not made one payment

Guest 0.10 Dollars($)

I wasn't able to make my January mortgage payment last year, the first time in three years and I have made every payment on time since then. But my lender sends me late charge notices every month since that happened. And when I applied recently for a credit card, I was told that I was a high-risk customer because of my mortgage payment delinquencies. I only skipped one payment, can you let me know why this is happening.

blue · Posted: Sat May 27, 2006 5:41 pm Post subject:

Hi Molira,

As per your mortgage loan contract you do not have the right to skip any payments. Skipping any of the payments can make you delinquent. And that is what has actually happened and you have stayed delinquent ever since.

Blue

jameshogg · Posted: Sat May 27, 2006 6:07 pm Post subject:

Hi Molira,
Let me explain a bit more of what Blue has said. As per the rules for amortized mortgages, lenders always credit a payment against the earliest unpaid obligation.

When you made your payment last January, you received credit for December, which meant that your January payment was late. When you made your payment in February, it was applied to January, leaving the February payment delinquent, and so on.

The consequence is as you skipped a payment but made payments regularly thereafter, you have stayed delinquent (and accumulated late fees).

James

All times are GMT - 7 Hours

Page 1 of 1