<p>I figured I might ask the parents since they’re older and much more experienced. I have one credit card and this past summer (June) one payment arrived late (say two-three days late). Consequently they raised my interest rate the next billing statement but when I paid it off in full, they lowered the rate back down the following billing statement. My question is, how will this affect my credit score, if at all? Anyone been through something similar? Before this happened, my credit score was 710. Thoughts? Thanks in advance.</p>
<p>P.S. I’ve been making my monthly payments and paying off my credit card on time since then with no other delinquencies.</p>
<p>Check your credit report to be sure, but I don’t think it should affect it. Keep your balances way down or paid off.</p>
<p>I agree–check your credit report…technically, they could report it, but they don’t always do it. If it was only late from one billing cycle, it probably won’t affect your credit score. BUT DON:T LET IT HAPPEN AGAIN!!! :)</p>
<p>For two or three days late they will whack you in interest rates, but they won’t report you to a credit agency. For that, you would generally have to be more than 30 days late with a payment. Never forget that credit card companies are not your friend, though. Pay the $15 for a credit score and check it yourself.</p>
<p>minorityman - for future reference: you say your card payment arrived late - about two to three days. If you mailed the payment with enough time to arrive you can always call and ask that the late fee be rescinded.</p>
<p>If you usually make your payments on time most credit card companies will rescind the late fee and count the payment as made on time.</p>
<p>Under federal law you are entitled to a free credit report for the following:</p>
<p>Are unemployed and intend to apply for employment in the next 60 days</p>
<p>Are on public welfare assistance </p>
<p>Believe your file contains inaccurate information due to fraud</p>
<p>You are also entitled to a free report if you have received notice of an adverse decision (such as denial of credit, insurance, or employment) within the past 60 days </p>
<p>The fees for Equifax vary from state to state and are less than $15 and some states require the credit bureaus to supply FREE reports once every calendar year. Check this website:</p>
<p>First, congratulations on your responsible use of credit since the late payment. Late payments are reported as 30 days, 60 days, 90 days, etc overdue. So, if you are 2-3 days or even 15 days late, your credit report won’t take a hit. </p>
<p>As you have found out, what may take a hit is the interest rate of that credit card or any other accts you have with the same bank. Be careful now. If you are late again before June, your rates will be raised and probably not lowered for a year, even if you pay off the account. Many banks raise interest rates with a single late payment but all banks raise interest rates for a 6-12 month period with 2 late payments in a 12 month period. </p>
<p>You can get one free credit report from each of the three agencies once every 12 months. This will not include your FICO score but it will show you what has been reported.</p>
<p>Go to this site for an explanation. There is only one site where you can get these free credit reports and it is a government site. You cannot get them for free from the the credit bureaus themselves unless one of the events in Westcoastmom’s post happens. </p>
<p>[Your</a> Access to Free Credit Reports](<a href=“http://www.ftc.gov/bcp/conline/pubs/credit/freereports.shtm]Your”>Free Credit Reports | Consumer Advice)</p>
<p>One good strategy is to order a report from a different agency every three months so that you can check for free throughout the year. </p>
<p>Also, be careful about the due date. With the new credit crunch, some banks are randomly backing up due dates by one or two days hoping for the fallout from late payments. If you don’t get paper statements, know your closing date and go online and check payment due date each month so that you won’t miss it by a day and be in default again. If you get paper statements, check due date and get it on the calendar as soon as your statement comes in. (Bank of America and Capital One have recently been reported doing things like this).</p>
<p>In the future you could ask them to lower the interest rate and waive the fee, or threaten to cancel the card. If you pay off your credit card every month, I would use AmEx - almost unlimited credit, do not charge you late fees, and immediate refund for wrongful charges (I sound like a AmEx commercial).</p>
<p>Also after checking your reports, some credit cards report to only 1 or 2 credit reporting agencies although MOST report to all 3. In this credit crunch environment I would not be surprised if it was indeed reported as late.</p>
<p>If it was reported as such, write a “goodwill” letter to the credit card company and explain to them the situation and refer to your past prompt and timely payments. </p>
<p>To keep your scores up try to keep individual and combined card balance(s) utilization to under 10%, specifically for revolving balances. Amex does still have “charge” cards which require PIF monthly but my kiddos have the Amex “Blue” student card, which is a revolving credit card. The Blue reports limits which helps in the overall utilization ratio as that limits are reported vs. cards were the limit is NOT reported.</p>
<p>Good luck.</p>
<p>Kat</p>