A credit score is a crucial financial metric that affects approval for loans, credit cards, and other financial products. A strong credit score helps save money through lower interest rates, while a poor score can increase borrowing costs or prevent access to credit altogether.
Gloria, a woman in her 80s, contacted CTV News after discovering her credit score plummeted despite believing she had paid her credit card bill. Due to mobility and eyesight challenges, she was careful with her finances as a former bookkeeper and always paid bills on time.
“I always pay my bills on time, even before the due date,” said Gloria.
In February, Gloria received a credit card bill for $389. She thought she had paid it, but her bank claimed they never received the payment. For eight months, the bank repeatedly sent the same bill and added interest charges, leading Gloria to refuse payment to avoid paying twice.
“Why should I put that money in their pocket? If you pay it, why do you have to pay it again. I don’t understand that,” she said.
Gloria’s refusal to pay the disputed bill caused significant damage to her credit score and overall financial situation.
This case highlights the severe consequences a single disputed bill can cause on credit scores, especially for vulnerable individuals managing complex financial situations.
Author’s summary: Even one unresolved billing dispute can devastate a person’s credit, demonstrating the importance of clear communication and diligent record-keeping in financial matters.