Occasionally overdue monthly mortgage payments will have consequences. If the mortgage overdue period is relatively short, the first step is to repay the loan immediately, and you can communicate with bank staff over the phone to discuss overdue issues. Under normal circumstances, banks will have a certain grace period for repaying a loan one day late. If it is seriously overdue (more than 90 days), the credit report may become a black account, and you will not be able to apply for any loan business before the overdue repayment. Secondly, overdue fees will incur additional fees such as liquidated damages and overdue interest.

What to do if the mortgage loan is overdue

1. Apply for deferral of loan repayment:

① During the performance of the original mortgage contract, if the borrower cannot repay on time according to the original repayment plan For loans, you can submit a written application to the lending bank to extend the loan period. After approval by the lending bank, you will sign a personal housing loan deferred repayment agreement and go through the relevant procedures. At the same time, the guarantor will sign the deferred repayment agreement.

② The borrower can only apply for a loan extension once. The sum of the original loan term and the extended term shall not exceed 30 years. When the original loan term plus the extended term reaches the new interest rate grade, the loan will be extended from the extension period. From now on, loan interest will be calculated based on the new term grade interest rate. Interest already accrued will not be adjusted.

2. Transfer or sell the house:

①With the consent of the bank, the purchased house can be transferred or sold, and the proceeds from the transfer or sale can be used to repay the loan

② The new buyer enters into a mortgage contract with the bank, and the new buyer continues to perform its repayment obligations.

Although this is not an ideal method, it is much more proactive than the bank's resolution through auction or litigation, and the economic losses are smaller.

3. Apply for a moratorium on principal repayment: If a home buyer only encounters difficulties in cash flow in the short term, he will not apply for an extension of the loan period. Instead, he can try to apply for a moratorium on principal repayment with the bank. There are currently many bank mortgage loans that you can apply for. When a borrower is unable to repay, he or she can temporarily explain the situation to the bank and apply for a moratorium on principal repayment.