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How Long Does Bad Credit Stay on Your Credit Report?

Collection accounts, and if applicable, charge off accounts will stay on your credit report for seven years. However there will also be 180 days of delinquency, and negative credit consequences, before the account is charged off or sent to collections. In total, seven years and about six months.

Judgements can remain on your credit report for seven years from the filing date. This is when the judgement is awarded and entered against you. However, judgements can be renewed, revived, and refiled before the expiration date, and often are by creditors, if the debt isn’t paid.

Paid tax liens can be reported seven years from the date of payment. That said, the IRS is offering a Fresh Start program, or a way for some folks to remove tax liens from credit report files, after they make payment.

Unpaid tax liens, can potentially remain on your credit reports forever. However, most credit bureaus say they’ll remove unpaid tax liens after about 10 years from the date they were filed. On a sidebar, the FCRA is silent and doesn’t discuss tax liens.

Defaulted student loans, both private and most federal, can remain on your credit report for a maximum of seven years. The one exception is with Perkins loans, these are federal need-based loans, and these can remain on your credit report until paid in full, even if longer than seven years.

Chapter 13 bankruptcy, where you’re responsible for at least partial repayment, will remain on your credit report for seven years. Whereas a Chapter 7 bankruptcy, where you’re not responsible for repayment, this mark will remain for 10 years from the date it was filed.

Late payments and all other marks will remain on your credit report for a maximum of seven long years. If you do nothing at all, and everyone follows the law, then all these negative items will be automatically deleted from your credit reports.

Unfortunately, that’s a bit of wishful thinking. Many folks live with these items longer than the maximum time allowed. For example, take a collection account, there are consumer’s that have been sued and had a judgement awarded against them for debts many years past the legal statute of limitations, and way beyond the seven-year FCRA time window.

On a sidebar, there has recently July 1st, 2017 been new data standard requirements adopted by all three credit bureaus. In short, these new changes make it easier than ever before to remove judgement from credit report, and truly remove public record on credit report files of any type. No guarantee, of course, just way better odds.

As you’ll soon see, in this article, the credit and debt system are not designed to respect or even honor your consumer rights. We all know aggressive debt collectors, break the rules, and so do the credit bureaus. Evidence of this is found in the endless government fines to both these industries, but we’re getting ahead of ourselves.

Get a FREE credit consultation with a certified FICO professional by calling toll-free 1-877-418-7596.