies, including lenders and utility companies, have differing types of facilities and services in place to provide relief to those struggling to make payments, and those facilities and services will differ with each company.

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And while it is true that some of those facilities may only be available for those that have been affected by coronavirus, the claim that all such companies cannot provide help or assistance unless coronavirus is mentioned is categorically untrue, and the claim that all such companies require a customer to initiate a particular keyword or cannot be “coached” is entirely baseless. While companies may differ in their respective responses, this message is far too generic.

In fact, contrary to the message, most companies we spoke with actively encouraged their customers to discuss their situations, and provided ample literature reaching out specifically to customers who may have been affected by the coronavirus outbreak.

If you’re struggling to make payments, it is important you communicate with those companies and explain the situation. But please don’t share misleading and inaccurate posts like this.