Watch out for stealth charges in February, warns checkmyfile.com

Added : ( Mon Jan 31 2005 )

February sees the seasonal peak of consumers missing their monthly credit payments, leading to a windfall for credit card lenders, in particular, as typically at this time of year over 8% of us will fall prey to late payment charges of around £20-£25 a time.

‘There are several reasons why people miss their February payments, the most obvious one being lack of cash following the heavy spending over the Christmas period, or over-zealous bargain hunting in the January sales’ says Barry Stamp, Joint Managing Director of checkmyfile.com ‘but one of the less obvious reasons is that February is a short month, and that can catch many people out who are due to make payments by the first of March’.

‘Most credit files we see have at least one late payment recorded, and that’s hardly surprising when credit account history can remain on your credit file for up to six years’ adds Stamp. ‘For many, this will hardly dent their credit standing, only their wallet, as penalty charges bite’.

‘Certain mobile phone operators use rule based credit assessment systems. A single late payment with a competitor will result in the automatic decline of an application to change suppliers. Most card companies, in contrast, look at the overall credit rating and take a wider view.’

Checkmyfile.com recommends the use of direct debit to make payments to avoid costly lapses. Challenging card companies for first time offences is also suggested – as some will waive the charges upon application as a gesture of goodwill – especially in the current competitive credit card market.

‘It’s also really worth checking your credit file in March,’ Stamp advises. ‘If you find a recently recorded late payment recorded on an account you thought you had paid on time, you’ve got the best chance of challenging it and having the record put straight. The annual electoral roll has also just been updated at the agencies and you can also check at the same time that the base information is correct’.


Notes to Editors:

checkmyfile.com is operated by Credit Reporting Agency Limited, a company that provides independent expert advice to UK consumers on information held about them. Launched in March 2000, checkmyfile.com was the first company to put UK credit files on the Internet, has in excess of one million registered users, and is visited by more UK consumers than any other credit reference agency.

A fully analysed credit file, including both personal and household credit scores, is provided free to anyone who agrees to trial checkmyfile.com’s Credit Monitor service for a month.



For further press information please contact: Barry Stamp or Richard Catlin at checkmyfile.com on 01872 241386 or email: barry@checkmyfile.com
Submitted by: Barry Stamp Add your press release for free.

Find out more.