# How bad is it to be three days late with mortgage payment



## ney001 (6 Aug 2008)

Hi as title says, just wondering how serious is it to be three days late with mortgage payment - this might be the case this month as a client hasn't paid Mr Ney for a job and won't be doing so until he gets back from hols.  This will mean that we won't be able to pay mortgage on time - but will be able to do so a few days later.


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## JWMB (6 Aug 2008)

It's never good and could hinder you in the future. If I were you maybe sort out or increase your overdraft to cover this .


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## ney001 (6 Aug 2008)

Hey, I actually rang mortgage company this afternoon.  Girl told me that they go into the bank three times a month for mortgage payment.  My mortgage is due 7th, she said they will go in on the 15th or 21st to get payment.  If after three attempts in the month mortgage has not been paid then it will go down as a black mark against record.   I just let her know that it would be delayed but would be in bank on Monday next.


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## LDFerguson (6 Aug 2008)

That's all very well but it is still likely to appear as a late payment on your ICB record, which could possibly have implications if you're applying for another loan in the near future.

JWMB's advice is better.


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## ney001 (6 Aug 2008)

Yep am going to try to put funds in place, however I did ask the girl and she told me that it will not register with ICB until they have made the three attempts - is this correct?.  Mortgage with EBS


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## decembersal (6 Aug 2008)

Ask your bank for a temporary overdraft- it wouldn't be worth the risk in my opinion.


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## Quest (6 Aug 2008)

Having worked for 2 large lenders in Mortgage sector(but not EBS), no missed payments would be registered with ICB provided the payment was received when the direct debit was re-presented mid-month..


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## Butter (6 Aug 2008)

A couple of years ago one of my mortgage payments was late as I stupidly forgot to transfer money.  Rang the bank as soon as I realised and they applied to take the money again which went through ok.  THe bank in question was the Ulster Bank and it has not registered anything with the credit reference agency (sorry can't think of exact name) about this.  The current financial climate though is quite different and it may be safer now to get an overdraft in place as other posters have said.  Banks are not as lenient about their money these days as they used to be.


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## ClubMan (6 Aug 2008)

Marg said:


> THe bank in question was the Ulster Bank and it has not registered anything with the credit reference agency (sorry can't think of exact name) about this.


www.icb.ie


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## ney001 (6 Aug 2008)

Thanks guys - will attempt to get funds in just in case - there's a lesson here somewhere!


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## efm (6 Aug 2008)

ney001 said:


> Thanks guys - will attempt to get funds in just in case - there's a lesson here somewhere!


 
Yes...You need to have a reserve of one or two months mortgage payments available at all times, particularly if you are self employed (as I think Mr Ney is).


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## ney001 (6 Aug 2008)

efm said:


> Yes...You need to have a reserve of one or two months mortgage payments available at all times, particularly if you are self employed (as I think Mr Ney is).



Correct! - let the funds go low this month due to holiday.


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## PM1234 (6 Aug 2008)

I'm with LDFerguson on this one. Pretty spot on from my experience.


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## starlite68 (6 Aug 2008)

i would say the mortgage lenders will be getting plenty of late payments in the years to come?


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## dewdrop (7 Aug 2008)

Is it possible to find out from lenders precisely when they report overdue mortgage payments to the ICB. I am not encouraging people to cut if fine but in the genuine cases knowing the actual situation might allay some unnecessary worries.


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## OneLife (7 Aug 2008)

Definition of arrears depends on the Lender, but for standardisations sake it is usually 1 full payment >30days in arrears.

Couple of issues arise depending on the payment date and the Lenders systems. For example if your payment date is due on the 28th of the month and the lender reports to the ICB on the 1st of the month - then the Lender will report you as being one full payment in arrears at that time. But if your payment date was on the 1st of the month and you missed it - you would still have 28 days to make that payment (via Lenders re-presenting the DD or direct lodgment) before the Lender would report to the ICB on the 1st of the next month.

This in effect is discriminatory behaviour allowing some customers 3-4 weeks to address their late payments whilst only allowing other 3-4 days to address their late payments before reporting both to the ICB.

Also with regard to the 'one full payment' in arrears - what if your monthly repayment was €1000 and you lodged €999 - would the lender report arrears then? Is your Lender only reporting when it is 'one full payment' in arrears? What is their definition?


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## Wonderwoman (7 Aug 2008)

I was late with my mortgage payment twice early this year. It didn't go out on the 1st of the month, but when the bank reapplied for the payment on the 15th of the month it was paid. This happened 2 months in a row. (hard to catch up with 2 payments coming out of one months pay, so took 2 months to get back on track).
I applied for my ICB report recently and I have no missed payments recorded. 

The trouble this might cause me tho is if I tried to remortgage with the same bank they will have access to this info. And if I tried to remortgage with another bank and they asked for my mortgage statements for last 6 months or more and it was within the time frame they wanted, then I doubt they would entertain my application!


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## Thrifty1 (7 Aug 2008)

I usually keep enough for 3-4 payments in the account but let it run low last month only realised when i checked the balance it there was about €1700 in account and payment is €1800, payment was due that day, i lodged the money and checked the account 2 days later and payment taken then so i assumed it was all ok.

I asked the girl in BOI to see if a claim had been made for payment but she said she couldnt tell. Payments come out on various dates (not due to weekends) anything from 20th to 26th.


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## Steve D (8 Aug 2008)

It you know about something like this in advance it would probably help your case if you phone the mortgage company to explain the situation to them before your mortgage is due.


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## mercman (8 Aug 2008)

Never mind explaining anything over the telephone. A pure waste of time on its own. All calls should be followed up in writing in order that a record can be kept of all communications. In the times we are in, all late payments will be catergorised as the same unless an explanation has been placed on file.


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