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Articles » Free Annual Credit Report | | How Long Does Information Stay On My Credit Report? |
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Once an item has been added to your credit report it is very difficult to remove the bad item from your credit report , impossible if it is correct. There are, however, time limits as to how long the entry can remain on your credit report. It's sort of a “Statute of Limitations” for the credit bureaus. This statute is outlined in detail in the Fair Credit Reporting Act and all three bureaus must adhere to it. The following are the items that go on to your credit report and how long they will stay there according to FCRA:
Unpaid tax liens and criminal convictions stay on your credit report indefinitely. Arrests and indictments, along with paid tax liens, will disappear in seven years, but any federal or state tax debt left unpaid will remain. Criminal convictions can be removed if your record is sealed by a federal judge.
Bankruptcies remain on your credit report for up to ten years. Bankruptcies, however, do not always reflect badly on your credit rating. Your FICO score may be lowered by a Chapter 11 or Chapter 7 filing (both fall under the same guidelines in your credit report) but creditors will often issue credit cards and/or loans to someone in bankruptcy because all outstanding debt has been consolidated and federal laws prevent you from filing bankruptcy again for six years.
Accounts sent for collection and accounts charged off will remain on your credit report for seven years after the date of the last activity. When calculating this date, it is always based on the delinquency date of the account itself and not when it is transferred to the collection agency. Agencies often sell their collection accounts to each other when they are difficult to collect but the clock doesn't start ticking again with each transaction of this nature.
Judgments, late payments, foreclosures, seized and over-drafted bank accounts, and all payment histories for credit card and utility accounts disappear after seven years. The only exception to this is if you apply for $150,000 or more of credit or insurance or if you apply for a job with an annual income of over $75,000. Generally, though, credit bureaus delete all information after either the seven or ten year time frame has elapsed.
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