Money isn’t easy to get. Probably if they grew on trees one wouldn’t apply for a mortgage loan in the first place. We would simply go to the tree behind our house and pluck the amount of money we need to purchase the home of our dreams. If you are 60 days late on your mortgage what should you expect?
When you are 60 days behind on mortgage payment, expect calls and visits from your mortgage service. They may call you as much as two to four times a day to remind you that now is the ideal time to settle your debt.
Money is so hard to get that we often find it difficult to make complete payments for a home, and this leaves us no choice but to seek for loans to get a permanent roof over our head.
What Happens if You are 60 Days Late on Mortgage?
Fine. We get the loan, it is quite easy, but then the hardest part comes afterwards. Repaying a mortgage loan is quite easy if you have the money and you aren’t embroiled in any sort of situation that can drain you financially. What if you have a severe court case, or your boss cut your salary? How do you pay this loan when in such situations? Well, some people still manage to while others don’t, and it leads to overdue payment.
If you stall too long on your mortgage payments for no reason, or for a reason the lender is not aware of, you could be in big trouble. Your lender can start the foreclosure process 90 days after you skipped your payments and this could damage your credit score for as long as seven years! So be wise. Do make a move after your grace period has expired to avoid trouble.
Based on advice from experts, if you figure out that (due to some severe reasons) you can’t meet up with the mortgage payment, contact your Lender ASAP and provide him or her with reasons why you won’t be able to repay the loan before the agreed date. You should also tell him or her when you would be able to meet up with the mortgage payment. Taking this step is far better than keeping mute or failing to inform your lender of your financial predicaments.
There are lots of ways your lenders can help you when in a certain financial quagmire. These people don’t want you to lose your home and will be more than willing to help you so that they don’t have to initiate a foreclosure. The foreclosure process is not any easy one. It costs lenders a lot and lots of lenders may consider this process when fed up with your excuses and refusal to make payment.
Aside from mortgage loans, there also exist personal loans. Personal loans are short term loans which is one of the reasons why they are smaller than other loans. Banks and lenders give personal loans, but before they do, they often consider some factors before they approve a personal loan request. When your loan is approved, it is then up to you to pay up at the agreed date. if the mortgage due date falls on weekend, you will have to pay up before the due date. Avoid making late payments at all cost.
What Occurs When You are 60 Days Late on a Mortgage?
If you are 2 months late on your mortgage, you should fret that much. Your lender can’t initiate a foreclosure until you are about 90 days late. So there is still hope. Late payment (one that exceeds the grace time and is less than 90 days) may simply attract a punishment in the form of a late fee and not a foreclosure. A late fee may hurt you financially (especially if you are going through certain financial challenges), so it’s best to make payment before the due date.
If you can’t settle your bill during this period, you will have no choice but to accommodate the frustrating phone calls. You may eventually have to make some late fees.
What Occurs if You are Late on Mortgage Payment?
So many things can happen to you and your credit score if you fail to settle your mortgage loan in time. You can be slapped with late fees which isn’t really a big deal. If peradventure you are a month behind your payment and you fail to display your readiness to sort things out with your lender, your account might go into collection.
Making late mortgage payments may look like a disaster, but in most scenarios, it isn’t really as severe as it seems. I’m not trying to encourage you to like the idea of indulging in this act. Overdue payment is quite understandable only when the borrower is in a financial mess.
If after 90 days you still refuse to make any move concerning the mortgage loan, your lender may start foreclosure actions against you. This action, if successful, can render you homeless. This isn’t something you will be happy with, I guess. So ensure that you pay up before the loan gets past due date.
Several things can make you delay your mortgage payments. If a huge debt is making it hard for you to settle your mortgage in due time, you can consider taking a debt consolidation loan. For example if you owe $50,000, you can take a debt consolidation loan of $50,000. But doing so comes with some pros and cons.
How Long After a Late Payment Can You Get a Mortgage?
Late payment will stick to your credit report for as long as six years. This simply denotes that during those six years, you will find it hard to acquire a good mortgage loan.
Before creditors give out mortgage loans, they often examine your creditworthiness. If they find out that you are good at making late mortgage payments, they wouldn’t offer you the loan.
Lenders varies in terms of their requirements. Some lenders can offer you a mortgage with late payment while some wouldn’t take the risk. Its not their fault, they font want to lose their money.
How Bad is a 30 Days Late on Mortgage?
Being 30 days late is quite bad but not as bad as being 90 days late. When you are this late, your creditors will bombard you with lots of calls. They want to remind you that your payment is due and ask that you settle your bills immediately.
Conclusion:
People find it hard to settle their mortgage in due time for several reasons. Whatever the reason may be, ensure that your lender is fully aware, it is far better than saying nothing. In applying for a mortgage loan, don’t just tender your application to any lender. Go for a lender that is understanding, one who is kind enough to offer you the chance to change your mortgage due date should you experience a financial set back. Also if peradventure you have a closed account, be certain if mortgage lenders look at closed accounts before you request for a loan to avoid any setback.
In applying for a mortgage, there are some things you ought to be certain of. Knowing theses things before applying for a mortgage can be helpful. For instance, getting mortgage without a job may be hard even if you make large deposits. Though some lenders may consider your request while others may not. It is all about getting a lender that suits your situation, one whose requirements aren’t stringent for you.
If you are in some sort financial trouble and you are finding it hard to settle your mortgage loan in time, you can seek for professional help. This help are in the form of programs that help people like you pay off their debt. Find the best one for yourself and give it a go!
