Have I wrecked my Credit rating?

[pipTheGeek]

I paid late once because I mis-calculated how long a payment would take to clear over the new year period. I phoned the card company and they refunded the late fee but not the interest. Seemed pretty fair to me. So yes, give them a ring.
I also then setup a direct debit for the minimum payment. You will want to check how your card company handles extra payments when a direct debit exists. Most of my cards still take the minimum payment so you have to work out how much to pay to clear the card and not end up with them owing you. Barclaycard on the other hand stop the direct debit if you pay ANYTHING in the statement period, even if the amount you paid was less than the minimum.

[steve threlfall]

I had a similar situation about a few months back. I had paid before my statement and so the payment did not count towards that months bill. The guy on the phone told me that it would be 10 months before my 'credit rating' was affected (bit of a random time) and they removed the £12 charge at my request.

[Saracen]

This is true in terms of 'keeping a bit of your card and paying it off later / over a period', as long as you pay the minimum amount. The OP is talking about missing that minimum amount though, which isn't ever going to help.

What I was told, by someone I suspect should know, was that a very popular customer profile is someone who pays the minimum (i.e. doesn't default) but leaves a large balance outstanding, thereby incurring lots of interest. That profile has, however, become less popular in the last few years, as it implies someone living beyond their means.

Now, I'm told, the most popular profile is someone that uses the card a LOT, generates lots of commissions for the company, but pays it off regularly, indicating no exposure for the company and no longer-term risk.

What they don't like is someone that doesn't use the card much, doesn't put much by way of throughput through it, and pays it off without fail. Like me. Or rather, like me theses days. I've had my moments in the past, and learned lessons because of it. Now, if I can't buy it outright, for cash, right now, I don't buy it. And if I can pay cash, I usually will. I use a card for convenience, like online purchases, but rarely for anything big and not for general usage. I'm a bit surprised they haven't removed my cards, 'cause they don't make much out of them.

[Agent]

Sounds identical to the advice to me by a family member who works in the banking sector Saracen.

I'd love to see some figures on how your credit rating gets changed for each situation you list, and by how much. I feel that currently too much of it is hidden.

One of the first things I did when I was 18 was get a credit card and start building a credit rating. Being sensible with cash, spending what I had was never an issue, but it's paid off hugely when it comes to getting loans and a mortgage.

My dad on the other hand is the kind of guy who still thinks in the mindset of being able to walk into a large multinational company and get a discount for 'cash' .
He has no bank account, no credit-card, has never had a loan and so on. The only form of credit he has ever had is his mortgage with a local building society for the entire term. Turns out that the smaller, local building societies don't have much to do with credit ratings unless things go wrong.

The result? 60 years of age and rejected for a £20/month mobile phone contract, although he's never missed a single bill.

Sadly too many people don't realise how important a credit rating is these days. A bit of common sense and a few hours on Google can allow your rating to dramatically improve over the space of a few years. I'm currently sitting on 999 on Experian, which is the highest rank.

Oh, and a small tip: Checking your credit rating through a credit checking company (like Experian - no link to them, just a good service IME) can actually cause it to raise. Didn't believe it myself until it was confirmed by the guy from Experian when I jumped about 30 points for no reason shortly after signing up.