how long does good AND bad credit stay on your report?

4 comments

1. 

   Smoovy Loco on December 22, 2009 at 8:46 am

   Usually for late payements it’s 3 years, 7 years, for charge-offs, repossessions, foreclosures, and judgements, and 10 years for bankruptcies.

   Another thing, the reporting period runs 7 ½ years (7 years plus 180 days) from the date (month and year) of the last delinquency (known as “last missed payment:).

   So, regardless of how long a creditor waits to charge off, sell or transfer a debt, they must report the true and correct “delinquent or last missed payment” date (month and year) that preceded the creditor’s action.

   I’ll give you an example:

   A payment was due on January 10, 1998 but, you failed to make that payment and never made another payment. The Creditor waits until August 98 to take action (charge off, send to collections, sell/transfer debt, etc.) on the debt.

   The 180 day count began on January 98, (your last missed payment month) and runs until July 98 at which time the seven (7) year reporting period begins and runs until July 2005.

   Here’s how Bankruptcies work

   The fair credit reporting act allows bankruptcy to be reported for up to 10 years. The key word is “allows” because it is NOT mandatory for credit reporting agencies to report the bankruptcy for the full 10 years. Each credit bureau has its own internal policy on how long it reports any bankruptcy but as a general rule, Chapter 7 is reported for 10 years and chapter 13 for only 7 years.

   The reasoning behind this difference in the reporting periods is under chapter 13 you pay at least some of your unsecured debts while chapter 7 relieves you of paying anything thus the longer penalty.

   Bankruptcy is reported for 7 or 10 years from the date the bankruptcy is discharged (otherwise known as the “Order of Relief” date) or from the date the bankruptcy case is adjudicated.

   Example Chapter 7:
   You file bankruptcy on January 10, 2003 and receive a discharge on May 30, 2003. The bankruptcy remains on your credit report until May 2013. (10 years)

   Example Chapter 11:
   You file bankruptcy on January 10, 2003. You receive confirmation of your chapter 11 plan on March 15, 2003. The bankruptcy remains on your credit report until March 2013. (10 years)

   Example Chapter 12 and 13:
   The court normally grants the discharge as soon as practicable after you complete all payments under your repayment plan (typically 3-5 years).

   So, you file bankruptcy on January 10, 2003 and you begin making payments a couple months later. You complete your repayment plan on March 1, 2006 (3 years later) and the court grants your discharge 70 days later on May 10, 2006. In this case, the bankruptcy remains on your credit report until May 2013 or 2016. (7 or 10 years from the discharge date depending on the credit bureau’s policy)

   Generally, you don’t need to do anything to have a bankruptcy removed from your report once the reporting period expires. However, it’s always a good idea to verify that the bankruptcy has been deleted. Find out what the policy of the CRA is (7 or 10 years) and then, if it has expired but not removed, send a letter to the credit bureau requesting the bankruptcy be removed.

   As long as the good accounts are still open, they’ll stay on there for as long as you have them

2. 

   B.B on December 23, 2009 at 3:08 pm

   up to 7 years after paid off

3. 

   OC1999 on December 26, 2009 at 1:43 am

   The positive information remains on your report forever. Whether or not the loan or account is paid off.

   Negative Items will remain on your report for 7 years from the first time the negative information was reported. This is generally when you went delinquent for charged off accounts. If you are just 30 days late that will be on there for 7 years from the date you were 30 days late.

   The exception to the 7 year rule is Bankruptcies which is 10 years from the date of filling, and Tax Leins which are indefinite until paid off.

   Also, when you request for credit that remains on your report for 2 years. A few is not considered negative. But if you have several in a short period that could have a negative effect on you.

4. 

   gabriel jones on December 28, 2009 at 1:27 pm

   Bad credit is one of the worst problems to have… however there exists a solution.

   I will hereby talk from my personal experience.

   I did debt consolidation a couple of years ago, however If I had to do it again I would pay to some minor details,
   if someone wants to get out of debt today it is pretty easy with a debt consolidation plan, however it may get a bit tricky at times, I suggest you get as much information as possible online on this first,

   a good place to start in my humble opinion is a straight to the point ebook with question and answer I found :

   if it helps kindly remember me in your voting!.. cheers!