Most people delay small payments for credit cards thinking this will not have any effect in their credit score. The truth is however opposite. When you make late payments for any sum, be it as menial as 20 bucks, it can greatly damage your credit history. A late payment of 90 days is mind boggling equivalent to filing for bankruptcy. Thus removing late payments from your credit history is very crucial for a healthy credit score.
The credit agencies associate as high as 35% for punctual payment. The act of paying late is viewed as an indicator of future default by the customer, thereby lowering credit scores for a person. Worse even, these late payments are reflected in the credit history for 7 long years.
There are not many ways to remove the late payments, but the ones available ensure that your credit history does not go to toss for small mistake from your side. The most common way for removing late payment from your credit history is by contacting the creditor with your reasons for late payment along with a written application explaining your late payment. Usually for occasional 30 days to 60 days late payments are adjusted and erased by the creditors.
Second way for removing late payment from your account is through negotiation with the creditor. When you frequently make late payments as long as 30 to 60 days or in case you suddenly make a late payment for 90 days, asking the creditor for removing it would not work. The creditor would demand substantial proof that you would not default in future, before letting your credit scores improve. In such cases signing up for automatic payments works best.
Additionally, you might dispute your late payments with credit bureaus as inappropriate or inaccurate. Although this is not the best approach and should be followed at last, it might help in removing late payment, if your creditor can not verify the exact amount.
The credit agencies associate as high as 35% for punctual payment. The act of paying late is viewed as an indicator of future default by the customer, thereby lowering credit scores for a person. Worse even, these late payments are reflected in the credit history for 7 long years.
There are not many ways to remove the late payments, but the ones available ensure that your credit history does not go to toss for small mistake from your side. The most common way for removing late payment from your credit history is by contacting the creditor with your reasons for late payment along with a written application explaining your late payment. Usually for occasional 30 days to 60 days late payments are adjusted and erased by the creditors.
Second way for removing late payment from your account is through negotiation with the creditor. When you frequently make late payments as long as 30 to 60 days or in case you suddenly make a late payment for 90 days, asking the creditor for removing it would not work. The creditor would demand substantial proof that you would not default in future, before letting your credit scores improve. In such cases signing up for automatic payments works best.
Additionally, you might dispute your late payments with credit bureaus as inappropriate or inaccurate. Although this is not the best approach and should be followed at last, it might help in removing late payment, if your creditor can not verify the exact amount.
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