Everyone knows that not paying your bills on time will negatively affect your credit score. But did you know that some bills are more heavily weighted than others? It shouldn’t come as a surprise, but paying a $60 water bill late is going to affect your score much differently than paying a $1,000 mortgage payment late. Check out this article by Vanessa Midun at Adweek for more info:
The damage caused by being 30 days late on a mortgage payment was pretty severe, especially for the individual with the highest credit score. From 780, the score dropped to a possible 670 – that’s over 100 points.