# Covid19 lease payment deferral ruined my credit score **URL:** \ **Category:** Off-Ramp\ **Tags:** bmw, COVID-19\ **Created:** [May 28, 2020, 11:08pm UTC](https://forum.leasehackr.com/t/covid19-lease-payment-deferral-ruined-my-credit-score/258460 "2020-05-28T23:08:57Z")\ **Posts on this page:** 20\ **Page:** 1
**Author:** ![valf](https://leasehackr.b-cdn.net/letter_avatar/valf/32/5_5575768a8748004e209b776fc1b2916d.png) [@valf](https://forum.leasehackr.com/u/valf)\ **Post date:** [May 28, 2020, 11:08pm UTC](https://forum.leasehackr.com/t/covid19-lease-payment-deferral-ruined-my-credit-score/258460/1 "2020-05-28T23:08:57Z")
Just want to share my experience and maybe help someone. My monthly BMW lease payment is due every month on 30. On March 25 I called BMWFS to defer the next 2 lease payments. They said OK and they also sent me a written letter. When I received the next month/April invoice I saw they indeed applied the 2 payments…very nice, and I really appreciate them for doing that. Today I was in process to close a deal for a new BMW lease (btw many thanks to @Bacons_C.C for helping me with that), and the dealership calls: my Experian credit score was 699!!! A drop of about 100 points in last month. I use CreditKarma and there was over 800 as usually, so I thought it must be a mistake. I quickly paid to pull the Experian report, and guess what, it was 699…BMWFS reported missed payment for April. I quickly called them and started a credit dispute, and luckily I have the written letter dated March 25. I will keep you updated if they fix this, but I think is worth sharing in case you did use the lease deferral…check your credit report just in case! ---
**Author:** ![spockvr6](https://leasehackr.b-cdn.net/user_avatar/forum.leasehackr.com/spockvr6/32/183857_2.png) [@spockvr6](https://forum.leasehackr.com/u/spockvr6)\ **Post date:** [May 28, 2020, 11:10pm UTC](https://forum.leasehackr.com/t/covid19-lease-payment-deferral-ruined-my-credit-score/258460/2 "2020-05-28T23:10:16Z")
Thank you for reporting this. This is very interesting and may be beneficial to quite a number of people. Hopefully this is not the norm and they simply made a mistake. ---
**Author:** ![valf](https://leasehackr.b-cdn.net/letter_avatar/valf/32/5_5575768a8748004e209b776fc1b2916d.png) [@valf](https://forum.leasehackr.com/u/valf)\ **Post date:** [May 28, 2020, 11:17pm UTC](https://forum.leasehackr.com/t/covid19-lease-payment-deferral-ruined-my-credit-score/258460/3 "2020-05-28T23:17:36Z")
That’s my hope too; maybe because they deferred in March 25 and my payment was due on March 30, and they were very busy, they didn’t process my request in time, and their system automatically reported the late payment…this is an educated guess; as long as they fix it and they remove the late payment from the credit report I’m OK ---
**Author:** ![valf](https://leasehackr.b-cdn.net/letter_avatar/valf/32/5_5575768a8748004e209b776fc1b2916d.png) [@valf](https://forum.leasehackr.com/u/valf)\ **Post date:** [May 28, 2020, 11:18pm UTC](https://forum.leasehackr.com/t/covid19-lease-payment-deferral-ruined-my-credit-score/258460/4 "2020-05-28T23:18:41Z")
But is worth checking your credit reports, just in case… ---
**Author:** ![8.8.8.8](https://leasehackr.b-cdn.net/letter_avatar/8.8.8.8/32/5_5575768a8748004e209b776fc1b2916d.png) [@8.8.8.8](https://forum.leasehackr.com/u/8.8.8.8)\ **Post date:** [May 28, 2020, 11:42pm UTC](https://forum.leasehackr.com/t/covid19-lease-payment-deferral-ruined-my-credit-score/258460/5 "2020-05-28T23:42:08Z")
Help me understand this. You deferred 2 payments because potentially you had a hardship and then you go out and get a new lease? Just looking at this from a different lens and maybe thats how BMW determined to be the case. I really don’t know the situation just guessing. ---
**Author:** ![valf](https://leasehackr.b-cdn.net/letter_avatar/valf/32/5_5575768a8748004e209b776fc1b2916d.png) [@valf](https://forum.leasehackr.com/u/valf)\ **Post date:** [May 29, 2020, 12:06am UTC](https://forum.leasehackr.com/t/covid19-lease-payment-deferral-ruined-my-credit-score/258460/6 "2020-05-29T00:06:13Z")
That’s not the point in here; I deferred on that period and already paid them back; the point is if you deferred it’s a good idea to check your credit report to make sure BMWFS didn’t do a mistake in reporting a late payment ---
**Author:** ![wiresonly](https://leasehackr.b-cdn.net/user_avatar/forum.leasehackr.com/wiresonly/32/56829_2.png) [@wiresonly](https://forum.leasehackr.com/u/wiresonly)\ **Post date:** [May 29, 2020, 12:28am UTC](https://forum.leasehackr.com/t/covid19-lease-payment-deferral-ruined-my-credit-score/258460/7 "2020-05-29T00:28:34Z")
Quick note: if you have any kind of balance in your account when the payment debits, this can’t affect you. Only if you debit the full amount from a linked card or bank ---
**Author:** ![JPGR](https://leasehackr.b-cdn.net/user_avatar/forum.leasehackr.com/jpgr/32/108256_2.png) [@JPGR](https://forum.leasehackr.com/u/JPGR)\ **Post date:** [May 29, 2020, 12:58am UTC](https://forum.leasehackr.com/t/covid19-lease-payment-deferral-ruined-my-credit-score/258460/8 "2020-05-29T00:58:02Z")
Is there any language in the deferral letter that says you can’t lease another BMW during that time? ---
**Author:** ![Jrouleau426](https://leasehackr.b-cdn.net/user_avatar/forum.leasehackr.com/jrouleau426/32/195763_2.png) [@Jrouleau426](https://forum.leasehackr.com/u/Jrouleau426)\ **Post date:** [May 29, 2020, 12:59am UTC](https://forum.leasehackr.com/t/covid19-lease-payment-deferral-ruined-my-credit-score/258460/9 "2020-05-29T00:59:15Z")
Wow I would talk to a consumer advocate attorney about this if you have the time. If they start doing this with peoples mortgages as well it’ll be a disaster. ---
**Author:** ![8.8.8.8](https://leasehackr.b-cdn.net/letter_avatar/8.8.8.8/32/5_5575768a8748004e209b776fc1b2916d.png) [@8.8.8.8](https://forum.leasehackr.com/u/8.8.8.8)\ **Post date:** [May 29, 2020, 1:02am UTC](https://forum.leasehackr.com/t/covid19-lease-payment-deferral-ruined-my-credit-score/258460/10 "2020-05-29T01:02:05Z")
I see, so did they report 1 or 2 late payments? ---
**Author:** ![8.8.8.8](https://leasehackr.b-cdn.net/letter_avatar/8.8.8.8/32/5_5575768a8748004e209b776fc1b2916d.png) [@8.8.8.8](https://forum.leasehackr.com/u/8.8.8.8)\ **Post date:** [May 29, 2020, 1:03am UTC](https://forum.leasehackr.com/t/covid19-lease-payment-deferral-ruined-my-credit-score/258460/11 "2020-05-29T01:03:18Z")
Didn’t this happen back in 2008? Deferrals were granted and then people were hit with non-payment threats. ---
**Author:** ![valf](https://leasehackr.b-cdn.net/letter_avatar/valf/32/5_5575768a8748004e209b776fc1b2916d.png) [@valf](https://forum.leasehackr.com/u/valf)\ **Post date:** [May 29, 2020, 1:38am UTC](https://forum.leasehackr.com/t/covid19-lease-payment-deferral-ruined-my-credit-score/258460/12 "2020-05-29T01:38:44Z")
For now one payment was reported late, the April one; here is a print screen from my credit score and the April invoice for BMWFS showing the deferred payments; ![image](https://leasehackr-assets.b-cdn.net/original/3X/1/4/14f0005d52ec1a5610535e28dcb72e5bfbdefa0d.png) ![image](https://leasehackr-assets.b-cdn.net/original/3X/8/5/85d9761880bf52c3e10cffa60b8e9f724f683681.jpeg) ---
**Author:** ![valf](https://leasehackr.b-cdn.net/letter_avatar/valf/32/5_5575768a8748004e209b776fc1b2916d.png) [@valf](https://forum.leasehackr.com/u/valf)\ **Post date:** [May 29, 2020, 1:48am UTC](https://forum.leasehackr.com/t/covid19-lease-payment-deferral-ruined-my-credit-score/258460/13 "2020-05-29T01:48:05Z")
Experian report shows May green, only April past due. ![image](https://leasehackr-assets.b-cdn.net/original/3X/f/f/ff8b120518fa6ac0eac547719bd4d15e4ee866f2.jpeg) ---
**Author:** ![trism](https://leasehackr.b-cdn.net/user_avatar/forum.leasehackr.com/trism/32/26973_2.png) [@trism](https://forum.leasehackr.com/u/trism)\ **Post date:** [May 29, 2020, 10:50am UTC](https://forum.leasehackr.com/t/covid19-lease-payment-deferral-ruined-my-credit-score/258460/14 "2020-05-29T10:50:40Z")
> [@valf](#): > > I use CreditKarma and there was over 800 These are Vantage Scores. They’re given away for free by the millions to uneducated consumers, but they’re virtually unused by companies who actually extend credit. A couple of months ago mine dropped ~55 points into the 700s when a $26k balance reported on a card with a $50k limit, while my FICOs just sat there and said, “Carry on. He’s good for it.” ---
**Author:** ![valf](https://leasehackr.b-cdn.net/letter_avatar/valf/32/5_5575768a8748004e209b776fc1b2916d.png) [@valf](https://forum.leasehackr.com/u/valf)\ **Post date:** [May 29, 2020, 11:26am UTC](https://forum.leasehackr.com/t/covid19-lease-payment-deferral-ruined-my-credit-score/258460/15 "2020-05-29T11:26:21Z")
Yes, you are right. Just learned that… ---
**Author:** ![vhooloo](https://leasehackr.b-cdn.net/user_avatar/forum.leasehackr.com/vhooloo/32/3952_2.png) [@vhooloo](https://forum.leasehackr.com/u/vhooloo)\ **Post date:** [May 29, 2020, 2:04pm UTC](https://forum.leasehackr.com/t/covid19-lease-payment-deferral-ruined-my-credit-score/258460/16 "2020-05-29T14:04:41Z")
> [@trism](#): > > $26k balance reported on a card with a $50k limit, That was an expensive wine purchase. ---
**Author:** ![vhooloo](https://leasehackr.b-cdn.net/user_avatar/forum.leasehackr.com/vhooloo/32/3952_2.png) [@vhooloo](https://forum.leasehackr.com/u/vhooloo)\ **Post date:** [May 29, 2020, 2:06pm UTC](https://forum.leasehackr.com/t/covid19-lease-payment-deferral-ruined-my-credit-score/258460/17 "2020-05-29T14:06:00Z")
> [@trism](#): > > They’re given away for free by the millions to uneducated consumers, I am glad we are not one of them and can afford the finer things in life! ---
**Author:** ![vhooloo](https://leasehackr.b-cdn.net/user_avatar/forum.leasehackr.com/vhooloo/32/3952_2.png) [@vhooloo](https://forum.leasehackr.com/u/vhooloo)\ **Post date:** [May 29, 2020, 2:13pm UTC](https://forum.leasehackr.com/t/covid19-lease-payment-deferral-ruined-my-credit-score/258460/18 "2020-05-29T14:13:15Z")
> [@valf](#): > > Experian report shows May green, only April past due. Happened to a lot of people. The business arm, finance dept and IT department were not in sync. So IT systems reported you as late. If you complain, they will fix but the fix will take time to show up. ---
**Author:** ![trism](https://leasehackr.b-cdn.net/user_avatar/forum.leasehackr.com/trism/32/26973_2.png) [@trism](https://forum.leasehackr.com/u/trism)\ **Post date:** [May 29, 2020, 2:19pm UTC](https://forum.leasehackr.com/t/covid19-lease-payment-deferral-ruined-my-credit-score/258460/19 "2020-05-29T14:19:54Z")
> [@vhooloo](#): > > That was an expensive wine purchase That was two non-wine purchases. Point is that common FICO models treat utilization on cards with higher limits (mid $40,000s and higher) differently than Vantage Scores do. Spoiler alert: My subprime Vantage Scores bounced back the following cycle when the balance on the card updated to $0. Nothing about my creditworthiness changed during this process, but the Vantage swing was nauseating. ---
**Author:** ![anon27376261](https://leasehackr.b-cdn.net/letter_avatar/anon27376261/32/5_5575768a8748004e209b776fc1b2916d.png) [@anon27376261](https://forum.leasehackr.com/u/anon27376261)\ **Post date:** [May 29, 2020, 2:38pm UTC](https://forum.leasehackr.com/t/covid19-lease-payment-deferral-ruined-my-credit-score/258460/20 "2020-05-29T14:38:29Z")
Trying to see if 25k in singles would fit in one of the trunk boxes you put in? [Next page](https://forum.leasehackr.com/t/covid19-lease-payment-deferral-ruined-my-credit-score/258460.md?page=2)