Missed credit card payment

NorfolkCanary

First of all I made a mistake, due to stress about a couple close relatives health and other issues going on – not an excuse though!

Last month I missed payment on my credit card, first one I’ve ever missed, I always pay the balance in full a day/day after I receive the statement.

To summarise:
December statement paid beginning January.
January statement paid beginning February.

This is where I made an error, after clearing the Jan balance, I spent a further £91 odd during the Feb-->March statement period but by mistake then made a second payment in that time (of the same amount as the previous balance) 1 day before the statement period ended.

Thus leaving me with a balance of £16 to pay in March, which I managed to overlook due to visits to the doctor and other health issues going on in the family (no excuse I know!). As well as other minor purchase on the current statement, the credit card company have added £12 late payment fee & interest. The balance I have literally paid yesterday (8th April). Payment should have been received before 27th March.

In long/short - what I’d like to know is what likely damage to future borrowing such as potential mortgage apps, as I was looking at getting a mortgage within the next couple of years!
Am I right in understanding that it will appear on the credit report for 6 years?
Also what (if anything) can I do to mitigate the damage?

I will be obtaining a copy of my credit report & score within the next few days to see what information is currently stored.

And I have now setup a direct debit to pay the minimum balance!

Thanks in advance for any information.
LM

sharpy2010

A one off missed payment amongst an otherwise unblemished credit report will be very unlikely to unduly harm your chances of getting credit, so I wouldn't worry too much.

littleboo

Have you contacted the credit card provider to see if they will waive the late fee ? I too pay my cards in full each month, and have twice in a number of years been late for reasons of my own doing. I rang the credit card company and said that I was happy to pay the interest but felt he late charge was disproportionate and in both cases they removed the late fee.

fortunebearer

My experience has been that if we are regular in our payments, missing the payment once in a while will not be an issue. If you make a request, you may be pleasantly surprised to find your late fee reversed. In any case, your credit report will not be affected.

The_Boss

fortunebearer wrote: »

My experience has been that if we are regular in our payments, missing the payment once in a while will not be an issue. If you make a request, you may be pleasantly surprised to find your late fee reversed. In any case, your credit report will not be affected.

The last statement is wrong. The report would be affected as it will have a late payment marker. As others have said, the impact of one is low, but if you get another it will start to affect you.

Buzby

Virtually nil affect - but don't make a habit of it!

We are in danger of becoming 'slaves' of the CRA, where a minimal indiscretion like paying 'late' not only results in you bein charged an additional £12 (which should be more than enough compensation, as the interest is still accruing) but a further tizz because you know anyone looking a your file will know 'what you did'.

To be honest, chill a bit. We're human after all, these things happen. However, one thing - if you can, clear off the balance so that any ongoing interest ceases to toll over, and you can start with whatever the initial interest free period is (could be 56 days). This is always a useful buffer, but easy to lose if you pay late.

Pikeyp

Buzby wrote: »

.. However, one thing - if you can, clear off the balance so that any ongoing interest ceases to toll over, and you can start with whatever the initial interest free period is (could be 56 days). This is always a useful buffer, but easy to lose if you pay late.

I missed a payment 2 months ago (just by one day ... !!) and I noticed I am now getting ongoing interest applied even though I am back to paying in full as normal , can you explain how long this goes on for? It's not a massive amount , just a few pounds but it would be nice to know!

Thanks for any advice ... this is an Amazon (MBNA) card I'm using by the way.

CLAPTON

Pikeyp wrote: »

I missed a payment 2 months ago (just by one day ... !!) and I noticed I am now getting ongoing interest applied even though I am back to paying in full as normal , can you explain how long this goes on for? It's not a massive amount , just a few pounds but it would be nice to know!

Thanks for any advice ... this is an Amazon (MBNA) card I'm using by the way.

you need to pay in full for two consecutive months and then interest will stop.

CLAPTON

FuzzatUni wrote: »

First of all I made a mistake, due to stress about a couple close relatives health and other issues going on – not an excuse though!

Last month I missed payment on my credit card, first one I’ve ever missed, I always pay the balance in full a day/day after I receive the statement.

To summarise:
December statement paid beginning January.
January statement paid beginning February.

This is where I made an error, after clearing the Jan balance, I spent a further £91 odd during the Feb-->March statement period but by mistake then made a second payment in that time (of the same amount as the previous balance) 1 day before the statement period ended.

Thus leaving me with a balance of £16 to pay in March, which I managed to overlook due to visits to the doctor and other health issues going on in the family (no excuse I know!). As well as other minor purchase on the current statement, the credit card company have added £12 late payment fee & interest. The balance I have literally paid yesterday (8th April). Payment should have been received before 27th March.

In long/short - what I’d like to know is what likely damage to future borrowing such as potential mortgage apps, as I was looking at getting a mortgage within the next couple of years!
Am I right in understanding that it will appear on the credit report for 6 years?
Also what (if anything) can I do to mitigate the damage?

I will be obtaining a copy of my credit report & score within the next few days to see what information is currently stored.

And I have now setup a direct debit to pay the minimum balance!

Thanks in advance for any information.
LM

you may wish to consider setting up a DD for at least the minimum payment so you never forget to pay.

Pikeyp

CLAPTON wrote: »

you need to pay in full for two consecutive months and then interest will stop.

Thanks for that info CLAPTON!

It's only a small amount as I say , but at least I'll have it sorted after this month.

Steve059

CLAPTON wrote: »

you may wish to consider setting up a DD for at least the minimum payment so you never forget to pay.

FuzzatUni wrote: »

<snip> And I have now setup a direct debit to pay the minimum balance!<snip>

.:whistle:.........