What happens if you miss a mortgage payment?

Missing a mortgage payment can happen to anyone. Whether it’s because of a job change, a surprise bill, or just a mix-up, it can feel stressful. The welcome news is that one missed payment doesn’t mean you’ll lose your home. But it’s important to act quickly. In this guide, we’ll explain what happens after a missed payment, how it can affect your credit, and what you can do to get back on track. You’ll also learn where to get help if you’re struggling. Understanding your options can make things a lot less scary.

What happens after a missed payment?

If you miss a mortgage payment, here’s what normally happens:

Your lender will try to contact you by letter, phone, or email.
You’ll still owe the payment, along with any late fees.
It won’t lead to repossession right away, but it’s important not to ignore it.

The earlier you act, the easier it is to fix the problem. One missed payment doesn’t mean you’ll lose your home, but it can lead to more serious issues if left unpaid.

Potential issues

Missing a mortgage payment can lead to several problems over time. Here’s what you should know:

Late fees and interest

Most lenders charge a fee if your payment is late.
You may also be charged extra interest on the missed amount.
These charges can add up fast, especially if you miss more payments.

Credit score impact

A missed mortgage payment can lower your credit score.
Lenders report missed payments to credit agencies after a certain number of days (usually 30+).
This can make it harder to get loans, credit cards, or even a new mortgage in the future.

Risk of arrears or default

If you miss more than one payment, you may fall into arrears.
After a few months, the lender might start legal action. This is called default.
In serious cases, it can lead to repossession (losing your home).

But remember that repossession is always a last resort. Lenders prefer to help you find a solution.

What should you do if you miss a payment?

If you miss a mortgage payment, don’t wait. Here’s what you should do:

Contact your lender

Get in touch with your lender as soon as possible.
Be honest about what happened. They may offer options to help.
The sooner you talk, the more likely they will help without penalties.

Payment holidays and repayment plans

Some lenders offer a payment holiday if you’re facing short-term issues.
You may be able to set up a repayment plan to catch up gradually.
These options vary, so ask your lender what’s available.

Get advice from a debt charity

Free help is available from organisations like StepChange, Citizens Advice, or National Debtline.
They can talk to your lender on your behalf.
They’ll also help you plan your budget and manage your other debts.

What should you do if you’re struggling with your mortgage?

If one missed payment is part of a bigger issue, like reduced income or rising costs, don’t wait for things to get worse. Here’s how you can deal with long-term mortgage struggles:

Government schemes

You may qualify for support like Support for Mortgage Interest (SMI) if you’re on certain benefits.
SMI is a loan from the government to help pay interest, not the full mortgage.
Other regional schemes or grants may be available depending on where you live in the UK.

Lender assistance

Lenders have a duty of care and are expected to treat you fairly. Many offer options such as:

Extended terms to reduce monthly payments.
Interest-only periods lower short-term costs.
Temporary payment reductions while you recover financially.

It’s better to ask for help early before missed payments affect your credit.

Speak with a mortgage broker

A mortgage broker can help you explore better deals or lenders who are more flexible.
They may be able to help you switch to a mortgage with lower monthly payments.
Brokers can also advise if you’re eligible to remortgage, even with missed payments on your record.

Missed mortgage payment FAQs

Here are answers to some common questions people ask when they miss a mortgage payment:

How many missed payments before repossession?

Lenders are required to treat repossession as a last resort and should explore other options first.
Repossession consideration usually won’t begin until three or more consecutive payments are missed.
Even then, courts will expect the lender to demonstrate they offered assistance first.
Most repossessions take several months and involve multiple warnings.

Will a missed mortgage payment affect my credit score?

Yes. If you’re 30+ days late, it may be recorded on your credit report.
The longer the delay, the more damage it can do.
A single missed payment might lower your score by 50–100 points or more, depending on your history.

Will my spouse’s or partner’s credit also be affected?

If you have a joint mortgage, then both people may be impacted.
The missed payment will show up on both credit reports.

Will I be able to get a new mortgage in the future?

It’s possible, especially if it was a one-off issue and you explain it.
Some lenders specialise in helping people with missed payments or poor credit history.
A mortgage broker can point you to those lenders.

Can I refinance or remortgage when in arrears?

It’s harder, but not impossible when you have arrears.
You’ll likely need to work with a specialist lender.
Expect to pay a higher rate, but it might still be better than falling further behind.

Summary

Missing a mortgage payment can feel overwhelming, especially if you’re already dealing with money worries. But you’re not alone. There are ways to take control. Acting early can stop things from getting worse and help protect your home and credit.

Missed payments can lead to fees, interest, and credit score damage.
If ignored, they can cause arrears or even repossession.
Lenders may offer repayment plans or payment holidays.
Government schemes are available if you’re struggling.
A mortgage broker can help you find lenders who consider your full story.

Worried about what comes next?

Speak to a mortgage broker today and get advice based on your needs. A bit of expert help can go a long way.