About Becoming Delinquent on a Credit Card

If you are struggling financially, making regular payments on your credit card may cease to be a priority. Not making your payments can have consequences such as higher interest rates and a lower credit score.

Time Frame

Your credit card debt is considered delinquent as soon as you are one month late with a payment.

Considerations

Most credit card companies charge extra fees to customers who allow their debts to become delinquent.

Interest Rate

Becoming delinquent on your credit card debt will almost always result in your credit card company increasing your interest rate.

Credit Score

Your payment history accounts for 35 percent of your credit score. Just one delinquent debt will cause your credit score to drop.

Warning

If your debt remains delinquent for 180 days, it will be charged off by the credit card company and sold to a collection agency.

References

• Credit Basics: What's In Your FICO