Late payments: how long they stay and what to do

A payment that is 30 or more days late can be reported to the credit bureaus.

Key points

• Late payments usually stay on your file for six to seven years, depending on where you live.
• The effect is strongest in the first two years and fades over time.
• If the late payment was a one-time slip, a goodwill letter to the lender sometimes works.

What to do next

Set up automatic minimum payments on every account so it cannot happen again.