# What happens when payments are missed on CC but balance is later paid in full?



## shouldi (22 Aug 2010)

Hi Everyone

At the moment I am in a lot of debt an as a result I have missed some payments with one of my CC providers.. 

I contacted my CC provider and they told me my credit rating was affected, I completely understand they are well within there rights to do this but what i need to know is

If my credit rating is affected and I at a later stage pay off the full amount would this ''correct'' my rating and would i be able to get a mortgage in the future etc ?

Also if my credit rating is affected and they are giving me an option to ''settle'' by paying a slightly lower amount back to them would I be better off going down this route as my 'credit rating is affected'' i.e is there any point in paying the full amount back if the rating is messed up?

Thank you!


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## margaret1 (22 Aug 2010)

If at all possible it is really important to pay the minimum due every month on your credit card. This will help your rating and also show that you are making an effort to reduce your bill. The interest rate is so high on credit cards that it is advisable to look at all possibilites of getting an loan to clear the bill in full. Weigh up pros/cons.


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## droileen (23 Aug 2010)

*How to see your own credit record*
Section 4 of the Data Protection Acts, 1988 & 2003, provides a general "right of access" for an individual to all information kept about him or her on computer or in structured manual files.
A person wishing to avail of this provision to access their ICB credit record should contact the ICB at the address —_Irish Credit Bureau, Newstead, Clonskeagh Road, Dublin 14. Tel. (01) 260 0388. _It is also possible to apply online at www.icb.ie.
When making an access request to the ICB or to any data controller, a person should supply such information as the data controller may reasonably require to satisfy itself of the person’s identity (e.g. name, address, customer account number) and to assist it in locating relevant data held. The ICB receives up to 900 access requests a month, and it is their practice to request individuals to complete a standard access application form, which can be found on the ICB site www.icb.ie.


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## JoeB (23 Aug 2010)

There is a fee for obtaining your credit record, it's quite cheap, perhaps 5 to 7 Euro.

Making the payment after a period of time won't help, the missed payment has still been missed. One missed payment may not appear on your credit record, although you reckon that your credit card company says it has already gone onto your credit rating. I missed a payment by mistake and it didn't go onto my credit rating... so you might be lucky.

You can submit a statement which will be included with your credit rating. In this statement you can say whatever you want.. i.e you were in a temporary coma etc etc... this might help. I think it's free to include a personal statement.


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## JohnJay (24 Aug 2010)

AFAIK, bad entries on your credit rating disappear 5 (or is it 7?) years after you pay the debt.


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## twofor1 (24 Aug 2010)

shouldi said:


> If my credit rating is affected and I at a later stage pay off the full amount would this ''correct'' my rating and would i be able to get a mortgage in the future etc ?
> 
> Also if my credit rating is affected and they are giving me an option to ''settle'' by paying a slightly lower amount back to them would I be better off going down this route as my 'credit rating is affected'' i.e is there any point in paying the full amount back if the rating is messed up?
> !


 
If you sort it out now, you could have a clear record again in 2 years.

My understanding is the ICB only show the most recent 24 payments of loans etc active in the last 5 years. 

If a loan was settled for less than the full amount or written off or litigation pending etc up to 5 years ago, this would still show on your report today.

But someone with missed payments, if they got back on schedule today and then made the next 24 payments on time, then all 24 boxes would be ticked when a mortgage provider applies for your ICB report in 2 years time. 

Assuming there are no other issues, you would again have a perfect credit record.

If anyone can tell me my understanding of this is wrong and why, I would be interested in hearing it.


Look at ’’view a sample ICB credit report’’ on www.icb.ie


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## so-crates (27 Aug 2010)

twofor1 said:


> My understanding is the ICB only show the most recent 24 payments of loans etc active in the last 5 years.
> 
> ...
> But someone with missed payments, if they got back on schedule today and then made the next 24 payments on time, then all 24 boxes would be ticked when a mortgage provider applies for your ICB report in 2 years time.



Interesting point twofor1, the ICB states that it "holds information about borrowers and their loans for 5 years after the loan is closed" but is only displaying 2 years of information on payments... is this precisely the same information the bank would see or would they see the whole repayment history for any loan that falls within the 5 year window...?


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## twofor1 (27 Aug 2010)

so-crates said:


> is this precisely the same information the bank would see or would they see the whole repayment history for any loan that falls within the 5 year window...?


 
ICB were asked this question as their website says the report includes;


the names of lenders and account numbers of loans you currently hold, or that were active within the last five years;

repayments made or missed for each month on each loan;


They replied in the scenario outlined, the lender would only see the most recent 24 payments and would not be made aware of any missed or late payments more than 24 months ago. 

The lender can also request a Credit Bureau Score, again in the scenario outlined, this would not be influenced by missed/late payments more than 24 months ago.

Interestingly the ICB will only create a Credit Bureau Score at the request of a lender. They will not create one at the request of an individual, but if there is one on your file it will be included in your ICB report.


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