Real Estate Term of the Day: Delinquent
DELINQUENT – past due. The state of having an unpaid amount after the due date and any grace period afforded has passed. Normally, delinquency occurs before a mortgage default is declared (Barron’s Dictionary of Real Estate Terms)
Most banks will give a 15 day grace period for your mortgage. However, if a payment isn’t received they will charge a late fee (typically a percentage based on the mortgaged amount), see your Note for the terms of a late payment. A delinquent payment on a mortgage can also result in a negative credit reporting on your credit history and FICO scores. If you think you will have a hard time remembering to make payments, you can always set up a direct payment with your bank.