Consumers focus more on credit card debt than mortgage payments

U.S. consumers are more likely to pay their credit card obligations on time as opposed to their mortgage bills, according to a recent TransUnion study.

The report, which included consumers with at least a single credit card and a single mortgage, analyzed 30-day delinquency data on credit cards and mortgages from the third quarter of 2006 to the fourth quarter of 2010.

In its results, TransUnion found the percentage of consumers who are current on their credit cards but delinquent on their mortgages increased to 7.4 percent in the third quarter of 2010 – more than 3 percentage points more than the figure recorded in the first quarter of 2008. Oppositely, during the last three months of 2010, the percentage of individuals who were current on their mortgages but delinquent on their credit cards reached its lowest mark ever at 3.03 percent.

A number of consumers are dealing with tight financial restraints because of the current economy, forcing them to choose between paying off one debt over another. However, individuals who are letting their mortgages become delinquent in order to pay their credit cards in full may find that their credit reports are showing negative marks on both types of accounts.

In some instances, credit companies may make mistakes when relaying information to the credit bureaus, resulting in an unfair blemish on a person's credit report. However, by enlisting the services of a credit repair attorney, an individual may be able to investigate and remove any problematic and unfair items from his or her documents.