What to do if your credit card payment is 1 day overdue? How to handle it and tips for effective card management

Even if you are only 1 day late on your credit card payment, many people still feel worried and don't know what to do. This short period of time seems insignificant, but it can lead to additional fees, a slight increase in interest rates, and even affect your credit score if not handled promptly. In this article, we will help you understand the consequences of being late, guide you on how to handle it quickly, and share tips on effective credit card management, helping you use your card safely and avoid unnecessary trouble.

Quick summary of 1 day past due credit card payment

• Consequences: Late fees, interest, suspension of card benefits; credit score is usually not affected for just 1 day.
• How to handle: Pay as soon as possible; if you can't afford it, pay the minimum balance or use installments.
• Prevention: Set up automatic payments, due date reminders, and check statements regularly.

1. What is 1 day overdue credit card payment?

A 1-day late credit card payment occurs when you do not make a payment on time, 1 day late from the due date. To make it easier to visualize, you can distinguish the level of late credit card payment as follows:

• 1–2 days late: This is a minor late payment. The consequences are usually just a small fee or interest charged on the unpaid balance. Your credit score is usually not affected if you pay it off right away. The process is quick, just make the payment as soon as possible.
• Late for more than 10 days: This is a more serious level of delinquency. In addition to penalties and increased interest rates, the bank may record bad debt information, directly affecting your credit score. If this situation persists, you will have difficulty borrowing money, opening new cards or participating in other credit services.

Example:
The payment due date is May 15. If you pay on May 16, you are 1 day late. Meanwhile, if you pay on May 26, you are 11 days late, which is a higher risk, can incur additional penalties and affect your credit score.

Understanding each level of late payment helps you identify risks, thereby proactively taking timely measures, limiting penalty fees, avoiding increased interest rates and protecting your credit score, while maintaining safe and effective credit card management habits.

2. Is it okay if my credit card is 1 day overdue?

Many people often wonder if being late on their credit card payment by just 1 day will cause serious consequences. In fact, even if the delay is very short, you can still experience certain effects.

• Late Fee: Banks will usually charge a late payment penalty fee. This fee depends on each bank’s policy, usually ranging from 50,000 – 150,000 VND or 1–3% of the outstanding balance. This is a fixed fee to remind customers to pay on time.
• Interest accrued: Interest will be charged on the unpaid amount, even if it is only 1 day late. The 1 day interest rate is usually not high, but the cost will increase if you do not pay early, especially if your credit balance is high and you only pay the minimum.
• Impact on credit score: A few days late usually does not have a noticeable impact. However, frequent lateness can lead to a decrease in personal credit score, limiting the ability to borrow money, open new cards or participate in other credit services.
• Temporary loss of card privileges:Some benefits such as offers, cash withdrawals, reward points or promotions may be suspended until you pay off your balance in full. This reduces the effectiveness of the card during the waiting period.

Suppose you have a credit card balance of 10,000,000 VND, due on May 15 but you pay on May 16:

• Late fee: 100,000 VND (depending on the bank)
• Daily interest rate: 10,000 VND (depending on the bank, assuming 0.1%/day on outstanding balance)
• Total amount to be paid: 10,000,000 + 100,000 + 10,000 = 10,110,000 VND

So, just by being 1 day late in payment, you have to pay an additional cost of about110,000 VND(equivalent to1.1% on principal balance) including late fees and interest. If this situation continues and you do not complete the payment in the next few days, the amount will add up and increase significantly, causing costs and directly affecting your personal finances.

3. What to do when your credit card is 1 day overdue?

Even if you are only 1 day late, it is important to handle it promptly to limit penalties, interest charges and protect your credit score. Here are some ways to handle it:

Pay as soon as possible: The longer you wait, the more late fees and interest will add to the unpaid balance. As soon as you realize you're late, make your payment as soon as possible. This will not only save you money, but it will also help your credit score.

Convenient payment methods: You can choose from a variety of fast and convenient payment methods:

• Internet Banking/Mobile Banking: Online payment, easy to operate, can be done at any time, even outside of business hours.
• E-wallets: Some banks are linked with e-wallets that allow direct card balance payments in just a few steps.
• ATM: Pay directly from your checking account or deposit cash into your card, suitable for those who prefer to operate at the machine.
• Bank counter: Pay directly at the branch, receive instant confirmation receipt, safe and transparent.

In case of not being able to pay the entire outstanding balance: In case you are not able to pay off the entire credit card balance, there are still some solutions to reduce financial pressure and limit arising fees. First of all, you should pay the minimum balance on the statement, ensuring to avoid being charged late fees and penalty interest. Besides, if the bank supports, you can consider paying off the balance in installments, dividing the payment with preferential interest rates, making it easier to manage finances during the month without affecting your credit score too much.

Avoid letting debt accumulate for too long: Do not let outstanding debt persist for a long time, because interest charges will accumulate, credit reputation will be affected and financial risks will increase. Timely payment helps maintain credit card safety, optimize benefits and use the card more effectively.

4. Is it considered bad debt if it is 1 day overdue?

Many people worry that being just one day late could put them in the bad debt category. In fact, banks classify debts into 5 groups, from standard debt (group 1) to bad debt (group 5), based on the length of the delay and the customer's ability to pay.

• Less than 10 days late: The debt is still classified as a normal debt, not considered a bad debt. In this case, your credit score will be almost unaffected if you pay immediately. However, late fees and daily interest may still apply.
• Overdue for 10 days or more: At this point, the bank will begin to classify the debt as a higher risk group, affecting your personal credit score. If the situation persists, you may be classified as a debt requiring attention or bad debt, affecting your ability to borrow money, open a new credit card or participate in other financial services.

Even if you are only 1 day late, you should pay immediately to maintain your credit reputation, avoid additional costs and protect your ability to use credit in the future. Proactively paying on time is also a way to demonstrate smart and reliable financial management habits.

5. How to limit future delays

To proactively manage your credit card and avoid late payments, you can apply some simple but very effective measures to help control spending, ensure on-time payments, minimize fees and maintain your personal credit reputation.

1. Sign up for auto-pay: Most banks allow you to set up automatic debits from your checking account to pay off your card balance on time. This is a simple way to help you remember the due date and reduce the risk of late fees.

2. Set reminders on your phone or email: You can set up reminders 1–3 days before the payment due date. This can be supported by banking apps, e-wallets, or phone calendars, helping you stay on top of your payments.

3. Check statements periodically: Regularly check your card statement to understand your current balance, past spending, and payment history. This helps you keep track of your finances, avoid missing payments, and promptly detect unusual transactions.

4. Make a reasonable spending plan: Manage your personal expenses scientifically, avoid spending over your card limit, and always keep enough balance to pay on time. Making a monthly budget helps you control your card balance, reducing the risk of late payment.

5. Track large or international transactions: Some large transactions or international payments may take longer than expected to process, resulting in balances not being updated on the due date. Monitoring and proactively paying before the transaction is complete can help you avoid unexpected delays.

Applying all of the above measures simultaneously will not only help you manage your credit card effectively, control your spending and card balance, but also help maintain a good credit score, minimize the risk of unexpected costs, and create a habit of using your card smartly and safely in the long term.

Being just one day late on your credit card payment doesn’t have immediate consequences, but you will still be charged a late fee and interest on the outstanding balance. Paying as soon as possible not only reduces costs, but also maintains your creditworthiness, protects your personal credit score, and ensures that card privileges such as rewards, points, and cash withdrawals are not suspended.

To avoid forgetting to make payments in the future, you should apply simple but effective card management measures: set up automatic payments, set due date reminders on your phone or banking app, and check your statements regularly to understand your balance and transaction history. These habits will help you use your credit card safely, proactively, and optimize the benefits of the card without worrying about unexpected costs.

For more information, you can contact SeABank via Hotline or visit websitewww.SeABank.com.vn.