Virginia mortgage rates and industry news

Aside from bankruptcy, foreclosure and credit counseling, the single worst thing you can do to your credit rating is pay your mortgage late.  Just how late is late?  If you pay your mortgage more than 30 days late, expect that to be reported to the credit reporting bureaus.  Once it's reported, that negative piece of information will inevitably drop your credit score by 60 points or more (based on my experience). 

My recommendation?  Pay your mortgage before the 30 day mark.  Even if you have to pay a penalty for paying your mortgage 25 days late,  make sure your payment is received before 30 days is up.  I'm not advocating anyone pay their other creditors irresponsibly, but if you have to pay your credit cards and autos late, do that in lieu of making a mortgage payment late.  Why?  Once you have a mortgage late payment on your credit report, most lenders and mortgage companies will no longer be able to offer you financing for at least 12 months or more.  That means you won't be able to purchase or refinance real estate at decent rates for at least 12 months or more.   

The bottom line...do everything in your power to make your mortgage payments on time.  Lenders and mortgage companies don't look nearly as hard at other late payments as they do at mortgage late payments.