Why are Late Payments Worth Noting?
When your credit score is calculated, 35% of the total is determined by the way that you pay your bills. This means that if you pay your bills late, then your score will automatically go down. A pate payment could be from a credit, a late car payment or even a delayed mortgage. The drop can be between 80 to 110 points. Over time, it will get better and the late payment will have less of an effect though your creditors will still be able to see it in your report. The late payments are listed as being between 30 and 120 days late. If the payments are later, then the effect on your credit score will be much worse.
Credit Repair of Late Payments
Ideally, you should sort out the payment before it reflects as a late payment on your credit score. Typically, you have up to thirty days after the due date to settle so that it does not appear on your credit report. If you have been an excellent client, it is possible that your creditor may even give you some more time before listing it on your report.
You need to ask the creditor for a goodwill adjustment so that you can remove a late payment, especially after you have cleared the outstanding. This can be done by writing in a letter and offering an explanation as to why the payment was late. With their forgiveness, the charge will be taken off your report.
Another step that you can take is ensuring that the late payment listing is indeed accurate by going through your credit report in detail, and counterchecking with all your statements. If you think there has been an error, you should dispute it with the credit reporting bureau.
You could also ask for a credit repair professional to enter a negotiation with a creditor by making them an offer. This could be for you to make automatic payments in the future to ensure that there is no other default. This develops trust and is a win win situation.
Finally, you can create some new habits that will reflect on your report such as ensuring that all other payments are made on time or before time. This will diminish the impact of the late payment and help your credit score improve much faster. Discount Credit Repair can help you with all of this.