topic Re: Late Payment Question in Rebuilding Your Credit

Late Payment Question

mnosal9 — Sun, 27 Jan 2013 15:24:25 GMT

Maybe a dumb question i dont know, but im going to ask anyways :) Do late payments only count for open accounts. My credit report says 5 lates in 2011 from my 5 student loans but I also had a late payment on my credit card that same time but the credit card is closed and it doesnt show as one of my late payments affecting my score. Thanks in advance

Re: Late Payment Question

guiness56 — Sun, 27 Jan 2013 15:53:51 GMT

Is the account showing as a negative TL?

Re: Late Payment Question

mnosal9 — Sun, 27 Jan 2013 16:15:26 GMT

Its showing under negative but closed account, but not counting as a missed payment . I am consolidating my student loans so im just curious if my missed payments will go back to 0 , since the student loans will be paid and closed.

Re: Late Payment Question

guiness56 — Sun, 27 Jan 2013 16:24:18 GMT

If it is showing as a negative account, it is impacting your score.

Late payments don't work like that. They don't go away because the account is closed.

A late payment comes off 7 years from the date of occurence. Once they are all gone, the account could become a positive account and remain for up to 10 years.

Re: Late Payment Question

RobertEG — Sun, 27 Jan 2013 20:18:47 GMT

Open or closed, the issue of continuing to have delinquencies depends on whether they are continuing to bill on the debt, thus setting a due date upon which to base being more than 30 days past the due date.

If the account is closed and they discontinue billing, the last delinquency would be the one that occured when they last billed. However, delinquent debt continues after account closure, and if they continue efforts to collect, new delinquencies can accrue.

It appears you had a late payment after account closure that was reportable, but they chose not to report it. They can always report at a later date.

Re: Late Payment Question

mnosal9 — Mon, 28 Jan 2013 14:36:35 GMT

thank you everyone :)