New 30 day late on 2nd Mortgage

[Anonymous]

We are in the process of moving to another state.  We are not able to sell our house but will be renting it out.  We were pre-qualified to have both mortgages last week.  We have always had problems with our 2nd mortgage company.  Their accounting practices are terrible.  Well we found out today that they reported us as 30 days late.  When I look at our credit report they have the Account Status as 30 days late, but the payment history shows as current.  My question is will our scores take a hit?  Why would they have reported it in that manner?  We called them several times today trying to figure out what they did.  It will probably take us a few weeks to get this taken care of, so we are going to go ahead and pay them so it will not continue to say 30 days late.  So next month won't the Account Status have to say As agreed? 

Our LO believes we will still be ok applying for a new loan because our DTI is perfect.  We only have a small credit card and one car payment.

Thanks for your help.

[llecs]

A new 30-day late on a clean report can be damaging, though it certainly doesn't mean an automatic denial I wouldn't believe. I would ready your proof of payment though, including statements, check copy, autodraft copy, etc. You could get that lender to remove it if you press them enough.

[cdtotten]

For many lenders, a 30 day late on your mortgage within the past year will instantly kill the deal. You need to get a hold of the mortgage company and get it corrected asap. If not, I wouldn't think your odds of purchasing a new home will be good at all.