Credit Advice

Have a question? Have advice to share? The combined knowledge and experience of everyone in the Credit Karma community can help you. Enter your question or help others below to get started!

Question

Posted in Credit Karma
Profile Image

Question By
nsher01

2 Contributions
1 Person Helped
I'm not missing payments, so why is my on-time payment % decreasing?
I've consistently paid everything on time for at least 4 years, yet my Credit Karma on-time payment % has been decreasing the last few months (albeit a very slight decrease, but any dip is cause for concern). I've checked my credit report with TransUnion and am not finding anything out of the ordinary. Any ideas? Is it possible that I've made less payments in general over the last few years, so any late payments from years ago that are still on my report are making more of an impact? Thanks.

Your Credit Scores Should Be Free. And Now They Are.

View your scores and reports anytime.

SIGN UP NOW
All Responses

Results 1-2 of 2Results per page: 5 | 10 | 25Page 1 of 1   Previous | Next
Top Contributor
119 Contributions
1099 People Helped
Most Helpful Response

Helpful to 3 out of 3 people

Without having seen your actual credit report it is hard to give anything but mere speculation. My best guess revolves around the fact that documented payments fall off of your credit history after 7 years, so for exacmple all payments made April 2006 are now falling off. Maybe by chance you happened to have had lets say 10 open accounts back in 2006 that you were making on-time payments on, and let's say currently you have only 3. Well each month you would be losing 10 on-time payments and only adding 3, meaning each 30 day or higher mark will have more of an impact now.  As an example lets say you have 490/500 on-time payments which would be 98% exactly, using my scenario if 10 on-time payments drop off and only 3 are currently added the next month will be 483/493 which would be 97.97%, the next month out 476/486 would be 97.94%. That will be the pattern until you get to the point that the late payments drop off of your credit. But once again this scenario would only apply if you had more open accounts in 2006 that you were paying on than you currently have.

2 Contributions
1 Person Helped

Thanks for the response.  That's my assumption as well, although I certainly don't feel like I'm paying less bills than I was 4 years ago.  I'll have to check my TransUnion report and literally count and compare my payments from then and now to make sure,  and I'll continue to monitor to make sure that nothing out of the ordinary pops up.  What a struggle...

Results 1-2 of 2Results per page: 5 | 10 | 25Page 1 of 1   Previous | Next

Your Credit Scores Should Be Free. And Now They Are.

View your scores and reports anytime.

SIGN UP NOW

Reply to this Question

Write your response:
Enter Your Comments

The Credit Advice pages of the Site may contain messages submitted by users over whom Credit Karma has no control. Credit Karma cannot guarantee the accuracy, integrity or quality of any such messages. Some users may post messages that are misleading, untrue or offensive. You must bear all risk associated with your use of the Credit Advice pages and should not rely on messages in making (or refraining from making) any specific financial or other decisions.