What happens if I miss a Credit Card payment?
Credit card debt is 'non-priority debt', meaning you cannot go to prison for it. However, it is the most aggressive form of debt for fees and credit file damage. Banks use automated systems to apply interest, making the debt grow exponentially if you stop paying.
Related Situations: If you have multiple cards and are struggling, you may want to read about debt consolidation. If you are already facing court papers, see our guide on ignoring a court claim.
1 The Typical Timeline
If you take no action, this is the standard statutory process. Timescales are approximate but typical for 2026.
Missed Payment Fee
You are charged a late payment fee (usually £12). Your card is blocked from new spending. The bank may call or text you immediately.
Credit File Marker (1)
'1' is added to your credit report (1 month in arrears). This is a minor negative mark but suggests financial stress to other lenders.
Notice of Sums in Arrears
You receive a formal legal letter required by the Consumer Credit Act. This warns you of the total arrears. Interest is still being added.
Default Notice
The 'Server Killer'. A Default Notice gives you 14 days to pay the full arrears. If you don't, a DEFAULT is added to your credit file. This stays for 6 years and destroys your ability to get credit.
Debt Sale / Collection
The bank sells your debt to a collection agency (e.g., Lowell, Cabot) for pennies in the pound. They will now chase you for the full amount.
CCJ (County Court Judgment)
If you continue to ignore letters, they will apply for a CCJ. If granted, bailiffs can eventually be used if the debt is over £600 (though less common for credit cards than council tax).
2 Free Calculators & Checks
The banks 'Minimum Payment' is a mathematical trap designed to keep you paying interest forever. Check exactly how long it will take to be free.
The 'Minimum Payment' Trap
See how long it really takes to clear your balance if you only pay the minimums.
Warning: Paying the minimum is designed to keep you in debt. You will pay back double what you borrowed. Try to pay even £10 more than the minimum.
Compound interest is dangerous. See how quickly a small debt balloons if you stop paying it.
The Interest Spiral
See how 'Compound Interest' causes debt to double if you ignore it (and fees stop).
A 'Default' stays on your credit file for 6 years. Check exactly when you are at risk of getting one based on your missed payment date.
Default & CCJ Timeline
Enter the date of your FIRST missed payment to see exactly when your credit file is at risk.
Consolidating multiple cards into one loan can save money, but it has risks. Compare the costs here.
Should I Consolidate?
Compare the cost of paying off your cards vs getting a cheaper loan. (Assumes same payoff time).
The 'Minimum Payment' Trap
Banks want you to pay the minimum. It is designed to keep you in debt for decades. Paying only the minimum on a £3,000 balance can take over 25 years to clear, costing thousands in interest.
Can I go to prison?
No. Credit card debt is a civil matter. You cannot be arrested or go to prison for not paying a credit card, no matter what a debt collector says on the phone.
Summary of Options
Pay the Minimum Immediately
Even if you can't pay the full balance, paying the minimum stops the 'Default' process. Borrowing from friends/family to pay just the minimum is often worth it to save your credit file.
Ask for 'Breathing Space'
Government scheme that freezes interest and pausing enforcement for 60 days. You must apply through a debt advisor (StepChange/Citizens Advice).
Ignore It
The worst option. Interest compounds, doubling your debt every few years. A Default and CCJ will ensure you cannot get a mortgage or rent a decent property for 6 years.
Common Questions
Will they take my house?
Extremely unlikely for credit card debt alone. To do this, they need a CCJ, then a 'Charging Order'. This converts unsecured debt to secured debt. It is a long, expensive legal process usually reserved for debts over £5,000-£10,000.
Can I just ignore the debt collectors?
You can ignore their calls, but do not ignore their letters. If they send a 'Letter Provided Before Action', they are preparing to take you to court for a CCJ. You must reply to this.
Does the debt disappear after 6 years?
Sort of. The 'Limitation Act' means if you have not acknowledged the debt or paid anything towards it for 6 years, it becomes 'Statute Barred'. They cannot legally force you to pay it anymore.
Official Sources & References
Related Situations
Other guides accurately explaining what happens next in credit & records .