Missing a payment is likely to bring down your credit score and could affect your ability to borrow in the future, so it's best to rectify the situation as soon as possible.

Missing a payment is likely to bring down your credit score and could affect your ability to borrow in the future - though lenders also consider factors beyond your score, such as income, existing borrowing, and affordability - so it's best to rectify the situation as soon as possible.

If you forgot to pay

Make the payment as soon as possible - it will still show up on your credit report but it should reflect better on you that you made the payment eventually.

It's worth setting a reminder for future payments to avoid paying potential interest and penalty fees. Set the reminder a few days before the payment is due to give you plenty of time. Or you could set up a standing order so that paying is one less thing to worry about (this is only sensible if you're confident you'll have enough money in your account to make the payment. If not, you risk eating into your overdraft and being charged by the bank).

If you're struggling to pay

Can't afford to make your repayments? This is pretty common and you're not alone. We've written a quick article that explains how to take back control of your finances - it's never too late to start. Just watch out that your missed payments don't spiral into debt that you can't handle.

If there's a chance you'll miss another payment, we'd suggest talking to your lender before this happens. Whether you're struggling with your repayments or just want a better rate, there's no harm in asking them for advice. They may be able to discuss options such as a revised repayment plan based on your circumstances - especially if you're planning on moving several debts over to one lender. Don't forget: if you don't ask you won't get.

If you've got unmanageable debt

The fact you've acknowledged your situation is a great start. The trick is to tackle your debts one by one without overwhelming yourself. Make yourself a drink and have a read of our top tips for getting yourself out of debt this year.

Remember there's always someone to talk to if you're finding your debt too much to handle. MoneyHelper and StepChange can give you free, expert advice on your debts. Don't worry about them being judgmental, they've helped countless other people in your situation and offering friendly guidance is their job.

You can find out more about what help is out there for dealing with your debt.

Learn more: What happens if I miss a credit card payment?

Missed Payment vs Default vs CCJ: What's the Difference?

If you're worried about missed payments, it helps to understand where they sit on the severity scale. A missed payment, a default, and a county court judgement (CCJ) are three very different events - each with increasingly serious consequences. Here's how they compare.

The key takeaway: acting early prevents escalation. A single missed payment is far easier to recover from than a default, and a default is far less damaging than a CCJ. If you're already behind, the best time to contact your lender is now - before things move to the next stage.

What to Do If You've Already Missed Multiple Payments

If you've missed more than one payment across different accounts, it's important not to panic - but you do need to act quickly and methodically. The following steps can help you regain control before things escalate further.

• List every account in arrears and the amounts owed. Go through your bank statements, credit agreements, and your credit report to build a complete picture. Write down the creditor name, the amount overdue, and the monthly payment for each. You can check your credit report for free to see which accounts are showing missed payments - checking won't affect your score, as it's a soft search only visible to you.

• Prioritise essential bills first. Not all debts carry the same consequences. Rent or mortgage arrears, council tax, and utility bills are classed as priority debts because falling behind on these can lead to serious action - such as eviction, bailiff visits, or disconnection. Make sure these are at the top of your list before tackling credit cards or personal loans.

• Contact each lender and explain your situation. Phone or write to every lender you owe money to. Be honest about your circumstances and ask what options are available. Most lenders would rather work with you than against you. When you call, have your account number ready and be prepared to outline your income and essential outgoings. Ask specifically whether they can freeze interest, waive late fees, or adjust your repayment schedule.

• Request a payment holiday or reduced payment plan in writing. If a lender agrees to a temporary arrangement over the phone, always follow up with a written request (email is fine) so you have a record. A formal payment plan protects you if there's a dispute later, and some lenders are required to consider reasonable repayment offers under Financial Conduct Authority (FCA) guidelines.

• Check whether you qualify for hardship support or government schemes. Depending on your situation, you may be eligible for help. The Breathing Space scheme (also known as a Debt Respite Scheme) gives you legal protection from creditor action for up to 60 days while you get advice. Organisations like StepChange and MoneyHelper can assess whether you qualify and guide you through the application process at no cost.

Taking these steps won't undo the missed payments on your credit report overnight, but it puts you firmly on the path to recovery - and demonstrates to future lenders that you took responsible action when things got difficult.

How a Missed Payment Affects Your Credit Score

The article above mentions that missing a payment can bring down your credit score, but you're probably wondering exactly how badly it can hurt. The truth is, the impact varies depending on several factors - including how high your score was to begin with, how late the payment is, and whether it's a one-off slip or part of a pattern.

How many points could your score drop?

There's no single, universal number - each credit reference agency (Experian, Equifax, and TransUnion) uses its own scoring model. However, a single missed payment can cause a noticeable drop in your score - the exact impact varies between agencies (Experian, Equifax, and TransUnion each use different scales) and depends on the lender's own scoring model. If your score was previously in the Looking bright (605-724) or Soaring high (725+) range, the drop tends to be more noticeable, because lenders see the missed payment as a sharper departure from your usual behaviour.

Does it matter how late the payment is?

Absolutely. A 30-day late payment on your credit score will typically have a smaller impact than one recorded at 60 or 90+ days overdue. The longer a payment remains outstanding, the more seriously lenders view it. A payment that's only a few days late may not be reported to the credit reference agencies at all - most lenders allow a short grace period - but once it passes the 30-day mark, it's almost certainly going to appear on your credit report.

How long does a missed payment stay on your credit report?

In the UK, a missed payment stays on your credit report for six years from the date it was recorded. That can feel like a long time, but the good news is that the impact lessens as time passes. A missed payment from four years ago carries far less weight than one from four months ago. Lenders focus most heavily on your recent payment history, so getting back on track as quickly as possible is the best thing you can do.

Will the impact lessen over time?

Yes. While the record remains visible for six years, its influence on your score diminishes gradually - especially if you maintain a clean payment history going forward. Consistent, on-time payments after a missed one send a strong signal to lenders that the slip was an exception, not the rule.

Frequently Asked Questions About Missed Payments

Will paying a missed payment immediately remove it from my credit report?

No. Once a missed payment has been recorded on your credit report, making the payment won't erase it. However, your report will be updated to show that the balance has been paid, which looks considerably better to lenders than an outstanding arrears balance. The missed payment marker itself remains on your file for six years, but its impact on your score reduces over time - especially if you keep up with all future payments.

Can a lender report a missed payment the same day it's due?

Not usually. Most lenders in the UK don't report a payment as missed to the credit reference agencies until it's at least 30 days overdue. Many also send reminder letters or texts before taking that step. That said, every lender has its own policies, so if you know you're going to be late, it's always worth calling them before the due date to see whether they can offer a short extension or grace period.

Does a missed payment affect a joint account holder's credit score?

Yes, it can. If you share a joint account - such as a joint mortgage, loan, or bank account - a missed payment on that account may appear on both account holders' credit reports. This is because joint accounts create a financial association between you. Even after the joint account is closed, the association can remain until you request its removal (provided there's no longer an active financial link).

Can I dispute a missed payment I don't recognise on my credit report?

Absolutely. If you spot a missed payment on your credit report that you believe is inaccurate, you have the right to raise a dispute with the credit reference agency. You can do this through your ClearScore account or directly with Equifax, Experian, or TransUnion. The agency will investigate with the lender, and if the record is found to be incorrect, it must be corrected or removed. This process usually takes around 28 days.

Does missing a buy-now-pay-later payment affect my credit score?

It depends on the provider. Some buy-now-pay-later (BNPL) companies, such as Klarna, have started sharing repayment data with credit reference agencies, which means a missed BNPL payment could show up on your credit report and affect your score. Other providers don't yet report to the agencies, although this is expected to change as regulation in the UK tightens. The safest approach is to treat every BNPL agreement the same way you would a credit card or loan - and make sure payments are made on time.