A fuller guide to this term is on the way. In the meantime, the related terms below explain the ideas around it.
Related MoneyPedia terms
- Late FeeA charge added when a payment arrives after its due date, which raises your costs and can hurt your credit.
- Payment HistoryThe record of whether you paid your bills on time, which is the single biggest factor in most credit score calculations.
- DelinquencyThe status of an account when payments are past due, which worsens the longer the debt goes unpaid.
- Penalty APRA higher interest rate a card issuer may apply after you miss payments, increasing the cost of any balance you carry.
- Credit ScoreA number that sums up how you've handled borrowing, shaping the rates you're offered.
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