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Missed Payments
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A credit company will
contact the Credit Bureaus if your payment
is 30-days late, which will show in a 30-day
delinquency on your credit report. If that
same payment is missed 2 months in a row, it
becomes a 60-day delinquency. If it is
missed again it becomes a 90-day
delinquency. After 90 days, a creditor will
generally send it to a collection agency.
This will then show as a charge off on your
credit report. A Charge-off shows that the
credit company has “sold” your debt to a
collection agency for them to collect
payment. If you make the payment to the
collection agency your credit report will
still show that it needed to be sent to a
collection agency.
A missed payment will cause your credit
report to have a negative mark placed on it.
The average negative mark stays on a credit
report for seven years. This negative mark
on your credit report will also affect you
FICO score, which is often used when money
is being borrowed for a car or home
purchase.
You will want to check your credit report
for missed payments. Many times they are
reported falsely to the credit bureaus. If
you find that you have falsely reported late
payments contact your credit company or
contact a credit restoration company to have
them removed |
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