AMEX Direct Debit Bounced back - implications?

Mlasso

Hello,

My Amex direct debit collection from Barclays failed as I was missing 3gbp to cover it. Amex tried to collect funds on 8th of September, I received it back on 11th of September (as it failed), and after I topped up my account, AMEX successfully collected it on 18th of September (on second attempt).

As a result, I have now received a 12gbp penalty from AMEX which is fine, I deserved it as I made a mistake.

However, since the payment went on second attempt, will this be reported to credit agencies?

My Experian is yet to update, and my Equifax is showing that Amex is all good, based on data from 2nd of October (after all this happened), but I am not sure what Experian will report?

Did anyone have similar experiences, or are there any clear guidelines showing what will happen next in regards to my credit score?

Thanks!

MattMattMattUK

I am not sure about this, I had this happen to me many years ago (20+) and Amex report it as a late payment, so it may well get reported. Remember that Amex have a three strikes two years and you are out policy when it comes to bounced Direct Debits, not that it is likely to happen again, but worth keeping that in mind.

If it is reported then the made up number that is your credit score will go down, but ignore that, it is meaningless. It would impact your credit worthiness as far as borrowers are concerned, but if it is a one off it will make very little difference and will diminish with time. It would only really matter if you were planning on taking out a new mortgage in the next few months. 

DullGreyGuy

If you use the Barclay's banking app it will notify you if a payment wont go through and you then have until 4pm to add sufficient funds to allow it to go through. 

What was the date of the next statement? Did it show the payment as having been made? From memory AmEx always collected payment much earlier than the allowed last date (with the ChargeCard is the day before statement production) so the re-presentation maybe was still in time.