DD not set up on time for 1st CC payment

lynsco

Hello, I have a credit score of 997 at the moment (experian) and am panicking that a silly mistake may cause me credit issues now!

I took out a new CC in October, and paid the purchase off in full, then I added a new item to the card in December, I went online on the card website (debenhams/newday ltd) and set up my DD for the next payment (due 1/1/15) and today realised that it had not been taken. I called the helpline and they said I had indeed missed this payment (£15) and I paid by debit card instead. I asked if this could affect my credit (ie would they be adding a note to my account that would be passed to credit agencies) and the person said that no late fees or similar had been added to my account and it was technically 0 working days late (NY day, 2nd Jan, Sat, Sun) and therefore I should be fine. I am acutely aware of my credit score and how tiny things like this can have a massive effect on future things and am now panicking that I might ruin my credit score due to this stupid error. I have had no late payments in years, all accounts up to date, no issues at all and I am devastated at the potential of this slip up.

I wondered if anyone else had any advice on how this may go? I remember when I worked for a big mobile phone company it was 30 days late before they added anything to a credit file, but of course I dont know about this company.

I feel so stupid.:(

Tixy

If the payment wasn't late then nothing negative will be reported on your credit file.

Most companies give a few days grace before items are reported as being late (though usually not as long as 30days).

lynsco

By the time it goes through their payment system tomorrow though it might be logged as 1 day late?

Tixy

Unlikely. I guess you could phone them again in a couple of days to check again that they will not be reporting a late payment to the credit reference agencies.

lynsco

I have sent them an email asking and explaining the circumstances. I was a little annoyed when the advisor tonight said it was always best to do these things on the phone with them, when it was a previous advisor that said to do it online. However either way the fault lies with me

YorkshireBoy

lynsco wrote: »

...either way the fault lies with me

So, moving forward...do you realise where you went wrong (so it doesn't happen again with other store/credit cards)?

lynsco

of course, I have other cards and always use DD this is the first one I have had an issue with - no other late payments in years!

stclair

Leave it 4-6 weeks then get a copy of your credit report.

Lenders will not nornally record late payments unless the payment is 7 days or more late depending on the lender.

YorkshireBoy

lynsco wrote: »

of course, I have other cards and always use DD this is the first one I have had an issue with - no other late payments in years!

Think you may have misunderstood the question?

You didn't give them time to set it up before the next statement was produced. If the DD isn't in place before the statement date the payment won't be collected by DD. It can't be...because that would contravene the DD guarantee.

This is why whenever you set up a DD these days, be it online or over the phone, you either have to read, or have read to you, a script saying something along the lines of "Please check your statement for a message saying your payment will be collected by DD. Until you see this message on your statement you must pay/continue to pay by other means".

I'd be very surprised if you weren't presented with such a message when you set it up online, but just in case you weren't...that may be a point you could raise when contacting them to plead for mercy!

If it was there and you didn't read it, or forgot to check the statement, that will obviously weaken your case.

But since you have always paid other cards by DD you probably knew that, and simply took your eye off the ball this time?

lynsco

Question was understood, yes of course I realise the error! It said 10 days to set it up and as it was 10 days exactly I should have been more careful, distracted by christmas and new year unfortunately. I have set up dd for customers many times and slso wirked for a debt collection company which is why I am so aware of errors like these...

YorkshireBoy

lynsco wrote: »

By the time it goes through their payment system tomorrow though it might be logged as 1 day late?

It was 1 day 'late' last Friday morning wasn't it? With the 1st Jan payment due by date being a Bank Holiday your payment should have arrived by close of business last Wednesday.

If the DD had taken hold it would have been collected on Friday 2nd and still not been late.

Let's hope Newday employ the 'we don't report account status until next statement date' policy (similar to stclair's post above) that some card providers do. You probably won't be able to avoid the fee, but I'm guessing that's the least of your concerns.

Just for future reference, FPs almost always credit faster than debit card payments