My Credit Plan BlogLatest News and Updateshttps://mycreditplan.org/BlogWhy Skipping Your Mortgage Payments can Drop Your FICO® Scoreshttps://mycreditplan.org/Blog/PostId/49/why-skipping-your-mortgage-payments-can-drop-your-fico-scoresCoronavirusThu, 30 Apr 2020 22:57:00 GMT<p style="margin:0in 0in 8pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:11pt"><span style="line-height:15.693333625793457px"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none">Too many “uninformed” loan officers have told thousands of homeowners and media that skipping your mortgage payment (from the coronavirus) will not impact your credit. The only basis for this statement comes from a few politicians and some loan officers who have said that since lenders will not report 30-day or more late payments to the credit bureaus, skipping payments will not lower your scores. They have little understanding about FICO® Scores and no authority to speak for lenders. </span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 8pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:11pt"><span style="line-height:15.693333625793457px"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none">In his report, KUTV’s Michael Locklear (CBS - Salt Lake City, Utah) identifies the potential dangers from skipping your mortgage payments.</span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 8pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:11pt"><span style="line-height:15.693333625793457px"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none"> </span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 8pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:11pt"><span style="line-height:15.693333625793457px"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none"><b><span style="font-size:14pt"><span style="line-height:19.97333335876465px">Derogatory Account</span></span></b></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 8pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:11pt"><span style="line-height:15.693333625793457px"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none"> </span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 8pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:11pt"><span style="line-height:15.693333625793457px"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none">There is a credit term to recognize, “The loan has not been paid according to the original terms of the loan agreement or ‘Note’.” This is the definition of a derogatory account. Any derogatory account in your credit report will lower your FICO scores for seven years.</span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 8pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:11pt"><span style="line-height:15.693333625793457px"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none">One may think a derogatory account refers only to late payments. It does not. It refers to any loan repayment that is less than the full balance<b><i><u>. It can also refer to any modification or adjustment to a loan agreement initiated by the borrower which results in reduced or skipped payments for any period-of-time. </u></i></b></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 8pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:11pt"><span style="line-height:15.693333625793457px"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none"></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 8pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:11pt"><span style="line-height:15.693333625793457px"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none">Make payments on time and then pay the remaining balance less than the full balance. That is defined as a derogatory account. Modify a loan agreement to move a payment to the end of the loan. That is defined as a derogatory account. Any change to the original  loan agreement can trigger the mortgage as a derogatory account. <b><i>There is no clear written guideline.</i></b><b><i>It is really up to the lenders to decide if an account is classified a derogatory account </i></b>-- and then the lenders report that to the three major credit bureaus.</span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 8pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:11pt"><span style="line-height:15.693333625793457px"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none"></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 8pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:11pt"><span style="line-height:15.693333625793457px"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none">There is one exception – student loans.  Student loans have options to defer or skip loan payments without impacting your FICO scores. Mortgages have no such loan-payment deferment or arrangement in the “Mortgage Note”.</span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 8pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:11pt"><span style="line-height:15.693333625793457px"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none"></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 8pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:11pt"><span style="line-height:15.693333625793457px"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none"><b><span style="font-size:14pt"><span style="line-height:19.97333335876465px"> </span></span></b></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 8pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:11pt"><span style="line-height:15.693333625793457px"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none"><b><span style="font-size:14pt"><span style="line-height:19.97333335876465px">Skipping a Mortgage Payment</span></span></b></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 8pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:11pt"><span style="line-height:15.693333625793457px"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none"> </span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 8pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:11pt"><span style="line-height:15.693333625793457px"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none">For this reason, skipping a mortgage payment gives the lender the option to classify the loan as, “…not being paid according to the original terms of the loan agreement.” The mortgage lender does not need to report any late payments. It simply reports to the credit bureaus that the loan has not been repaid according to the original terms of the loan agreement. </span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 8pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:11pt"><span style="line-height:15.693333625793457px"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none"> </span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span><span style="font-size:11pt"><span style="line-height:15.693333625793457px"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none">There is a term your lender sends to the credit bureaus every month with your account information. It states </span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span><span style="font-size:11pt"><span style="line-height:15.693333625793457px"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none"><b><i></i></b></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 8pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:11pt"><span style="line-height:15.693333625793457px"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none"><b><i>“Yes”</i></b>or <b><i>“No” </i></b></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 8pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:11pt"><span style="line-height:15.693333625793457px"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none">if your account is a derogatory account. This definition is separate from your account payment history when your account information is sent to the credit bureaus. “No” and your should be fine. “Yes” and the drop to your FICO scores is immediate. </span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 8pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:11pt"><span style="line-height:15.693333625793457px"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none"> </span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 8pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:11pt"><span style="line-height:15.693333625793457px"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none"><b><span style="font-size:14pt"><span style="line-height:19.97333335876465px">Can You Find Out from Your Lender?</span></span></b></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 8pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:11pt"><span style="line-height:15.693333625793457px"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none"> </span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 8pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:11pt"><span style="line-height:15.693333625793457px"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none">Unfortunately, if you contact a mortgage lender call center and talk to a customer service representative, most customer service agents are not aware of this detailed issue. Most of them. They will tell you that they will not report a late payment – thinking that is the only issue that can negatively lower your FICO scores. </span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 8pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:11pt"><span style="line-height:15.693333625793457px"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none"></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span><span style="font-size:11pt"><span style="line-height:15.693333625793457px"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none">It is not the late payment that is the issue. It is the change in terms which triggers the account to be a derogatory account which can drop your FICO scores 40, 50 and even more points.</span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 8pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:11pt"><span style="line-height:15.693333625793457px"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none"><span style="font-size:12pt"><span style="line-height:17.1200008392334px">KUTV reporter Michael Locklear offers more insight in his report.</span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 8pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:11pt"><span style="line-height:15.693333625793457px"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none"><span style="font-size:12pt"><span style="line-height:17.1200008392334px"><a href="https://kutv.com/news/local/hidden-consequences-of-deferring-your-mortgage-payment" style="color:#954f72; text-decoration:underline">https://kutv.com/news/local/hidden-consequences-of-deferring-your-mortgage-payment</a></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 8pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:11pt"><span style="line-height:15.693333625793457px"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none"> </span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 8pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:11pt"><span style="line-height:15.693333625793457px"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none">If you can make your mortgage payment, you will most likely be better off. Skip your mortgage payment even one month and you could face a downgrade to your FICO scores for many years.</span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 8pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:11pt"><span style="line-height:15.693333625793457px"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none"></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 8pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:11pt"><span style="line-height:15.693333625793457px"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none"></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 8pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:11pt"><span style="line-height:15.693333625793457px"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none"></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> <p style="margin:0in 0in 8pt; text-align:start; -webkit-text-stroke-width:0px"><span style="font-size:11pt"><span style="line-height:15.693333625793457px"><span style="font-family:Calibri, sans-serif"><span style="caret-color:#000000"><span style="color:#000000"><span style="font-style:normal"><span style="font-variant-caps:normal"><span style="font-weight:normal"><span style="letter-spacing:normal"><span style="orphans:auto"><span style="text-transform:none"><span style="white-space:normal"><span style="widows:auto"><span style="word-spacing:0px"><span style="-webkit-text-size-adjust:auto"><span style="text-decoration:none">Following this BAD INFORMATION has the potential to cost thousands of consumers a lot of money.</span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></p> 49Know This Before You Elect to Skip a Mortgage Paymenthttps://mycreditplan.org/Blog/PostId/45/know-this-before-you-elect-to-skip-a-mortgage-paymentFantastic ResultsSat, 28 Mar 2020 00:19:00 GMT<p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"><span style="font-family:Arial, sans-serif">During the Financial Crisis of 2008 and beyond, many homeowners found themselves upside down in their primary residence: they owed more on their mortgage than the value of their home. Lenders came up with a possible solution to offer consumers a loan modification. How did a modification impact their FICO® scores and their finances? There is something critically important to know before anyone goes down this path.</span></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"><span style="font-family:Arial, sans-serif"></span></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"><span style="font-family:Arial, sans-serif">Hundreds of thousands of homeowners were offered a loan modification in hopes of keeping their payments on-time. In most cases, a loan modification allowed homeowners to lower their payments for a period of time or even skip a few payments until the end of the loan.</span></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"><span style="font-family:Arial, sans-serif"></span></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"><span style="font-family:Arial, sans-serif">There was a big problem that many homeowners did not know until months and years later. There are two factors in calculating FICO scores that will drop FICO scores 50 to 60 points on average. In addition, past loan modifications had a great impact on such homeowner’s ability to get a mortgage for several years.</span></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"><span style="font-family:Arial, sans-serif"></span></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"><b><span style="font-family:Arial, sans-serif">What Happens to a Mortgage When Payments are Skipped or Modified?</span></b></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"><span style="font-family:Arial, sans-serif"></span></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"><span style="font-family:Arial, sans-serif">If someone has a mortgage payment of $1,500 and he / she runs into employment or other financial problems, such person is encouraged to complete a modification application with the mortgage lender. This can take several weeks and even a few months to gain approval. If approved, a lender grants a modification to the loan payment. In this example, the lender drops the loan payment to $1,300 for 12 months.</span></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"><span style="font-family:Arial, sans-serif"></span></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"><span style="font-family:Arial, sans-serif">Or you notify the lender that you lost your job. You ask the lender to skip a couple of mortgage payments and add them to the end. </span></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"><span style="font-family:Arial, sans-serif"></span></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"><span style="font-family:Arial, sans-serif">Both situations sounds workable – right? However, there’s a bigger problem looming that can impact FICO scores and finances for years to come. Many consumers have later discovered that if they would have known the true impact to their finances from a loan modification, they would have never agreed to it.  </span></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"><span style="font-family:Arial, sans-serif"></span></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"><b><span style="font-family:Arial, sans-serif">The Difference Between a Satisfactory and a Derogatory Account</span></b></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"><span style="font-family:Arial, sans-serif"></span></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"><span style="font-family:Arial, sans-serif">The credit bureaus classify a satisfactory account as one which a consumer has made payments on time over the last seven years. <u>A derogatory account is an account when a consumer has had at least one 30-day late payment, payments have been made less than what was originally agreed in the loan documents, or any changes to extend the payments on the loan.</u></span></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"><span style="font-family:Arial, sans-serif"></span></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"><span style="font-family:Arial, sans-serif">The lender does not have to report a 30-day late payment to show the account as a derogatory account. </span></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"><span style="font-family:Arial, sans-serif"></span></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"><b><span style="font-size:14pt"><span style="font-family:Arial, sans-serif">Why Does this Matter?</span></span></b></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"><span style="font-family:Arial, sans-serif"></span></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"><span style="font-family:Arial, sans-serif">FICO has two issues from a loan modification that most always lower a consumer’s FICO Scores. They are, <i>Number of Accounts with Delinquency (FICO #18)</i> and <i>Amount Owed on Delinquent Accounts (FICO #34)</i>.</span></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"><span style="font-family:Arial, sans-serif"></span></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"><b><span style="font-size:14pt"><span style="font-family:Arial, sans-serif">Number of Accounts with Delinquency </span></span></b><span style="font-family:Arial, sans-serif"></span></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"><span style="font-family:Arial, sans-serif"></span></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"><span style="font-family:Arial, sans-serif">How many is too many that it will drop your FICO Scores? One. </span></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"><span style="font-family:Arial, sans-serif"></span></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"><span style="font-family:Arial, sans-serif">So having a mortgage skip a payment (even though it is agreed to by the lender) will most likely lower your FICO scores from this issue – even if there are no 30-day late payments reported. Having not make the same payment that were agreed upon when the note was signed classifies this loan as a derogatory account. The drop to FICO scores from this issue can be 20-25 points.</span></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"><span style="font-family:Arial, sans-serif"></span></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"><b><span style="font-size:14pt"><span style="font-family:Arial, sans-serif">Amount Owed on Delinquent Account </span></span></b><b><span style="font-family:Arial, sans-serif"></span></b></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"><b><span style="font-family:Arial, sans-serif"></span></b></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"><span style="font-family:Arial, sans-serif">How does this factor impact FICO Scores? Whenever a derogatory account has a balance, it lowers FICO scores. A mortgage is usually a large balance. The drop to the FICO scores from this issue can be 25 to 30 points.</span></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"><span style="font-family:Arial, sans-serif"></span></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"><b><span style="font-size:14pt"><span style="font-family:Arial, sans-serif">The Drop to Your FICO Scores</span></span></b></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"><span style="font-family:Arial, sans-serif"></span></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"><span style="font-family:Arial, sans-serif">Add both issues up and you can easily see a drop in the FICO scores of 50 to 60 points from a loan modification with a mortgage.</span></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"><span style="font-family:Arial, sans-serif"></span></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"><b><span style="font-size:14pt"><span style="font-family:Arial, sans-serif">A Second Future Concern</span></span></b></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"><b><span style="font-size:14pt"><span style="font-family:Arial, sans-serif"></span></span></b></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"><span style="font-family:Arial, sans-serif">Many consumers who had a modification soon discovered that they were ineligible to refinance their mortgage to a lower interest rate. Most mortgage lenders prohibited a new mortgage from anyone who had a past loan modification. </span></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"><span style="font-family:Arial, sans-serif"></span></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"><span style="font-family:Arial, sans-serif">In addition, the borrower was ineligible to purchase another home and taking out another mortgage.</span></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"><span style="font-family:Arial, sans-serif"></span></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"><span style="font-family:Arial, sans-serif">This problem went on for four to five years after the modification. Such consumers were basically stuck in tehri mortgage unless they wanted to sell their home and rent. It was not until about 2016 / 2017 that mortgage lenders started dropping their restrictions on past mortgage modifications.</span></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"><span style="font-family:Arial, sans-serif"></span></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"><b><span style="font-size:14pt"><span style="font-family:Arial, sans-serif">What to Know?</span></span></b></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"><span style="font-family:Arial, sans-serif"></span></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"><span style="font-family:Arial, sans-serif">If you have no choice but to skip a mortgage payment, take advantage of this opportunity. Ask the lender for a letter certifying that skipping a mortgage payment will not impact your credit. This can give you some possible protection in case you discover your credit has been damaged.</span></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"><span style="font-family:Arial, sans-serif"></span></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"><span style="font-family:Arial, sans-serif">Get documentation if you can from the lender protecting your credit!</span></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"><span style="font-family:Arial, sans-serif"></span></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"><span style="font-family:Arial, sans-serif"></span></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"><span style="font-family:Arial, sans-serif">If you can still make your payment, you would be wise to most likely protect your financial opportunities – and your FICO scores.</span></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"><span style="font-family:Arial, sans-serif"></span></span></span></span></span></span></span></span></p> <p style="text-align:start"><span style="font-size:medium"><span style="font-family:Calibri, sans-serif"><span style="color:#000000"><span style="font-style:normal"><span style="font-weight:normal"><span style="white-space:normal"><span style="text-decoration:none"><span style="font-family:Arial, sans-serif">This is something you need to consider before you opt to skip a mortgage payment or modify your mortgage payments. </span></span></span></span></span></span></span></span></p> 45