What is a phantom debt? You changed your phone operator and there were days to pay or you didn’t pay your credit card membership, even if you didn’t have debts. Those small balances that you may not have taken into account can negatively affect your credit history. Do you know how to avoid falling into these kinds of problems? Here we indicate you.
MORE INFORMATION: Five tips so you can put your money to good use in 2022
If a person pays their debts on time (credit cards, loans and taxes, for example), they will appear with a positive rating; but if he has defaulted on his financial obligations, he probably does not have a good credit rating, which will affect access to better financial products and even obtain better rates and conditions. Some companies also do not hire people who appear as debtors.
WHAT ARE PHANTOM DEBTS?
A phantom debt is one that we do not remember or did not even know did not exist. In general, they are debts of less than 200 soles, they can be due to debts to banks, telephone operators, retail stores, schools, beauty companies, among others, according to Infocorp-Equifax.
These debts, no matter how small, can have a negative impact on your credit history and impair access to loans, for example, warns the Legal Director of Infocorp-Equifax, Javier Mori.
HOW TO AVOID HAVING A PHANTOM DEBT?
It is important to keep track and be careful not to be surprised. Pay attention to these tips:
Record your payments
It is important to make a payment schedule so as not to forget any of the obligations. You can keep track in a notebook, on an Excel sheet, or through a financial tracking app.
If you cancel a service, verify the debts
In case you have changed your mobile phone or cable operator, you should check if you have any balance to pay. It is also important to check that there are no pending cents when canceling a bank debt, that can generate a snowball.
Check the terms and conditions
In the case of the credit card or contracted services, you should see if they include a membership. If so, you should not leave pending amounts. Find out how you can be exempted from that payment.
Change of ownership
If you sell any property, such as a vehicle, it is important that you manage to make the change of ownership because they could lead to the infractions of the new owner.
HOW DO I KNOW IF I HAVE A PHANTOM DEBT?
To find out if you have a phantom debt, you must check the debt report every month, because this way you will have an indicator to improve your credit history, properly manage your debts and access better financial benefits. If you have a debt that you are not paying on time, this will affect your credit history, and can affect future credit, such as a mortgage, even applying for a job.
