New Member
dr_stan3
Posts: 3
Registered: ‎10-20-2012
Do the number of on-time payments matter?

I was wondering if the number of on-time payments matter when calculating credit score. I understand that the percentage of on-time payments matters a lot, but does the quantity matter as well? For example, do three on-time payments out of three statement balances impact a credit score just as much as 500/500?

 

If quantity does matter, then I would like to know whether it counts as an on-time payment when I pay off a card before a statement balance, and it reports as $0. Even though the statement balance is $0, does that add onto my on-time payments or is it only statements with positive balances that get added to total on-time payments?

Moderator
Shogun
Posts: 12,952
Registered: ‎04-15-2011
Re: Do the number of on-time payments matter?

I don't think the amount of payments, say 77 on time vs 100 on time payments really factors in that much.  What really matters is the fact that they were on time and the TLs are positive.  Yes, an account paid to $0 counts as a positive.  Basically anything not late counts as a positive.  Remember though, one 30 day recent late will have a big impact.  It will diminish over time.  The best way to ensure your scores is to pay on time. 


Starting Score: 504

July 2013 score: EQ FICO 819, TU08 778, EX "806 lender pull 07/26/2013
Goal Score: All Scores 760+, Newest goal 800+

Take the myFICO Fitness Challenge

Current scores after adding $81K in CLs and 2 new cars since July 2013
EQ:809 TU 777 EX 790 Now it's just garden time!
Valued Contributor
GregB
Posts: 1,669
Registered: ‎05-24-2007
Re: Do the number of on-time payments matter?
[ Edited ]

I think you are looking at this from the wrong "side". Every month all of your accounts update with a status of paid on time, 30-days late, etc. Account balance, even $0, doesn't matter. The majority of people have no late payments on their reports. You aren't so-much credited for on-time payments as you are dinged for any late payments.

 

On-time payments are expected. ANY late is a big deal. Bigger lates are bigger deals. You don't get credit for on-time payments so much as your accounts get older which helps length of credit, AAoA, etc.

 

More simply, you don't need to count your on-time payments as they are expected. You don't need to count your lates either because you aren't going to have any.

 

Don't ever, ever, ever be late - ever.

Moderator Emeritus
llecs
Posts: 32,869
Registered: ‎08-04-2007
Re: Do the number of on-time payments matter?

I'll add that "percentage of on-time payments" is found within sone FAKO-based services like CreditKarma. If that's your source, then ignore the scores and advice. FICO doesn't score that way.

Mega Contributor
RobertEG
Posts: 18,422
Registered: ‎03-19-2007
Re: Do the number of on-time payments matter?

+1

Where the presence of timely payments enters into FICO scoring is by way of age of the account.  It gets older, and thus improves length of credit history.