tag:blogger.com,1999:blog-615490013609764120.post5881277563495921156..comments2023-10-16T09:53:51.621-04:00Comments on Single Guy Money: "Friendly" Call From My Mortgage CompanyMoney Crashershttp://www.blogger.com/profile/01458978398655534075noreply@blogger.comBlogger14125tag:blogger.com,1999:blog-615490013609764120.post-54111418341549366292009-11-28T08:54:21.890-05:002009-11-28T08:54:21.890-05:00The due date reads ##/01...not ##/15. You pay lat...The due date reads ##/01...not ##/15. You pay late each and every month. When I bought my second house, the new mortgage company said "I see you pay your mortgage an average of 7 days early. That'll make this much easier." I got a better rate & faster approval. You'll get a scowl & higher interst rate. You'll never notice because you won't know any better. Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-615490013609764120.post-88996086377880550822008-06-15T17:47:00.000-04:002008-06-15T17:47:00.000-04:00I have a virtual envelope (savings acctO at an e-B...I have a virtual envelope (savings acctO at an e-Bank for my mortgage payment. I fund it about a month early. The only thing that goes into the acct is mortgage payment. The only people with access to that acct is the mortgage company. It gets the 3.whatver% interest for about a month. If I get any extra cash, I throw it in that acct. The Friday before the 1st (due the first), I log on to Going Gazellehttps://www.blogger.com/profile/08663550763171586049noreply@blogger.comtag:blogger.com,1999:blog-615490013609764120.post-38654792442802588342008-06-14T02:46:00.000-04:002008-06-14T02:46:00.000-04:00I recently received a similar "friendly reminder" ...I recently received a similar "friendly reminder" call from my mortgage company too. Like most mortgages (check your closing documents to be sure), our payment is due on the 1st of the month with a free grace period through the 15th.<BR/><BR/>My wife and I purposely schedule our autopayment to go out on the 5th of every month just to give us some "wiggle" room in case one of our deposits doesn't Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-615490013609764120.post-35874416855932772012008-06-13T19:51:00.000-04:002008-06-13T19:51:00.000-04:00To address some of the comments, my mortgage is wi...To address some of the comments, my mortgage is with SunTrust Mortgage and I have numerous local branches in case I need to make a quick payment.SingleGuyMoneyhttps://www.blogger.com/profile/03525952724884778798noreply@blogger.comtag:blogger.com,1999:blog-615490013609764120.post-46009289378545971022008-06-13T19:36:00.000-04:002008-06-13T19:36:00.000-04:00I don't have a mortgage so I'm no expert on the ma...I don't have a mortgage so I'm no expert on the matter, but if the payment is due on the 1st, I'd pay it on the 1st.<BR/><BR/>Waiting any longer is taking advantage and regardless of whether or not it's reported to the credit bureau, it still doesn't look good on the bank's in house credit report. Meaning - you are damaging your reputation with your lender.Rinahttps://www.blogger.com/profile/13209460847141125783noreply@blogger.comtag:blogger.com,1999:blog-615490013609764120.post-25558952053436261602008-06-13T14:20:00.000-04:002008-06-13T14:20:00.000-04:00I pay on the 1st every month. It seems like you wo...I pay on the 1st every month. It seems like you would only get the benefit of the extra days for that first month that you wait 15 days. Because after that point, you still have a month in between your next payment. Paying on the 13th every month is the same as paying on the 1st every month after that intial 15 day delay of payment. Doesn't seem to be worth it to me.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-615490013609764120.post-61344212285055680582008-06-13T12:55:00.000-04:002008-06-13T12:55:00.000-04:00I would hazard a guess that you would think its OK...I would hazard a guess that you would think its OK to not pay rent until the 15th, despite the first being the due date. It's OK if they don't charge late fees until the 15th? I'm sure many small landlords would "politely" disagree, since they have bills due by the first, too. How about your friend you agreed to pay back; it's OK since there's "no late fee"? Oh, but with big banks, it's OK? Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-615490013609764120.post-51304655507936740812008-06-13T12:12:00.000-04:002008-06-13T12:12:00.000-04:00I've been autopaying on the 11th for about ten yea...I've been autopaying on the 11th for about ten years on my mortgage. I think I've had two of those polite phone calls in that time, and when the kids on the other end got it explained to them in simple terms that it's not "late" until the 15th, they quietly and politely went away.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-615490013609764120.post-77204484890940030992008-06-13T11:33:00.000-04:002008-06-13T11:33:00.000-04:00First of all, it's not a breach of your contract. ...First of all, it's not a breach of your contract. If it was, believe me, they would be charging you for the error of your ways.<BR/><BR/>Secondly, most mortgages are simple interest. Paying on the 14th of the month versus paying on the first has NO effect on the interest you pay for the month. Remember, folks, you received an amortization schedule with your mortgage documents. Your principle Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-615490013609764120.post-21773219256896526112008-06-13T11:28:00.000-04:002008-06-13T11:28:00.000-04:00When things were really tight , we used to do this...When things were really tight , we used to do this, but I agree with Jonathan, you're playing with fire. Agree also with Kara in that those few cents (especially few these days) are offset by the interest accruing on the mortgage. It's just not as obvious.<BR/>Finally, it is a breech of your contract, and whether or not it's reported, they have a record, and will not be inclined to offer you a Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-615490013609764120.post-37372643695341838762008-06-13T10:48:00.000-04:002008-06-13T10:48:00.000-04:00I set up our automatic payment for the 5th. Since...I set up our automatic payment for the 5th. Since my paycheck gets deposited on the 1st, I wanted to have a few days leeway in case it was ever late for some reason.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-615490013609764120.post-9187767127969910662008-06-13T10:35:00.000-04:002008-06-13T10:35:00.000-04:00We set up an automatic payment of the mortgage for...We set up an automatic payment of the mortgage for the 1st of the month. Using the grace period is like playing with fire. The "few cents" that you make will all be more than canceled out by one late payment.Jonathanhttps://www.blogger.com/profile/17860138674301441203noreply@blogger.comtag:blogger.com,1999:blog-615490013609764120.post-34398847826383352232008-06-13T09:25:00.000-04:002008-06-13T09:25:00.000-04:00We actually do the opposite. We pay at least 15 d...We actually do the opposite. We pay at least 15 days early each month, so that more of the money goes towards principal than interest. It's worked pretty well for us so far. I am not sure if all banks are like that or not, but that's the way our mortgage works.Karahttps://www.blogger.com/profile/17508929671452292482noreply@blogger.comtag:blogger.com,1999:blog-615490013609764120.post-39851529031704362512008-06-13T08:30:00.000-04:002008-06-13T08:30:00.000-04:00I am not sure whether this facility is available i...I am not sure whether this facility is available in the UK, but if it is, it sounds like a great idea to take advantage of it. Over the 25 year mortgage period those few cents that you save each month could add up.Anonymousnoreply@blogger.com