How late is late?

[Anonymous]

If I'm 5 days late on a payment, will that get reported to the CRA's?  Or does it have to be 30?

[Anonymous]

It shouldn't report. If it does you can dispute it as inaccurate. However, you're still likely to get a late fee, and potentially adverse action such as a ratejack if it's a credit card for instance.

[Anonymous]

From what I understand, most creditors have a "grace period."  They will probably tell you if you simply ask them how late it must be for them to report.  

[Anonymous]

Grace period has to do with when you start accruing interest, not with how late you can be. Essentially grace period deals with that if you pay your bill in full you will not pay interest. Of course specifics vary depending on the issuer - read the agreement. 5 days late is still late, just not 30 days late.

Message Edited by okrogius on 03-18-2007 06:58 PM

[Anonymous]

Yes, I agree credit cards use the term "grace period" under the terms of the card (in the "fine print") as applied to the window in which interest does not accrue. 

However, if you call them they will also use the colloquial term "grace period" as a term that applies to how many days late your payment can be (I don't know how it would be termed in your agreement - and would probably differ from bank to bank).  They have different due dates - one date they tell you the payment is due, the actual date the payment is due (known by them - but often 5-7 days later), and a date they will begin reporting a late payment to the bureaus.  If you call and ask them the different dates they will probably be happy to tell you.  If you have a high risk card then the payment due date on your statement may be the same date it is actually due.    

[Anonymous]

Thanks.  I've been trying to stay current on all my payments, but managed to pay my student loan 5 days late last month...oops.  They didn't apply any of it to late fees, so maybe I'm ok.

[Anonymous]

The consumer data industry association publishes a data exchange standard known as Metro 2. In that, they define the first reported late payment as 30 days past the due date.

[fused]

I concur!

[marty56]

I know for a fact that Wells Fargo reports your account 30 days late if you dont pay by the next statement date.

If the statement date is 2 days after the due date and you pay 3 days late, you are 30 days late according to Wells Fargo.

I think other CCCs may do this as well.

Always assume the worse.