Gina Roberts-Grey
Jan 19th 2010 at 12:00PM
The next time you’re sorting out your mail, you’d better give everything a thorough scan before tossing out what appears to be junk mail. Some credit card issuers are sending cardholders their statements in plain white envelopes that appear to be nothing more than a solicitation — or junk. And since the average American throws out their fair share of junk mail, many don’t realize they could be tossing their credit score right into the trash. Redesigned envelopes are absent of the bank or creditors logo. Something card holders say they look for when sorting their mail. “I threw away the statements month after month because I thought it was just junk. It looked like all the other junk solicitations I get and who has time to open up and scrutinize all that junk mail,” says Meryl Brown of Tulsa.
Sure, statements that don’t look like statements can cut down the chances your credit card bill will be swiped out of your mailbox by an identity thief.
But experts say consumers should worry about another problem related to the statements that are hiding in plain sight. And that the envelope makeover can lead to big credit troubles. Brown agrees. “I incurred late charges because by the time I realized I hadn’t paid my bill one month, the payment was late.”
Payment history is responsible for about 35% of your credit score, a missed payment resulting from misunderstood “junk” can be costly.
Betty Reiss, spokesperson for Bank of America, says “Our statements include a notice on the envelope that says “statement enclosed” to alert customers and help ensure that it’s not overlooked.”
Here’s what you can do to keep unmarked bills from destroying your credit score.
Choose a route that’s safer than the Post Office, go paperless. Since most credit issuers provide historical statements online, this also lets you track purchases and expenditures.
Open all your mail, even if you think it may be junk. Yes, it’ll take an extra few minutes, but it could save you more than a few credit points.
Make a list of all of your accounts and monthly expenses. Include the bill’s due dates to remind yourself of when you should be dropping a payment in the mail, or hitting “pay now” to process an online payment.
If you need help with credit repair or wish to sign up for our credit repair services go to www.creditbureauexperts.com