A couple of credit card questions

rubble2

Hi,

Could I ask for advice on the following please?

1) Received a letter yesterday from Post Office Money saying that I had missed a payment, on checking I found that it was true. Reason was that they sent me an email a couple of weeks ago inviting me to register for on-line banking, in order to get the necessary details to register I reached for the current (unpaid) statement, copied the details needed then stupidly filed the statement as paid - so entirely my fault.

Anyway I rang P.O and asked if they would remove the late payment fee ( I always pay this card off fully every month) which they agreed to do. I then made a faster payment to cover the missing payment.

Question is, will this show on my credit records? the payment has now been made in full and is late by about a week.

2) I have an MBNA card that has a fixed interest rate of 5.9% for the life of the balance. The fixed rate deal meant that the card could not be used for any further transactions but the credit limit on the card is approx £3000 in excess of the balance. Should I request that the credit limit be reduced to just above the balance owing or does the fact that the extra credit available is 'not usable ' mean that it makes no difference when other lenders look at my available credit?

Thanks

phona

1) it might be registered as a late payment, or might not. Sometimes you get away with a few days late - I got away with my wee slip up. If it goes get recorded there's nothing you can do about it; you've already said it's correct information. It won't make any difference, really. We're all only human.

2) I'd leave the limit as it is. There's a trade-off between total available credit and utilisation so changing your limit might do as much harm as good. It may also look like the lender cut your limit because they don't trust you so mulch.
Pay it off, then close it completely.

rubble2

Thanks for the response and advice

rehanmalik3030

What you need to do is contact the credit card company and ask them on what date they send the data regarding your account to the credit reference agencies.

If for example your payment due date was 02.05.16 and you made the payment 2 days later on 04.05.16 if the credit card company updated the credit reference agencies say the middle of the month that is the 15.05.16 then the data they should be sending across is that your account is up to date not in the arrears or paid late because the data has to represent the state of the account on the 15.05.16 not on 03.05.16

Lemonsqueezer78

rehanmalik3030 wrote: »

What you need to do is contact the credit card company and ask them on what date they send the data regarding your account to the credit reference agencies.

If for example your payment due date was 02.05.16 and you made the payment 2 days later on 04.05.16 if the credit card company updated the credit reference agencies say the middle of the month that is the 15.05.16 then the data they should be sending across is that your account is up to date not in the arrears or paid late because the data has to represent the state of the account on the 15.05.16 not on 03.05.16

That's not how it always works. The CC company are not under any obligation or restriction that says they can only report your account's status as of the date they actually transmit the data. Many credit card companies will capture the account status data from your account at the statement date or within one or two days of it - and then batch-up that data for transmission to the CRA, possibly at a later point in the month.

I'm afraid it is a fallacy to suggest you can pay your account late and never show as being overdue as long as you pay your account in line with CRA data transmission dates. Its possible you could "fly under the radar" but it won't be about the data transmission date - it's more about how close to the actual statement cut off date they capture the account data, which is not necessarily the same as the date they send the data.