If you have ever gotten behind on a bill or several bills at one time, you probably already know just how hard it can be to get caught back up. The task almost seems impossible. This is especially true in today’s economy as more and more individuals are getting laid off or getting their hours cut. Late payments just eventually lead to late fees, which eventually lead to higher interest rates, and when it is all said and done you are going to be left deeper in debt than you ever were before. Why is it important to make sure you are staying on top of your payments and how can all these late payments affect your life in a negative way?

You Might Lose Your Job

If you are behind on your bills, the last thing you want is to lose your job. This would only make your financial situation even worse. There are a lot of employers out there nowadays that won’t even hire individuals with bad credit. To the employer, this is a sign that the individual is irresponsible. In fact, these businesses and companies are so strict that they will monitor your credit the entire time you are employed with them. And, the second that they get a bad report, you could be booted out the door.

Constant Harassment From Bill Collectors

Once you get behind a payment or two, you will probably start receiving phone calls at work or home from these creditors. They will probably call on a weekly or even a daily basis. Regardless, of how much you dodge them, they are going to keep calling until they work out some kind of payment plan with you. This is not only stressful, but it can be extremely embarrassing. However, there are ways to prevent these creditors from harassing you. If you want to learn how to remove charge offs from your credit report, you should read more here.

Extreme Stress Build Up

Life is stressful enough without the constant worrying about paying late fees and higher interest rates. When you are behind on your bills it is only going to make the stress in your life rise. Stress can have a huge negative impact on your life, as constant worrying can lead to sleepless nights, which might eventually lead to serious health conditions. It is a well-known fact that stress is the number one trigger for a lot of health conditions. In addition to this, all this stress can cause negative problems in your marriage or relationship, as well.

Decreasing Your Credit Score

Did you know that your payment history accounts for 35 percent of your credit score? That is almost half, which means making payments on time is the single most important thing you can do to ensure that you always have a good credit score. Even just one little late payment could drastically affect your credit score in a negative manner. While some creditors are more lenient than others, some will automatically stick these late payments on your credit score without hesitation. Not only will this affect you when you go to buy a home or car, but it will take an extremely long time to remove this negative blemish from your credit report.