Credit Card Interest Rates Affected by Late Mortgage Payments

Author: Guest
Posted: Fri Jun 11, 2004 11:27 am
Post subject: Late payment on Mortgage, increase on CC rates??

Hello, I am just wondering if late payment on mortgage is included in the credit card APR rate increase? All of my credit cards have fine prints of increasing my apr if I have problems with other creditors. I have Citibank, 3.9% balance transfer, and 7.9% APR on BofA and Chase. I don't want my interest to jump up. Please reply.

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Author: NightStar
Forum Moderator
Joined: 07 Nov 2003
Posts: 2193
Location: Illinois
Posted: Fri Jun 11, 2004 4:55 pm

When credit card companies do account reviews they look at your credit report and can default your interest rate for seeing anything negative on the credit report, weather it be with them, or with other creditors... don't matter if the other creditor is another credit card company or mortgage company. It is far worse to have a late on a mortgage then it is to have a late on a credit card - because when you go to refinance on the mortgage it may come back to bite you later on. You can always transfer a credit card to a new creditor, or ask for re-aging to remove the late... get back into their good graces for just one late, but it is harder to do that with a mortgage loan.

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