Profile picture for user4579151

can a bank send you a past due notice before the due date?

most loans are set up like you have from th 1 st to the 14th at 5 pm to make a payment, ect, i have always payed. (on time) but my bank sent the past due notice out on the 8th of the month, i have never been late,this was sent to me well before the due date, is this a breach of contract on the banks part. what should i do im on ssi, disabillity. i have called them they say im not late but they never sent me saying anything was told to disregrad, this put me into panic, surching through all my past bills to make sure that i payed, i thought i was going to have to ask, family, freinds for help this would have inparesed me, so upset, i feel they preached there own contract buy doing this to me and maybe others.
  • April 25 - Freeport
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Answers (5)

Did you know that you pay extra interest each day your payment is not posted on the banks books by the 1st?   Interest is owed on the unpaid balance at a daily rate based on the overall interest rate.  What you probably got was a "Hey don't forget us" note.   Nothing illegal about it and it is not a breach of any kind.   Pay the bill now
  • April 27
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Mortgage payments are typically due on the 1st, but not subject to late fees until the 15th.  The exact details are spelled out in your initial loan documents, on the mortgage "note". It's not common, but legal, for lenders to send out reminder notices before the 15th, in many ways reminding the borrowers BEFORE the late fee is assessed is a good thing.  Payments received during the month due cannot be reported as late to the credit bureaus, which is the most important point of all.  Hope that helps.

Ted

  • April 27
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Do not assume anything about most loans. You just need to look at what YOUR loan says about the late date. If you get a bill from the bank each month then the Late Date is on the bill. I have never seen a mortgage allow payments to be as much as 14 days without being late and they NEVER say 5pm or any other time.
  • April 26
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Profile picture for wetdawgs
As you are concerned about them breaching contract, please pull out your contract and look carefully to see what the actual due date is.   Is it possible you are interpreting the end of the grace period as the due date, rather than the actual due date?

  • April 25
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Profile picture for Brookstone Mortgage
Your payment is due on the 1st (the due date per your note) and you may have a grace period until the 15th. Paying during the grace period does not mean your payment is not late, it just means you won't pay a penalty for it being late during that time. If you regularly pay on the 14th, then you regularly pay late. Even though this won't affect your credit, it's still late.
  • April 25
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