What Are the Worst Things For Your Credit Score?

A credit score is something no one asked for, but it follows you your entire adult life. It can prevent you from buying a home, a car, and, in some professions, getting a job.

It’s important to get a copy of your credit report to know your credit score.

If you’re wondering what can negatively impact your credit rating, we have you covered. Keep reading to learn what hurts your credit score the most.

Missed Payments Damage Your Credit Score

Each month, creditors report payment information to the major credit reporting agencies. Missed payments are payments that weren’t made at all. Payment information can remain on your credit report for seven years.

Even if you make up the payment, it will still show on your record. The creditor provides this source of information, and you can contact them to challenge its accuracy.

Late Payments

Late payments don’t look as bad as missed payments. However, they are just as damaging. When you view your credit history, you will notice a section for payments.

Each creditor will show how many payments you’ve made. How many were on-time, 30 days, 60 days, 90+ days delinquent? Even if you start making payments on time monthly, the history remains on your report for several years.


Collections destroy your credit score. These are accounts that have been written off by the creditor and sold for pennies on the dollar to collection agencies.

Once an account is in collections, it can remain on your credit report for up to 10 years. Each time you correspond with a collection agency, the clock resets.


Judgments are legal awards the courts have ruled on. These judgments affect your credit score because they show potential creditors you refuse to honor your commitments. Plus, judgments can lead to wage garnishments.

If your wages are garnished, you’ll have less money to pay your creditors and basic necessities.

High Balances

High balances are what bring down your credit score most frequently. To maintain good credit, try keeping credit card balances below 30% of the available balance. The higher your balances, the bigger the impact on your credit rating.

If possible, pay off balances each month and avoid new debt by limiting the number of cards you have open.


A foreclosure on your home will cause a big hit to your credit score. However, it will not prevent you from buying another home in the future.

Foreclosures stay on your credit report for seven years. The clock starts ticking after your first missed payment.

Get Your Credit Right

It’s never too late to work on improving your credit score. There are several steps you can take to dispute information provided by creditors. Sometimes bankruptcy is the best way to get a fresh start and reset your credit journey.

Today is a good day to commit to making payments on time and paying down your debt.

We hope you’re enjoying our content. For more great articles on money matters, visit our section on finances.

Flame Of Trend

Flameoftrend is the world’s largest, most popular trend community. We leverage big data, human researchers to identify consumer insights and deep dive opportunities for the world’s most innovative companies, with our research.

Related Articles

Leave a Reply

Your email address will not be published. Required fields are marked *

Back to top button