The Credit Mistake I Made in College That Took Years to Fix
May 19, 2025
6 min read
When you’re in college, between juggling classes, part-time jobs, and cramming for exams, building good credit is probably the last thing on your mind. It certainly was for me. At 19, I was more concerned about figuring out what kind of ramen wouldn’t bore me to tears than thinking about interest rates or credit limits. But one small credit mistake during those formative years set off a ripple effect I’d spend years undoing.
That mistake? Ignoring my first credit card’s minimum payments for months on end. It sounds simple, almost laughable now, but back then, I had no idea just how significant that oversight was or the long-term consequences it would have on my finances.
Here’s what I learned from the experience, how I dug myself out, and the lessons you can take to avoid the same headache.
The Allure of Easy Credit
Back in college, credit card offers were everywhere. Banks set up flashy booths during campus events, promising free T-shirts or coffee mugs in exchange for filling out an application. The winning pitch? “No annual fee and no credit history required!” To my inexperienced ears, it sounded like free money.
I didn’t take the time to read the fine print or even consider whether I needed a credit card. The low minimum payments and a generous (for a college student) $1,000 limit were just what I thought I needed to “afford” dinners out, spring break trips, and even textbooks. I convinced myself it was no big deal—I’d pay it back once I landed a “real job.”
The Mistake: Ignoring the Minimum Payment (Even When It Was Tiny)
Let’s set the scene: my monthly minimum payment was around $27. Manageable? Absolutely. But I was living paycheck to paycheck with inconsistent hours, and in my mind, if I couldn’t pay off the whole balance, what difference would a small payment make?
So I skipped it, just for that month.
Then again. Then once more.
Each time, I thought: I’ll catch up next month. What’s the harm? The harm, as it turns out, compounds—literally.
Within 90 days, my account was flagged as delinquent. My credit score dropped by over 100 points. Interest piled up. Late fees stacked on top of each other. What started as a single $27 minimum became hundreds of dollars owed, plus a damaged score I didn’t even realize was affecting me—yet.
Why This One Mistake Hurts So Much
From a distance, skipping a minimum payment feels like a small offense. In reality, it’s one of the quickest ways to damage your credit reputation. Why?
Payment history is the biggest factor in your credit score. It accounts for 35% of your FICO score. One late payment—especially one over 30 days—can take a serious toll.
Late fees and penalty APRs kick in fast. Most credit cards charge a late fee after just one missed due date, and some will raise your interest rate to a penalty APR after 60 days of missed payments. Mine jumped from 19% to 29.99%. That hurt.
A delinquent account lingers. Even after I got current again, the 90-day delinquency stayed on my report. It impacted my ability to rent an apartment, get a car loan, and even set up utilities without a deposit. It didn’t feel like a big mistake when I made it. But credit systems are not built for “oops.” They’re built on consistency, and missing a payment breaks that trust fast.
Payment history is the single most important component of your credit score. Even one missed payment can knock your score down by 90–110 points, especially if your credit history is short.
What I Wish I Knew Then (That Could've Saved Me)
Looking back, there are a few things I wish someone had told me before I learned the hard way:
1. The Minimum Isn’t Ideal—But It’s Powerful
Making the minimum won’t help you crush debt quickly, but it does keep your credit healthy. It’s the signal to lenders that you’re reliable, even if progress is slow. I used to think, “Why bother paying if I can’t pay it all off?” That mindset cost me more than I care to admit.
2. Setting Up Autopay Is Not Optional
I avoided autopay because I was worried about overdrafts. But setting up autopay for just the minimum would’ve protected my credit score during tight months. Lesson learned: Even $27 can act like armor for your credit report.
3. Credit Scores Matter Before You Think They Will
In college, I wasn’t trying to buy a house or finance a car. But a low credit score still limited me—housing applications, job screenings, and even insurance premiums can be impacted. Your credit matters the moment you need something. And by then, it may be too late to fix it overnight.
How I Recovered (And What Actually Helped)
Rebuilding my credit wasn’t instant—but it was doable. Here’s what worked over time:
1. Getting Current—Then Staying That Way
I made catching up on missed payments my #1 priority. Even if I could only pay the minimum, I made sure it was on time, every time. This stopped the bleeding and started the slow rebuild.
2. Asking for a Goodwill Adjustment
After six months of consistent payments, I called the credit card company and politely asked for a “goodwill adjustment.” I acknowledged my previous late payments, explained my situation (student, first-time borrower, now current), and asked if they could remove the late marks.
To my surprise—they did.
Not every lender will say yes. But it costs nothing to ask, and being polite and persistent often helps.
3. Getting a Secured Card to Rebuild History
Because my score had dropped, I couldn’t qualify for good credit products. So I opened a secured card with a $300 deposit and used it just for groceries and paid it off each month. It wasn’t glamorous, but it slowly rebuilt my credit history—something even a tarnished file can’t repair overnight.
4. Checking My Credit Reports—Not Just My Score
I signed up for free access through AnnualCreditReport.com and reviewed my reports from all three bureaus (Experian, Equifax, TransUnion). I found small inaccuracies and disputed one late payment that was incorrectly reported—another win.
It’s worth looking beyond your score. Your report tells the full story, and you’re legally entitled to review it for free once per year per bureau.
Mistakes Happen—But So Does Recovery
If you're reading this and nodding because you've missed a payment or two (or five), know this: you're not alone, and you're not stuck. Credit systems are rigid—but recovery is possible. It takes time, but every on-time payment going forward works in your favor. Every small, consistent step rewrites your financial narrative.
So yes, I made a credit mistake in college that took years to fix. But I also learned how powerful just one on-time payment can be—and how much control I actually had once I stopped avoiding it.
You don’t need to be perfect. But you do need to be present. Your credit history isn’t about one mistake—it’s about the habits you build next.
