The point at which a late payment is reported to the credit bureaus can vary quite a bit.
There’s a grey area between 30-60 days late where some companies will report and some will not.
Imagine this: Your monthly credit card bill comes in and you get that sinking feeling in the pit of your stomach because you know your bank account doesn’t have enough money to make the minimum payment. And in those cases, the thought that runs through your mind is, “What happens if I don’t pay my credit cards?
” Below, we’ll attempt to describe all the possible scenarios that can result from not paying your monthly credit card bill and provide advice for how to handle these situations.
Unfortunately, it will have a pretty dramatic effect.
Experts say that regardless of your current credit score, a mark of 30-60 days late will usually lower your credit score by 60 to 110 points!
At this point, you can expect to receive calls from the internal collections agents who work for the credit card company.
The credit bureaus maintain your credit report and compile your credit score, which lenders use to determine whether to let you borrow money – and at what interest rate.
When you have missed a payment, your credit card company can play “hardball” and report you immediately after the 30 day window is up, or they can give you a bit of time to fix the problem before reporting it.
Before we go any further, it’s important to explain what you should do immediately as soon as you realize you can’t make a minimum payment: 1.
Find the phone number for your credit card company and give them a call. When you get a customer service representative on the line, tell them that unexpected circumstances have made it impossible for you to make your minimum payment on time this month (If this is the first time it has happened, make that clear). Tell them when you will be able to make the payment. Ask if they can change your due date just this one time and if they would be able to waive your late fee.