A common complaint I have heard from clients is regarding late payments posted by the credit card company. The first advice is to contact the credit card company about the late payment to see if they can not report it late. Note: They do not report instantaneously to a credit bureau.
Usually it takes about 1 or 2 months for them to report. For example right now we are in the month of March. If you pulled your credit report most of your creditors still have not updated your report since January. There is a lag between the time you sent in your payment and the time it shows on the credit report.
That being said let's say you were late with a payment and it does show on your credit report as a late payment. What should you do?
First thing is to get a payment to them and try to get current as quick as possible. If you missed one payment you do have to pay two payment the next month. Just because you made a payment will not make your account current. You have to make this month's payment as well as the payment you missed and late fee possibly.
For example let's say you owed $150 as your minimum payment and you did not make the payment. Next month you will have to pay at least $300 and possibly the late fee. I know some creditors require you to pay the missed payment plus any late fee. You want to make sure you know the rules so your account will show current on your credit report as soon as possible.
Once your account is current, attempt to stay current as long as possible or when the account is paid off. A recent late payment will hurt your score more than a late payment, which is two years old. When a creditor reviews your account they will see a missed payment, but then how soon you were able to get the account current and stay current.
Teddy Danfield
Visit http://debtstrength.com
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