Does a Late Mortgage Payment Harm the Chance to Refinance?
When a person takes out a mortgage, he agrees to a repayment plan, usually one in which he pays back a portion of the principal plus interest every two weeks or a month. Often, after having the mortgage for a period of time, the borrower may seek to replace his current mortgage with another one, a process called refinancing. A failure to pay back the previous mortgage on time may have caused damage to the person’s credit score and could potentially lower the refinancing rates available to him.
