topic Re: How come people have late payments? in General Credit Topics

How come people have late payments?

Kendro — Sun, 08 Jul 2012 00:34:09 GMT

I'm not posting to sound condescending, I am genuinely curious. I often see posts where people ask the OP if they have any negatives and some respond saying they have a 30 or 60 day late payment. Is it because they don't want to make the minimum payments or do they genuinely forget? Or did you pay on time but due to a system glitch the payment never got processed?

Thankfully 3 of my 4 credit cards all have their statements cut on the same day so I knock all 3 payments in one shot and my other card is pretty much in the sock drawer. I haven't missed a payment in 8 years (though I did mess up quite a bit in college but thankfully all of those negatives fell off my reports).

Again, this isn't to sound condescending, my question is completely genuine. I guess I'm worried that if anyone could have a late payment, it could also happen to me.

Re: How come people have late payments?

payingoffdebt001 — Sun, 08 Jul 2012 00:41:19 GMT

There's probably many reasons...but lots of folks are on here re-building from past mistakes as you made as a college student. All ages and reasons exist.

It would be a good practice for everyone to verify a payment did go through by going online or via the automated phone system.

Re: How come people have late payments?

tcbofade — Sun, 08 Jul 2012 00:51:03 GMT

...or they ran out of money before they ran out of month....

Don't laugh...it happens...

Re: How come people have late payments?

emptypockets — Sun, 08 Jul 2012 00:59:51 GMT

@tcbofade wrote:
...or they ran out of money before they ran out of month....

Don't laugh...it happens...

LOL - but seriously, some people are over extended from other household bills, i.e food, gas, etc. and they simply do not place a high priority on certain payments. With some accounts, as soon as you miss a payment, you incur late fees, etc. if you are already on the edge ( financially), the fees may really put things out of reach. With unemployment/underemployment, and the economy as it has been, sometimes you really cannot afford things that were no problem a year or two ago, because you financial circumstances have changed. For others, they may even have the money, but underestimate the effect the late payments will have on them down the line. I remember a friend of mine who owed the gas co. A bill (more than he could afford), so he made a payment arrangement, to pay a certain amount by a certain date. He proceeded to miss the first payment by a day or two, and was absolutely shocked when they cut off his gas service in the dead of winter.

Re: How come people have late payments?

Anonymous — Sun, 08 Jul 2012 01:03:55 GMT

I am in the rebuilding stage now, but my late payments are because I honestly missed a payment on my car note. Sounds silly and irrespondible but when you are pregnant, you can become very forgetful LOL!! Anyway, I missed a payment and sent the following months payment on time (still not realizing I was behind), before I knew it, there were a string of 31 -32 day late payments on my report.
Before that mishap, I financed 4 other cars with zero late payments so it happens.

I have enrolled in auto-pay since LOL!

Re: How come people have late payments?

Anonymous — Sun, 08 Jul 2012 01:05:02 GMT

@Kendro wrote:
I'm not posting to sound condescending, I am genuinely curious. I often see posts where people ask the OP if they have any negatives and some respond saying they have a 30 or 60 day late payment. Is it because they don't want to make the minimum payments or do they genuinely forget? Or did you pay on time but due to a system glitch the payment never got processed?

i doubt paying a bill a few days late will cause a 30 day late to report cause tech its not 30 days late. it may result in apr increase but not a late to report. to anwer you main question, if someone had a really high balance say 10,000 and the min payment due was 200 and they couldnt make ends meet until the following month well that will result in a 30 day late.

Re: How come people have late payments?

Anonymous — Sun, 08 Jul 2012 01:27:09 GMT

I understand where you are coming from. I once had a late payment due to a system glitch but it was never reported. Otherwise I have never had a late payment. I can understand how people would though. Sometimes things get rough and one has to decide what gets paid...

Re: How come people have late payments?

Mailak — Sun, 08 Jul 2012 01:31:04 GMT

I once forgot to pay my Verizon phone-internet bill - maybe 5 years ago. I was kicking myself because I was quite careful in paying bills but I just forgot and didn't notice till I was billed double the amount the next month.

Re: How come people have late payments?

Anonymous — Sun, 08 Jul 2012 01:33:05 GMT

I have genuinely forgotten before and sometimes we have other worries. I've had a 90 day late payment before on a Household Bank card that I hadn't used for over a year and didn't realize until my son found out once he set me up with PageOnce. that PageOnce thing has been great, it tells you when your bills are due. That is if you know the bill exists and put it in there though! Some people have families, kids to worry about, just we forget sometimes.

Re: How come people have late payments?

Mike360 — Sun, 08 Jul 2012 01:36:04 GMT

Well i have 4 30 day(s) late on my report and they date back like 4 years ago. I had problems at that time because i lost my job and i had other bills that were a priority over my credit cards. Unemployment benefits for me just weren't enough to pay everything. I've since learned to pay off all my CC's monthly and only carry balance on 0% stuff and not to over spend my budget.

Re: How come people have late payments?

ceejx — Sun, 08 Jul 2012 03:08:17 GMT

I'm not going to sugarcoat anything. I was horrible with my finances for many years...I would buy stuff with my cash and buy stuff on credit. Since I didn't see the money used on credit in front of me I just ignored it, let them go negative, and let them charge off.

Ignorance and immaturity. I had many many lates and about 6 years ago started realizing how it was effecting me and decided to give up any form of credit altogether. While it was good that it taught me to live without financing stuff, paying for everything right out, it didn't teach me how to handle credit, which is what I'm trying to teach myself now. Not use credit for money, but use it to help regulate my finances and nothing more.

Re: How come people have late payments?

Dishpro — Sun, 08 Jul 2012 03:22:45 GMT

It's possible that many people are struggling to make ends meet in this very tough economy. I dont think too many people want to pay late. It's tough out there.

Re: How come people have late payments?

Anonymous — Sun, 08 Jul 2012 03:31:23 GMT

Yes it's tough for sure which is why I'm so scared right now to get all of my bills paid off. I retire from the Marine Corps next year and man it's an awesome feeling and a scarry one at the same time!!

Re: How come people have late payments?

Anonymous — Sun, 08 Jul 2012 03:46:34 GMT

Divorce happened, LOL! Still, I was 100% responsible for not handling things better.

Re: How come people have late payments?

Anonymous — Sun, 08 Jul 2012 05:38:41 GMT

Good Point and I'm not saying that this is the case all the time but I would have to put a high percentage of divorce default on the man! Not always but most of the time!

Re: How come people have late payments?

thankfulheart — Sun, 08 Jul 2012 09:29:09 GMT

As others have said, myriad of reasons. Mine included having a medical insurance company deny my newborn's digestive difficulties as "pre-existing conditions". Not even our congressman could figure THAT one out. She's 16 now and I just paid for her in full last year. Add to that $1,000/month to buy said crap-insurance until we just couldn't afford it and eating at the same time anymore. 16 years ago, we were also paying $450/month JUST to feed her as she needed special formula, which was more than the groceries for the rest of my family. Top that with self-employment in a horrible economy and feeling like a roof over your head is more important than paying CC bills this month. Sometimes it isn't about not knowing "want" vs. "need", sometimes it's just a perfect storm of life and doing the best you can with what you have.

We stuck it out and opted against bankruptcy, however, as we felt it was our obligation to pay our debts. I'm still paying for it being stuck in credit-score-debtors-prison for 7 years, but that's the way the system rolls. Sadly, there are those who are never able to dig out once they have dug themselves in and the cycle continues.

Re: How come people have late payments?

bettercreditguy1 — Sun, 08 Jul 2012 11:30:15 GMT

I too had stellar credit, all scores mid 800's. Then life changing events, divorce, child support, slowing economy. I did pay some things late, however everybody was paid in full! NOT the way I was accustomed to living. Both lifestyles, always within means, no unpaid cc bills always paid cash for major purchases, paid my first mortage off in less than 8 years originally a 30 year note. I saved thousands in interest. Had a nice cash cushion of one full salary year in the bank and pooof! Divorce, etc. I am through that valley, credit scores never went below 700. I am heading for the moon and will be cruising with a nice savings cushion, newer home and stress reduced lifestyle soon. BTW, my credit scores should be back in 800s next year or so. I am a Dave Ramsey kinda guy. No cash to pay in full at the register, then you really do not need it! except for auto and home. Keeps the budget balanced real easily.

Re: How come people have late payments?

Anonymous — Sun, 08 Jul 2012 13:34:33 GMT

@Anonymous wrote:
Good Point and I'm not saying that this is the case all the time but I would have to put a high percentage of divorce default on the man! Not always but most of the time!

It was just stupidity. Was trying to keep work stuff together, forgot to do a change of address, and really didn't think their calling to be paid over the phone was a huge deal, LOL! Wasn't really credit-educated and would have never let a payment go late knowing it would hang out 7 years. One last late payment falls off in a few days and all three reports will be perfect.

Most of the guys I've met were financially better off divorced. My Ex is still messing up her finances. Not having to deal with it is a relief.

Re: How come people have late payments?

steven85 — Sun, 08 Jul 2012 14:55:49 GMT

Let's not forget those who are unemployed or have had unforseen medical bills.............

Re: How come people have late payments?

Anonymous — Sun, 08 Jul 2012 17:51:12 GMT

I'll bet a good percentage are like myself and had incorrect info in their credit report, and didnt realize it until we walked into a bank or auto dealership to get a loan.