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New Contributor
sherry
Posts: 96
Registered: ‎05-01-2007

What does 30 days late mean

I was recently listening to FOX news and heard Judge Napalitano state something to the effect of  that we can make payments even on the 30th day and not be delinquent.. ( from a credit bureau standpoint)

Question. What does 30 days late mean or past due 30 days...

30 days past due the linguistics of the statement imply that if payment is made on the 30th day it cannot be past 30 days late or 30 days past due because the payment was made on the 30th day. therefore if the payment was made on day 31 that would be considered 30 days past due..

 

 

I agree with the judge thus any creditor whom you have made a payment to on the 30th day should remove the delinquency off the credit account. I have called the credit bureaus to inquire about this and I got one rep who couldn't really answer to my satisfaction and the other reps that I spoke to about  in total pushed me off until I had to repeat the question and pin them in the corner...II had one representative agree after speaking to him about the question for a good 20minutes literally.

If there is anyone that diagree or agree let me know.. And if you've had a situation where you had to fight down to the last day, what were the results

Thanks

 


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Super Contributor
DI
Posts: 5,767
Registered: ‎01-28-2008

Re: What does 30 days late mean

Anytime one is more than 30 days late after the due date is when it affects one's credit score.  Late payments are reported to the CRA's after the 30th day when no payments was received.

Super Contributor
marty56
Posts: 5,679
Registered: ‎10-06-2007

Re: What does 30 days late mean


sherry wrote:

I was recently listening to FOX news and heard Judge Napalitano state something to the effect of  that we can make payments even on the 30th day and not be delinquent.. ( from a credit bureau standpoint)

Question. What does 30 days late mean or past due 30 days...


 

 IMHO the judge is wrong and  I am not aware of any law that states that a payment must be credited on the day it was made.  Also CRAs don't determine whether a payment was late or even made, the lender does and any dispute on that is between you and the lender if the lender validates to the CRA the content of the report.

 

Remember a CRA must report accurately.  The information does not have to be accurate.

 

 

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Mega Contributor
RobertEG
Posts: 17,456
Registered: ‎03-19-2007

Re: What does 30 days late mean

There are two diiffernce occurances that are typically called a 30-day late.  One is wit your creditor, and the other defines what is reportable to a CRA.

 

The process starts with the terms of your account with the OC.  The creditor posts a monthly billing statement that specifies the due date.  If you either dont pay the minimum amount specified in that statement by the due date in the billing statement, or submit payment after the billing due date, you are what is called by the creditor as being 30-days past your billing date.  While this subjects you to late fees under your account agreement, such "lates" are not reportable to a CRA until 30-days after the billing due date, as opposed to the billing date.  You can thus be delinquent without reporting to the CRA, if the delinquency does not extend that additional 30-days.

Senior Contributor
O6
Posts: 3,626
Registered: ‎10-13-2009

Re: What does 30 days late mean

 


marty56 wrote:

sherry wrote:

I was recently listening to FOX news and heard Judge Napalitano state something to the effect of  that we can make payments even on the 30th day and not be delinquent.. ( from a credit bureau standpoint)

Question. What does 30 days late mean or past due 30 days...


 

 IMHO the judge is wrong and  I am not aware of any law that states that a payment must be credited on the day it was made.  Also CRAs don't determine whether a payment was late or even made, the lender does and any dispute on that is between you and the lender if the lender validates to the CRA the content of the report.

 

Remember a CRA must report accurately.  The information does not have to be accurate.


 

 

 

Payments must be credited on the day received. 

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Super Contributor
marty56
Posts: 5,679
Registered: ‎10-06-2007

Re: What does 30 days late mean


O6 wrote:

Payments must be credited on the day received. 


http://www.federalreserve.gov/consumerinfo/wyntk_creditcardrules.htm

 

CCCs can have a cut off time of no earlier than 5pm.  2pm used to be common but now it is probably 5pm since that is the law. 

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Senior Contributor
O6
Posts: 3,626
Registered: ‎10-13-2009

Re: What does 30 days late mean

 


marty56 wrote:

O6 wrote:

Payments must be credited on the day received. 


http://www.federalreserve.gov/consumerinfo/wyntk_creditcardrules.htm

 

CCCs can have a cut off time of no earlier than 5pm.  2pm used to be common but now it is probably 5pm since that is the law. 


 

Exactly.

 

And even though the payment is credited on the day the lender receives it, they do not have to replenish the credit limit immediately.  They can wait until they are sure the payment has actually cleared and there are no chances for reversal.

 

IME, lenders have been crediting payments as of the day received for a long time now, it's just the new rule ends arbitrary cut-off times that many attributed simply to chumming for late fees. 

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Lel
Posts: 5,268
Registered: ‎03-18-2008

Re: What does 30 days late mean

 


O6 wrote:

 


marty56 wrote:

O6 wrote:

Payments must be credited on the day received. 


http://www.federalreserve.gov/consumerinfo/wyntk_creditcardrules.htm

 

CCCs can have a cut off time of no earlier than 5pm.  2pm used to be common but now it is probably 5pm since that is the law. 


 

Exactly.

 

And even though the payment is credited on the day the lender receives it, they do not have to replenish the credit limit immediately.  They can wait until they are sure the payment has actually cleared and there are no chances for reversal.

 

IME, lenders have been crediting payments as of the day received for a long time now, it's just the new rule ends arbitrary cut-off times that many attributed simply to chumming for late fees. 


 

So if I understand the link correctly, if someone has a payment due on April 30, and does not submit the payment until 5:01pm on April 30 (after the bank's close of business), then they payment would NOT be considered to have arrived on April 30, and thus wouldn't be credited on that day.

 

I think some of my credit cards do define a cutoff time for payments.  Some of them are later than 5:00, I believe.  I'd have to check on this.

 

 

Getting back to the original question, if a payment is made on the 30th day past the due date, then I'd have to believe that it would still be considered 30 days late.  Consider the due date example above.  If payment was due on April 30 and you paid on May 1, then you would be one day late.  If the payment were made on May 15, it would be 15 days late.  By extension, if the payment were made on May 30, it would be 30 days late, and the credit card company would be correct to report this as a 30 day late.  According to the CDIA's Credit Reporting Resources Guide, payment that takes place 30-59 days past the due date should be reported as 30 days late.

New Contributor
sherry
Posts: 96
Registered: ‎05-01-2007

Re: What does 30 days late mean

full aware of what the CRA's are to report accurately.. but your response doesn't reallly examine the real question

NO one has the legal right to report incorrect information.. if the law allowsconsumers 30 days in total NO creditor can legally change the fact.. so the question is still not answered.

Paraphrased question can an account be paid on the 30th day and not considered 30 days late and not have a negative effect on your credit.

 30 days late or past 30 days ARE NOT the same or are they..?

thats the problem..

so.. looking for specific.. not round about.


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New Contributor
sherry
Posts: 96
Registered: ‎05-01-2007

Re: What does 30 days late mean

Paying on the 30th day is not 30 to 59 days PAST due ..

paying on the 31st day is 30days past due

paying on the 30th makes it current on the 30th day the payment was not past the 30th day if you paid on the 30th day  (before the cutoff time) therefore it is not past due... and it cannot be reported to the credit bureau it would be incorrect and inaccurate....


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