ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -Late payments on credit card bills and loan EMIs have a negative impact on one’s CIBIL score, which further reduces one’s chances of obtaining a loan or credit in the future.

Detailed explanation-2: -Even a single late or missed payment may impact credit reports and credit scores. But the short answer is: late payments generally won’t end up on your credit reports for at least 30 days after the date you miss the payment, although you may still incur late fees.

Detailed explanation-3: -Dispute the error If you find an incorrect or old late-payment one of your credit reports, you can file a dispute with the credit bureau that issues the report. You can also dispute the mistake with the creditor that sent the information to the bureau, such as the lender, credit card issuer or collections agency.

Detailed explanation-4: -It may also characterize a longer credit history with a few mistakes along the way, such as occasional late or missed payments, or a tendency toward relatively high credit usage rates. Late payments (past due 30 days) appear in the credit reports of 33% of people with FICO® Scores of 700.

Detailed explanation-5: -Late payments remain on a credit report for up to seven years from the original delinquency date–the date of the missed payment. The late payment remains on your Equifax credit report even if you pay the past-due balance.