The mortgage deferral scheme has been extended from September 2020 to March 2021 for those hit financially by Covid-19.
The initial scheme, which allowed people to defer payments on all residential mortgages for up to six months, was set to end on September 27 this year.
Finance Minister Grant Robertson today announced the extension of the deferral to March 31, 2021, amid the recent community-based outbreak of Covid-19 in Auckland.
"The mortgage deferral scheme has been run by the banks... and I generally think it's been very well-received," Mr Robertson said.
Under the scheme, banks set their own criteria for those who can apply for the mortgage holiday.
"The Reserve Bank works closely with them around the criteria that they apply to make sure they're balancing their obligations as responsible lenders, along with the need that people have," Mr Robertson said.
"I have received very, very few compaints from people about the mortgage deferral scheme."
Further detail on the deferral scheme will be made available by the Reserve Bank and the retail banks, Mr Robertson said.
It comes after Mr Robertson revealed further details around a new wage subsidy scheme.
The new scheme is estimated to cost $510 million and cover 470,000 jobs.
Applications for the new scheme will be made available by the end of the week, he said.
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