A single late payment can drastically lower a person’s FICO credit score and increase the costs of borrowing. Some examples:
Consumer starting score: 680 720 780
FICO score after:
30 days late on mortgage 600 – 620 630 – 650 670 – 690
90 days late on mortgage 600 – 620 610 – 630 650 – 670
Short sale / deed-in-lieu
/ settlement 610 – 630 605 – 625 655 – 675
Short sale with deficiency
balance 575 – 595 570 – 590 620 – 640
Foreclosure 575 – 595 570 – 590 620 – 640
Bankruptcy 530 – 550 525 – 545 540 – 560
Consumer starting score: 680 720 780
Recovery time after:
30 days late on mortgage 9 months 2.5 years 3 years
90 days late on mortgage 9 months 3 years 7 years
Short sale / deed-in-lieu
/ settlement 3 years 7 years 7 years
Short sale with deficiency
balance 3 years 7 years 7 years
Foreclosure 3 years 7 years 7 years
Bankruptcy 5 years 7 – 10 years 7 – 10 years
SOURCE: FICO Banking Analytics Blog