It would unless you call the credit card company and tell them why you were late . Always put your creditors on the loop if payments will not come on time. If this happens, you will have missed payment on record and your credit score would drop a few points down. Ask if they can reconsider the late payment and it goes away from your record. There is no harm in asking.

Powered by

I have not missed a mortgage payment in 2 years, but my credit cards are in default, and i have one line of credit that has had late payments. will this affect my mortgage renewal, and would i be able to shop around for a different mortgage lender?

Mortgage renewal? No such thing. Are you talking about a refinance? Yes, a refinance will be heavily damaged by problems with credit in other areas.

Powered by

I did my equifax score and it said that i was right at the risk point. that is because i have way too many credit avenues that i can use. they are all from past financing purchases. i have 1 bad remark from missing 1 30 day payment (which by all accounts was 40% my fault 60% the creditors. anyway i have no other existing debt to any of the credit companys that i have used in the past. i want to get a new mortgage for a second house purchase and plan on terminatimg all but a line of credit $20000 and 1 visa card with a $2500 limit. other than the 1 missed 30 day payment, everything else is good. my spouse and i can easily make the payments on the new mortgage. will that one missed payment affect us getting a mortgage. (her credit history is spotless) my credit score wasnt that great due to all the available credit i could use, but with all that terminated and only the line of credit and 1 visa card we are well within our financial means to make a new house purchase.

It sounds like you have a clear goal (purchase a 2nd home through a secondary residence mortgage ). Banks are constantly changing their guidelines, but it sounds to me that you will be able to get your loan, provided you put 20 to 25% down. In your case, it's more about "loan to value" (which is 80% if you put 20-down, 75% if you put 25% down... lower is better from a bank perspective) than it is about any one specific item on your credit report. It also sounds like you are making efforts to clean up your available credit. That's also very important.

Powered by

On my credit report my mum is listed as a financial associate and i assume this is due to a bank account she would have had to sign for in my teens. i closed this 6 months ago. her credit rating is affected by a couple of missed mortgage payments 4-5 years ago. when i checked my experian credit report 2 years ago my rating was fair. i'm now 23, have had a small loan i've paid off, never missed a credit card or phone bill payment - never personally done anything wrong. i'm on a good salary and so is my fiancé, who has an excellent credit rating. what are the chances our ability to get our first mortgage will be affected by my mother's mistakes 4-5 years ago?

Almost no effect. They look at your payment history first and foremost, which in your case sounds fine. The fact that your mom had some problems years ago is almost meaningless since she is not the one that would be signing any mortgage.

Powered by

Me and my husband own a 2 bed semi and are looking into moving into a bigger home due to a new arrival. we have requested to add an additional £25,000 onto our current mortgage so that we can move to a 3 bed house, which the mortgage company have confirmed that based on our income and deposit they will lend us this subject to credit scoring. i checked my credit report and score on experian and mine came up as excellent with a score of 999. i have instructed the estate agents to put our house on the market. however i found out today that my husband missed a payment on his credit card earlier in the year after making a mistake with the bill and fell behind with the payments. he therefore went over his limit and arranged with the credit card company to pay off the extra amount over a period of time. i'm annoyed as i had the money to sort this out the first month but he was too embarrassed to tell me and decided to sort it out himself. i therefore paid his recent monthly payment plus the charges incurred and confirmed with the credit card company that he was now £100 under his limit and had no further arrears outstanding. after the one missed payment he never missed a payment or made it late and was not charged an overlimit fee due to the aggrement with the bank. other than this he has been good with his credit. we have been approved credit for small things like a currys account and mobile phone recently and this did not seem to have had an effect on his rating. i'm slightly worried that we will not be lent the new mortgage amount because of his mistake. i'm hoping that as we're staying with the same lender they'll see that over the past 3 years of paying our mortgage we have never missed a payment. my husband has applied to see his credit rating, but have to wait to have it verified. does anyone think that his mistake will effect our chances of getting the mortgage. i'm very worried, as if we cant we have no room for the baby and will owe the estate agents money. the mortgage company told me they would not give us an agreement in principle until we had had an offer on our property and had an offer on the new one accepted as the quote only lasts for 28 days.....any advice is really appreciated. my husband has just checked and the credit report has come through. his score is 815 which is fair and he has had 4 late payments in as many months

You probably (should) have your answer already, from your lenders. However, my view would be that most lenders are aware of two things nowadays; firstly that many people have a slightly imperfect record, and secondly - very important here - that a good customer OF THEIRS is likely to remain so. By staying with your current lender, you are in a strong position. Although, as has also been said, if they do 'cut up rough', there are lenders out there for all borrowers. If this does happen, see a reputable broker. I am not a broker but I recommend the one I mention below.

Powered by

I am on non immigrant visa now and i bought a condo in 2007. i had missed my three mortgage payment on the condo i own an i am afraid it will go to foreclosure soon. i am on student visa and my husband wants to file for adjustment of status {apply for green card}. if my condo goes to foreclosure and if my credit is messed up, will it affect my application for green card?

Don't worry, it should not affect your application for adjustment of status.

Powered by

I've never ever missed a mortgage payment, but i don't think i'll be able to pay in a few months time so i'm thinking of doing loan modification. i've had credit card problems in the past though, so my credit score pretty much sucks. is this going to affect my application for a loan modification? thanks.

Of course it will Mortgage modification is the same as refinancing. All the requirements of credit worthiness are considered

Powered by

Last year i opened an additions catalogue account because my fridge freezer broke and i never had the immediate funds to replace it. they gave me a credit limit of £400.00. the fridge freezer cost around 389.00. the fridge they sent was damaged. to replace it they had to re-order another fridge onto my account. this took me quite over my credit limit. they authorised it although i still received letters refusing my request to go over my credit limit. the replacement was a totally different fridge! so again i had to go through the same process of going over my credit limit to re-order a replacement. again i received many letters refusing my so called request. at this stage my account was showing a balance of £1,167. they eventually sorted it out and i was only charged for the one fridge. my balance is now £0, i have never missed a payment and yet they have never increased my credit limit. believe me i have no desire for my credit limit to increase! i have a littlewoods catalogue account which has increased the credit limit almost every month, i haven't had it as long as additions. my question is this: since they obviously seemed to have logged the fact that i went over my limit (their fault and not mine). i was wondering if they would have reported this and hence my permanent credit file would be affected. i'm sure if it was to show i was refused credit by them it may affect my credit report and affect me when it comes to getting a mortgage etc. does anybody know of any companies in the uk where i can get my credit report for free, without a catch or needing a credit card? thank you for any advice.

It shouldn't appear on your credit rating as they only score on months paid or missed not on if you went over your limit. You should be fine, however you can order a report from Experian via the post it will cost you a couple of quid but you dont need a credit card or sign up for a monthly report or anything. There is a form online that you can print off or order over the phone but i am sure you will be fine. http://experian.metafaq.com/resources/experian/Credit_report/appForm

Powered by

Answers from financial advisors / mortgage brokers etc are very welcome... 18 months ago i bought a house with my other half, but due to her making 3 late credit card payments a year or so prior to our mortgage application, it worked out better for the mortgage to be in my name only, as opposed to a joint mortgage. she apparently had a poor credit rating. the mortgage rate was fairly high (6.26%) for that time due to the risk of a single applicant, considering others were getting mortgages around the 5% mark!!! in the meantime, we've been working on building her credit rating up... buying stuff in her name on credit cards, paying back in full immediately etc. but this month she has gone overdrawn on her bank account, and missed a credit card payment... after 18 months of "hard work", its fair to say that i wouldnt mind strangling her right now! do you think this nightmare month has screwed it all up for when our 2 year mortage expires in jan/feb 2010, and we try for a joint application??? or does the credit history only start getting affected after a number of consecutive missed payments etc.... heres hoping the rate is lower next time!!! many thanks...

Generally, monthly, everyone you own money to makes a report to the credit reference agencies on both the amount and timing of your payments. You can make payment 'in full' (i.e the amount due) or under pay (partial payment) either on-time or 'late' .... or miss a payment entirely .. needless to say, if you are simply 'late' it's not nearly as bad as 'partial' or 'missed' .. NB. some financial institutions are better at reporting than others .. some immediately report 'missed' if you fail to pay in full on the due day and then never 'update' even if you pay in full just one day late .... others will wait to the end of the month (so if it's due in the middle of the month and you are a few days late it will still be recorded as 'this months = paid in full'). Most will update the credit report if you later 'catch up' and pay in full (or partial) a missed payment, even if more than a month ago ... NB. You also need to start building up your Bank account(s) balance (or any savings account you have) When you apply for a re-mortgage the Bank / Building Society will want to see your Bank Statements (and savings accounts) so they can judge how well you are managing your money .. typically they go back 3 months ... if the 'balance' is always close to zero, plainly you are spending every penny you have coming in and they will not be offering you a bigger Mortgage ..

Powered by

It's a judgement from a credit card that was closed years ago. i had a payment arrangement but missed a couple and the lawyers filed a judgement. the judgement hasn't showed up yet and i was just pre-approved for a mortgage but i know it's just a matter of time. i want to know how much lower my score will be with the judgetment and will it affect my spouse's score?

It will not affect your spouse's score, unless she was on the account with you. A recent judgement could affect your score substantially depending on how much established credit you currently have and how you have payed your bills in the past. It could lower it by 5 pts or it could lower it by 100 pts. The good thing is it might take a year to show up in your bureau so I would get it paid ASAP so if and when it shows up it will be paid. The last thing you need is to get approved, find a house, and then they pull another bureau on you and tell you it is a no go. SW