How long can you go without paying your mortgage and what interest does the bank charge you?

When you take on a mortgage, you’ve entered into a contract with a lender and they will expect to be paid back in a timely manner. However, borrowers can sometimes find themselves in financial distress or swamped by other issues in their life which may lead them to miss a payment.

Typically, your bank will grant you a grace period of 15 days during which you can make your payments without incurring any penalties. However, if you fail to get the agreed amount to your lender before that expires it will lead to late fees and eventually foreclosure.

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How long can you go without paying your mortgage and what interest does the bank charge you?

It is never a good idea to miss a mortgage payment, and if you know that you won’t be able to pay on time, you should contact your lender as soon as possible. Depending on the terms of the mortgage you took out, your lender may charge you a percentage of a flat fee if you are late with a payment.

Your financial institution will send you a letter after the first month you fail to make a payment. They will also report it to the credit bureaus which will ding your credit score making it harder and more expensive to get a loan in the future.

Each state is different but typically after four consecutive missed mortgage payments, lenders will begin the process of foreclosure on your home according to Bankrate. However, lenders would rather not foreclose on a house if it can be avoided and will try to work out a resolution.

Some options that you lender may offer you include forbearance, which would allow for a pause or lower payments for a short period of time, or a loan modification when longer term mortgage relief is needed. Either one of these will require you to show proof of financial hardship.