Late Payment reported to Credit Bureau
 

Hi guys,

I need suggestion. Here is the story.

In March, I paid in full for my Macy's credit account because I was leaving States for six weeks vacations. Right before leaving, I stepped into Macy's store and bought an item for $27 using Macy's credit card (I now regret why I did that).

For some reason, I forgot this purchase and thought I have paid in full already. I came back from vacations in mid of May and did not check my account for the same reason. Last Saturday, I received a call from Macy's credit department asking me why I have not paid the $91 due amount? I was surprised and thought that the call is junk and I should check online. Same day I logged in and saw that there is $91 amount due ($27 + non-payment charges for two months). I immediately scheduled a payment online but it did not went through same day as it was Saturday.

On Monday, I received an alert about an activity on my credit report. I went online and found that Macy's has reported the $91 late payment to Experian.

Usually, when I get billing statement from Macy's, I go online and pay the bill. I checked my emails and found that they did not send me two months statements which possibly caused a non-payment.

I called Macy's credit department and they after listening my story said that they cannot get it back because they don't have any information that I have not received any statement. They turned my paper statements on when I did not pay first month assuming I am not receiving emails. As per them, they sent me both emails as well as paper statements. If they would have got the statements returned, they probably could reverse the reported amount.

I am sure they have sent me the statements on my address but they haven't reached me. I put the temporary mail forward before leaving but looks like it did not work for all the mails. For electronic statements I am 100% sure they haven't sent the emails because I don't see them in my Inbox as well as in Trash.

So now, My credit score has fallen back by about 80 points and there is an ugly late payment on my history for next seven years.

What do you guys think what options do I have? I want to get this late payment be removed from my credit history. Any possibility?

What impact it may have in the future if it stays there?

Re: Late Payment reported to Credit Bureau
 

Sorry to hear about this. I think it was Poppy Girl who has a similar problem with Macy's some time ago. Have you checked your spam folder for their emails?

This is one of the reasons I have no store cards...just an Amex and Visa (which I only use when the store doesn't take AMEX). The total amounts of both are automatically paid monthly from my bank account.

Re: Late Payment reported to Credit Bureau
 

As far as I understand it, from having had a similar situation many years ago, once you pay off the amount outstanding it gets removed on your credit report but it can take up to 3 months before the payment is actually reflected.

The late payment may stay on your report in theory for up to 7 years although often it's less especially if paid off in full depending on the creditor.

I had an overdrawn First Union account ($100) back in 1997 and it remained on there until I paid it off later plus interest and fees in 1999 (I was out of country when it all happened). I remember it showed up on credit reports as late as 2002 but showed as a "charge off" meaning it had been paid. I was able to get a car loan during that time and the dealer wasn't the slightest bit interested in it.

It didn't seem to impact the credit score much once paid off.

Re: Late Payment reported to Credit Bureau
 

I am no expert, but, while the 2 months late payment of $30 being on the report for 7 years may be true, it does not mean your score is 80 points in the hole for 7 years. The score is dynamic based on 101 different things. The dip will go away, now it is paid off, everything else being equal.

Re: Late Payment reported to Credit Bureau
 

You were late though, the reasons, they don't care to much about.

If you'd paid it over the phone and for a first time late payment, they would usually remove the late payment fee, so if you did it over the phone you could have asked. You wouldn't have got that option doing it online and now you've paid, they don't have any reason to remove the late fee and the credit feedback.

Re: Late Payment reported to Credit Bureau
 

Thanks all for the replies.

Yes, I was late. I could not recall when I got the call If I have some balance on the account or not. I thought its a junk call and wanted to verify my online account first before making payment.

I do not have any plans to apply for any loan or credit. I just wonder If landlord will refuse my application due to this late payment in Sep 2012. Lets see.

Re: Late Payment reported to Credit Bureau
 

One late payment, probably won't make a difference, they see a bunch and it'll be a issue. They're really looking for a pattern. It might be more of a issue if you don't have any other history, so how long have you been building up your history? Couple years worth and it'll be nothing, 6 months worth and it has more potential to be a issue.

Re: Late Payment reported to Credit Bureau
 

Its a relaxing bit for me Bob. I have 6+ years of history and this one is the only late payment.