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Credit Reports, Balances, and Scores

1. If an individual had any past-due payments reported on their credit report, what could they do to minimize the penalties from late payments?
2. If an individual had credit card balances, how could they pay them off as quickly as possible?
3. What steps can you take to improve your credit score?
4. What are the long term and short term effects of credit and debt? What are some ways you can manage personal debt?

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1. If an individual had any past-due payments reported on their credit report, what could they do to minimize the penalties from late payments?

Beginning in 2010, the Federal Reserve Board upheld a new rule protecting credit card consumers from exorbitant late payment fees associated with late payments. Fees can no longer exceed $25 for paying late. It is important to note that "past-due" payments differ from "delinquent" payments. Past due refers to payments that were not received by the credit issuers due date. Payments not received after 30-days (beyond any grace period) are considered delinquent and reported to the credit bureaus.

2. If an individual had credit card balances, how could they pay them off as quickly as possible?

Making minimum monthly payments is not a way to pay off your credit card balances. In fact it will ...

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