The credit scoring systems evaluate how many late payments you have had and whether they were 30, 60 or 90 days late, or whether they are currently in default, with default being the worst situation. Additionally, the systems look at whether the late payments were consecutive. If you only have one or two minor late payments on your report with no other derogatory marks, your score will not be terribly affected, but you will have a tough time getting over the critical 700 level. Here are four practical steps that you can implement to improve your credit score in this area:
* Make all your payments on time.
* Past dues on any account will destroy your score - bring your delinquent accounts current immediately.
* Pay your bills before they go to a collection agency.
* Regularly check your credit report for accuracy and make sure that disputed bills are not negatively affecting your scores but be sure to use www.annualcreditreport.com.