Had an 800 credit score, it’s going to tank into the 600s now I’m sure because there was an issue with my bank returning the mortgage payment and due to an incredibly stressful month, I didn’t notice it. Not making excuses, but it happened.
We wanted to sell our home and buy a larger home next year around this time. Will I be able to get a new mortgage with this one 30 day late payment? My credit history is otherwise solid no late payments ever. I feel horrible about this. Our income is solid and DTI should be in the 30% range.
Will I be able to get a new mortgage with one 30 day late payment on my credit score?
byu/cynnie93 inRealEstate
Posted by cynnie93
3 Comments
Talk to a lender.
It depends on the type of loan, how long ago you missed a payment, and you’re saying “our”, so the other half of your applications’ credit score and history too.
Call your bank and request a one time forgiveness on your late payment. Worst they will say is no.
One 30-day late isn’t going to disqualify you from a new mortgage, especially with the profile you’re describing. Lenders look at the full picture, and a single isolated late on an otherwise clean history is very different from a pattern.
On the score side, you’re probably not gonna land in the 600s. A single 30-day late on an 800 score typically shaves off somewhere in the 50-100 point range depending on how much history you have. You could very well still be in the 720+ range, which keeps most conventional loan products fully accessible.
Two things that I would do:
Get a letter of explanation ready. One clear paragraph, don’t do too much, just note is as “bank processing error, isolated incident, no pattern” language. Underwriters actually read those and it makes a real difference.
Also don’t wait until you’re ready to list to check in with a lender. Get a pre-qual conversation going in the next 30-60 days so you know exactly where you stand. If the score did take a hit, having 6-12 months before you need the loan gives you time to recover it naturally.
With solid income and a 30% DTI you’re actually in a strong position. This one hiccup is very unlikely to mess up anything that you have lined up.