What Happens If You Pay Your Mortgage Late?

Understand More About Our Grace Periods and Late Fees

Making a late payment on your mortgage can cause complications. If your payment to Freedom Mortgage is going to be late because of financial hardship or other difficulties, here’s what you need to know!

What Is the Grace Period for Late Payments at Freedom Mortgage?

At Freedom Mortgage, the typical grace period is 15 calendar days after your payment due date. This means that the payment must be made by the end of the day on the 16th day from the due date, to avoid incurring a late fee. Specific information about your grace period can be found on your monthly billing statement.

When Are Freedom Mortgage's Payments Credited?

You must submit your payment by 10:59 PM Eastern Time for it to be credited that same day. All payments submitted after 10:59 PM, Eastern Time will be credited the next day. This means that you must submit your payment before 10:59 PM on the last day of your grace period to avoid a late fee. If you submit your payment after 10:59 PM on the last day of your grace period, you will be charged a late fee. If you choose to schedule a payment for a later date, it will be credited to your account on the date you selected. Mailed payments are credited to your account as of the date received by Freedom Mortgage. They are not credited using the mailing or postage date. This means we need to receive your mailed payment by the last day of your grace period for you to avoid a late fee.

Is It Okay to Make a Mortgage Payment During a Grace Period?

If you make your mortgage payment during a grace period, you will avoid a late fee. If you make a payment after the grace period ends, you will incur a late fee.

What Happens If You Make a Late Mortgage Payment?

In addition to the potential assessment of late charges, the Fair Credit Reporting Act requires that accurate information be furnished to the Credit Reporting Agencies (CRAs). Account information is furnished to the CRAs monthly, at the beginning of the following month. If a payment is not received within the month when it’s due, the loan status furnished to the CRAs will reflect the late payment.

How Are Mortgage Late Fees Calculated?

The late fee calculation varies, and is determined based on the terms of your loan. Your billing statement also includes the amount of the late fee (if any) that will be assessed if your payment is received after the grace period.

What If You Can’t Make Your Mortgage Payment?

If you are unable to make your mortgage payment, please contact us as soon as possible. You may qualify for temporary or long-term relief. Freedom Mortgage’s assistance programs include:

• Reinstatement, where you pay the total past-due amount, if you are able
• Repayment plans, which allow you to pay back the total past-due amount, over time, in addition to your monthly payments
• Forbearance, a short-term plan that reduces or suspends your mortgage payments for specific situations, then you pay back the total past-due amount at the end of the plan
• Loan modification, where you catch up on missed payments by working with your lender to change the terms of your loan (such as adjusting the interest rate, your remaining number of payments, or your unpaid balance)

*Freedom Mortgage is not a financial advisor. The examples outlined above are for informational purposes only, are not intended as investment or financial advice, and should not be construed as such.

Last reviewed and updated March 2025 by Freedom Mortgage.