What happens if I miss a payment?

If a customer misses a payment on their account with Credit Acceptance Corporation, there are several potential consequences that they should be aware of. Firstly, the customer will likely incur late fees, which can add to the total amount owed. This can impact the overall financial situation, as the customer must then account for these additional costs in their budgeting. Moreover, missing a payment may lead to a negative impact on the customer's credit report. Payment history is a significant factor in credit scoring, and a missed payment can result in a decrease in their credit score. This can affect future borrowing opportunities, as lenders may view a lower credit score as an indication of higher risk. Furthermore, Credit Acceptance Corporation may reach out to the customer regarding the missed payment. This could involve phone calls or written communication to remind the customer of their obligation and to discuss potential options for resolving the missed payment. If payments continue to be missed, the account may be at risk of being sent to collections. This could have serious consequences, including additional fees and a more severe impact on the customer's credit report. It is advisable for customers to check their current payment agreements and any terms provided by Credit Acceptance Corporation for clearer guidance on how to manage missed payments.