January 5, 2007

Understanding Credit Score - Late Credit Card Payment

I missed a payment because I moved and one of my credit card bills was not forwarded. I know that the missed payment is going to have a negative impact on my credit score and there is absolutely nothing I can do about it.

False.

There is one thing you can try. You can call the creditor and ask them to do a "good will adjustment" (also called a "re-age") where they change the status of your account from missed payment to current. If this is the first time you ever had a missed payment with this creditor, there is a chance that they will make the requested change. If you are a repeat offender with late or missed payments, there is very little chance the creditor will do as you ask.

Remember, if you’re not working the system, it’s working you.

PapaJoe