How do late payments really effect your score
The HIGHER your then-CURRENT SCORE at the TIME of a late event the effect is substantially MORE NEGATIVE than for the same late scenario in circumstances where the consumer has a lesser then-current fico score.
AT DIFFERENT LEVELS of credit worthiness,bad reported information has a vastly DIFFERENT EFFECT that is otherwise unknown to most consumers and rarely spoke of my so called experts and leaders (of which there in TRUTH is UNDER 3 or 4 PERIOD).
I hear all the time “SHOULD I DISPUTE it or that because of this or that?” and then they talk on this or that number of months ago a bad thing occurred such as a late payment or missed payment or whatever. BELOW is a CHART that is UNOFFICIAL and is calculated based PURELY on the numbers that MY TEAM has compiled over DECADES of professional credit enhancement services. USE THE CHARTS I’ve posted below as a GUIDE and for EDUCATIONAL PURPOSES ONLY, NOT as a “PROOF” to ANYONE for ANYTHING, as it is NOT PROOF but rather one professionals observations and calculations.
Let’s start with a SCENARIO where you must make a BEST DECISION weighing WORTH OF ACTION against VALUE of execution. FACT IS, NOT ALL WINS are worthwhile wins. OK now let’s move on.
So say AS AN EXAMPLE, a late was worth say 100 points OFF ok,
for 0-6 months = -100 points
for months 7-12 = -50 points
for months 13-18= -12.5 points
for months 19-24 = -8 points
for months 25-30 = -6 points
for months 31-36 = -4 points
for months 37-42 = -3 points
for months 43-48 = -2 points
for over 48+ months= near no effect OR ZERO EFFECT AT ALL
So this is a consistent scale to evaluate WORTH ON in GENERAL. OBVIOUSLY this is not true for ALL items and all consumers because OTHER FACTORS play part in calculations, BUT MATHEMATICALLY these have been CONSISTENTLY accurate most consistently for my experiences and leaning on THIS scale has GREATLY added in my ability to make wiser choices on dealing with late payments.