Beware of Paying Your Mortgage Early

[Texas Proud]

I agree it's not clear. You never get the whole story from articles in the media. In the borrowers' mind the payment was intended for January. From that point of view, it was early. From their account's point of view, it may not be early; it may be late. Reporters didn't ask or report on this critical question. "Florida Couple Foreclosed On For Paying Mortgage Late" wouldn't make a good headline, would it?

It could have been made clear when it was for if the people put "January" in the memo line... or something that indicated it was for the loan modification....

Remember, the bank is big... there is a lockbox person who has NO idea there is a modification going on... etc. etc. etc...

Also, they could have sent the check to the person doing the modification who would have known what it was for...