Arrears
If your mortgage payment is even one day late, you are technically in arrears in the eyes of your lender. If this happens, the borrower should immediately speak to the lender and discuss what options are available. Most lenders have a short grace period, but you could soon be subject to arrears penalties or late fees. If you are more than a month late, your bank may call to warn that you are at risk of default or simply send you a letter of default.
