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15/06/2017 · If you have credit card debts, outstanding bill payments or a home loan, defaulting on a payment can be costly and leave a mark for between five and seven years 1. To protect yourself from falling into this financial pit, you should have sufficient savings to …18/05/2011 · What are the consequences of defaulting on your mortgage? If you do find yourself defaulting on a mortgage payment, then there are several consequences you should be aware of. The first two are the financial implications outlined above; you will be liable to pay a fee and the overall interest charged on your loan will ;· If you do not make your payments on time and in full, you are in default under the loan contract. When this happens, the lender has the right to take you to court (also known as starting ‘enforcement proceedings’) to recover the money you owe. If you don’t have the money, the lender can sell any assets you listed on the