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What‘s the difference between delinquency and default?

April 26, 2017Default Delinquency difference

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What‘s the difference between delinquency and default?

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10 Posted

Delinquency occurs when your loan payment is late (also known as past due). If you are delinquent on your loans, there are several options available to you to help you get back on track. Just contact ECMC Solutions to learn more. Default can occur when your loans are delinquent for 270 consecutive days or more. Defaulting on a loan has long-lasting and severe consequences, leaving you with few options to repair the damage. Default stays on your credit report for up to seven years and can prevent you from obtaining loans to purchase a car or buy a house.