How long before late payment appears on credit file?

ik1

I meant this once...I am not normally late ever I only have about 3 credit cards altogether and only ever use one and pay off monthly...most of my other stuff is on direct debit..bills etc.

YorkshireBoy wrote: »

Really? Late payments can affect all kinds of finance applications, not just mortgages.

Have you considered setting up a direct debit, perhaps for just the minimum amount, in order to protect your credit rating/history going forward?

onesonsmum

blacksta wrote: »

why people dont use a direct debit baffles me

I dont use DD because I want to control my money not allows others to dip in and out of my account and then tell me it was "a computer error". Standing orders allow you to control your money but banks no longer offer these.

I am fed up of telling institutions that if we dont switch PC's on they cannot switch themselves on. The problem lies with humans that programme the PC and not the PC. Operators can override codes etc. do they ever NO!

Before you say anything, I am well aware that wrongly paid/extracted monies are repaid in full, but meanwhile something else goes unpaid creating an unnecessary/unwanted debt. Financial institutions are unforgiving.

We get no rewards for paying ontime everytime, try it yourself and see how much they noticed that you paid ontime, everytime.

Money now is tighter than ever and who still has that much disposable income? Not I. For me DD represents lazy banking.

Deru

I dont use DD because I want to control my money not allows others to dip in and out of my account and then tell me it was "a computer error". Standing orders allow you to control your money but banks no longer offer these.

DD, at least gives no chance for human error. You could do minimum payment just as a precaution.

Oh and Standing orders still exist so don't know what you mean in the second sentence. It's possible to set up a payment to a credit card via Standing Order. All you need is to ask the credit card company for their sort code and account number and use your card number as the reference. (this can be set up via Internet banking) but you don't know how much your balance on your card would be so you'd have to pay a predetermined amount.

I recently missed a payment with Halifax. It showed up end of the month as 'in arrears'. I paid it the day after I realised and the following month, the status of that month was updated to 'up to date' so may take a month. I've now set up a DD on this one.

On most cards, if you set up a DD for the minimum, you can just pay off the balance in full manually. The DD won't come out. Some cards will still continue with the DD even if paid in full. Halifax DD doesn't update itself with how much you've paid so if your balance is £300 and you pay off £300 manually. The DD of £300 will come out at the end of the month.

Barclaycard don't do this. Don't know about Santander.

Oh and I saw the credit information on Experian. Green dots, black dots, etc for each month.

SnowTiger

onesonsmum wrote: »

Standing orders allow you to control your money but banks no longer offer these.

[...]

Money now is tighter than ever and who still has that much disposable income? Not I. For me DD represents lazy banking.

Hmmm, interesting point of view.

I don't know who you bank with, but all the banks I use still offer a Standing Order facility and I have several set up.

Unfortunately many companies charge customers who don't pay by Direct Debit a premium.

And, of course, the big disadvantages of not paying by Direct Debit are that you risk having additional charges added to your account and a black mark on your credit file if you forget to pay a bill on time. I know, I know: it won't happen to you. However there seems to be a never ending list of posters here who it has happened to.

ik1

Some card companies are pretty good...I have paid Barclaycard in the past on the due date for payment and I have not been charged late payment....dont know if it went on credit file though, assume as they didn't chareg me that it didn't.

However as I have no idea about Santander as I rarely use the store card whether they would put it on straight away. Only reason I am worried is I need to complete on the house so if there is grace period such as 3-4 days before they start doing something about the late payment then its o.k or even if the mortgage company even do any further credit check before releasing the funds....I may just be worried for nothing...but that is human nature I suppose, being worried about the unknown

Rosco29

I took out a Santander credit card in January 2011 with a 0% balance transfer offer for 12 months. In June 2011 I received a phone call from Santanders collection dept to sat that they had not received my May payment. I instantly said it must have been a mistake as I am very good with money and have never missed or made late payments before. Indeed I did forget to make my May payment, which was my own fault and accepted the £12 late payment fee but when I looked on my experian credit report a month late not only had they recorded a late payment but also an arrangement to pay indicator, which experian state is an arrangement to pay a reduced amount, often lower than the minimum payment. Took me a while to get it resolved but finally they removed both the late payment and the arrangement to pay. Just to be sure to check your credit reports....

moatmeister

Been in this situation. I got landed with an (incorrectly applied) ccj between offer and completion. Sat writing this in the house now!

I think the truth is that no one really knows and "they" just make up the rules to suit themselves as they go along and then hide behind them. Your late payment might be the straw that breaks the camels back if you are a borderline case, or it might not make any difference at all and not even be picked up. Unfortunately the only person who would be able to tell you is the bloke who will sign off your mortgage and "they" wont allow you to talk to him. And even if they did, you probably wouldnt want to draw his attention to it.

As long as everything else is ok it will probably be fine but you are right to be concerned.

If you are a grown up person and "they" wont let you borrow perhaps £100k or whatever out of which they stand to double their money over the next 25 years or so to help fund their massive bonusus just because you forget to pay someone £13.00 but paid it the next day, it just shows what a twisted world the financial institutions live in!

Bravehearted_2

I'm anal about my credit cards and check it online everyday. I also pay all but one by DD out of choice really. Just for the hell of it.

I would have to be comatose to miss a payment because I bung in payments now and again which means by the time I get the statement in the post I've paid at least the minimum.

I think it's fun doing it all on the Internet since you're basically able to track spending daily. Sometimes I log in 4/5 times a day. Weirdo!

Experian_company_representative

Lenders should allow a grace period of around 7-10 days before registering late payments with the CRAs. If you were late by just one day, assuming your payment cleared straight away, you shouldn't find a late payment on your credit report at all.

James Jones

YorkshireBoy

Experian_company_representative wrote: »

Lenders should allow a grace period of around 7-10 days before registering late payments with the CRAs. If you were late by just one day, assuming your payment cleared straight away, you shouldn't find a late payment on your credit report at all.

Why "should" they?

Are you posting information based on an industry code of practice, or some other official guidelines/regulation? In which case please could you provide a link. Or maybe it's just your opinion?

Please clarify which it is.