Jeff's Blog

Bad Entries on your Credit Will Eventually Fall Off

Your credit report or more so, your credit score can define who you are – more so than your career, your partner in life, and even your physical attributes.  Seriously, think about it.  You cannot obtain a car, a house, a credit card, a loan, or even sometimes a job without a good credit score.  In today’s society without any of those things where would you be?  Up the creek without a paddle, that’s where.

And, if you do get financed for credit with a low score or a bad score, your interest rate will be through the roof. 

Today’s economy has caused debt collectors to become more aggressive and relentless as to their collection tactics.  Thus causing consumers to get so upset, one might even contemplate bankruptcy.  Some may have to file bankruptcy.  But there are some things you might want to think about.  One thing could be the timeline wherein a bad entry must be taken off your report.

Luckily the Fair Credit Reporting Act or (FCRA) has established guidelines so bad credit cannot stay with your forever (unlike that birthmark you’ve always hated). 

Here are a few of those Time Guidelines set forth in the FCRA that you need to know:

Late Payment information and collection accounts will remain on your report for seven years from the date of delinquency.

Foreclosures will remain on your credit report for seven years from the date of delinquency.

Lawsuits or Judgments will remain on your credit report for seven years from the date of judgment.

Bankruptcy will remain with your credit report for 10 years from the date of filing; and

Paid tax liens will remain with your credit report for 7 years from the date paid.

A consumer does not have to do anything or write anything to the credit bureaus (Experian, Equifax, and TransUnion), to have the entry removed when the time is up.  The negative account should be automatically taken off when the appropriate time has expired.  If this does not happen automatically, then contact Jeff to dispute these accounts immediately!