Posted byon September 11, 2014
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What we haven’t discussed before is how much a late payment will affect your credit score. I never had the perfect data point to share… until now!
I’ll cover more details about how I got the late payment (and how I also got rid of it) below, but first let’s look at the impact. Here’s a picture from my Credit Sesame account:
As you can see, my score was 716 in April, and dropped 75 points to 641 in July when the late payment showed up. As soon as I got the late payment removed, the score went back up. I reviewed my report and there weren’t many other factors that changed significantly during that time.
Credit Sesame offers a free credit monitoring service. That service turned out to be a very valuable way to monitor my credit report.
Here’s the credit monitoring email I received that caught my eye:
When I logged in and looked at the detail here’s what I saw:
It turns out the late payment was on my Barclaycard Arrival Plus card. After I cashed in the $400+ sign up bonus, I changed my card to the Barclaycard Arrival card with no annual fee. There was a mix-up in the electronic billing when the account number changed and I never received the final bill. Then they reported the payment as late.
After a phone call to clear it up, they took responsibility for the error and removed the late payment from my credit report.
I was really pleased that Credit Sesame caught the late payment and sent me an email right away! Not bad for a free service… thanks Credit Sesame!
Do you use Credit Sesame or another credit monitoring service to monitor your credit report?