Credit card companies place a major emphasis on receiving on-time payments. A single missed payment could lead to a dramatic drop in credit score for someone with excellent credit. CNN reports that a person with a credit score above 800 could lose 100 points by missing one payment. However, the effect is not nearly as devastating for people with lower credit scores. Some card companies will allow debtors to miss payments under certain circumstances.
Scores
Credit scores range from 300 to 850, with scores of 720 or higher indicating excellent credit. Credit card companies report payment activity each month to the major credit bureaus, with at least the minimum monthly payment due by the due date to avoid possible damage to credit scores. People with low credit scores may not lose any points off their credit scores after missing payments because their credit is already bad.
Hardships
Banks and credit card companies may allow a customer to skip a payment -- or even several payments -- because of a temporary hardship. People who are suffering from a job loss, illness or another serious event can ask to skip payments by simply calling the card company. The card company may request information or paperwork to support the request; this information could include proof of unemployment, such as a layoff notice, or copies of medical bills indicating a recent hospital stay.
Control
It's important for people needing to skip payments to contact their credit card companies before they do so. Card companies have the right to erase missed payments from credit reports, but it's easier to ask permission to miss payments because of a hardship. Payments skipped with the permission of the card company do not harm credit scores.
Options
Other options may also be available through the card company. After suspending payments for a period, the card company may agree to lower the interest rate and reduce the minimum monthly payment for several months or longer as a debtor continues working through a hardship.
Help
Some people stressed out by excessive debt are reluctant to call their credit card company for help. It's always better to at least have a conversation with creditors before starting to miss payments. People who want help but can't bring themselves to ask can seek assistance from government-certified credit counselors. Counselors, such as those affiliated with the Consumer Credit Counseling Service, can contact all of a debtor's credit card companies to make arrangements for skipping payments. Referrals for local credit counselors are available from charitable organizations, such as the United Way.
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