What should you do if you missed your mortgage payment deadlines?

If you are unable to make payments according to the schedule, inform the bank as soon as possible. This will help minimize the consequences of overdue payments. You may be offered to apply for loan restructuring.

Possible consequences of overdue payments are specified in the agreement with the bank.

The most likely consequences are described below:

• For each day of loan payment delay, the bank will charge a penalty; its amount is specified in the agreement.
  
• If mortgage payments were overdue 3 times within a year, the bank may demand early repayment of the full mortgage amount. The bank may also send a proposal to sell the apartment in order to repay the loan. If an agreement cannot be reached, the bank may go to court.
  
• In court, the Borrower has the right to request a postponement of the sale of the mortgaged property (Article 54 of the Mortgage Law). If the postponement expires and the loan has not been repaid, the court may sell the property through a public auction. Court costs and the borrower’s debt to the bank are deducted from the proceeds received after the sale of the property. The remaining funds are transferred to the borrower.