There is a big gap between the date of the salary and the EMI. Despite this, the credit score of many people becomes very low. What is the reason behind this? Why does this happen? Goodscore founder Sanchit Bansal has explained this very well while talking to Jagran Business. Let's try to understand this in simple language with an example.

Akanksha Sharma, who is an HR manager in Dwarka, Delhi, is very cautious about her financial planning. She pays bills on time, spends by making a budget, and also has the habit of saving. But last month, suddenly her credit score fell by 34 points.

The money was in her account. She also got EMI reminders. Still, she could not pay the EMI on time. The real reason was a mismatch of dates. The last date of EMI was the 3rd of the month, but her salary usually comes on the 7th. Amidst the daily hustle and bustle, work pressure, and family responsibilities, this payment slipped from her mind.

Unfortunately, the credit system is not so tolerant. A missed EMI is reported to the credit bureaus and can result in a 25 to 60 point drop in the score. This can affect loans, credit cards, or even some job opportunities.

Not every missed EMI is a financial crisis.
Whenever an EMI is missed, most people assume that the other person is in financial trouble. But working with thousands of users, I have observed that most missed EMIs are just a date or memory error, not a lack of money.

People set their financial schedules based on their salary, rent, school fees, and festival expenses. But the EMI dates of banks and loan companies often do not match this cycle.

When the EMI date is before the salary, people often think, "I will pay as soon as the salary comes." But then, in the busyness of work and life, they forget.

Three major reasons for missing an EMI
According to my experience, there are three main reasons for missing an EMI:

Just forgetting: The most common. The intention was there, but the date passed.

Mismatch between EMI and salary dates: The mind plans to pay the EMI later.

Actual financial problem: This case is relatively rare.

Financial behaviour experts call it "Mental Accounting Mismatch" — when we mentally plan our payment based on our salary, but the bank's schedule is different.

Why is it important to understand

The credit system is very sensitive. Even a delay of just 1-2 days can lower the score, and its impact can be long-lasting.

Many times, people who miss an EMI are financially strong; they have the money, it's just that the dates don't match.

The problem is that our financial system is still very rigid. EMI dates are fixed, and the system expects people to remember them themselves, no matter when the salary arrives.

Some banks and platforms have started offering flexible EMI date options, but it is still very limited.

Changing lifestyles, changing needs

Earlier in joint families, someone would always keep track of financial dues. But today, in small families, especially in metro cities, people handle everything alone.

So it is natural to miss things.

Not every EMI miss is negligence.
Missing an EMI is not always a sign of negligence or irresponsibility. Sometimes it is just a mismatch of dues. But credit bureaus do not make this distinction.

People must understand how severely missing an EMI can affect their credit score. And at the same time, financial companies also need to create systems that work according to people’s real life routines.

Paying on time is important, but the system also needs to keep pace with the pace of human life. If this gap is reduced, people will be able to manage their credit score better — and small mistakes will not turn into big losses.

Disclaimer: This content has been sourced and edited from Dainik Jagran. While we have made modifications for clarity and presentation, the original content belongs to its respective authors and website. We do not claim ownership of the content.