Wednesday, August 31, 2005

How Long Before Negatives Are Removed From a Credit Report?

When you have a judgment, late payment or some other negative item show up on your credit report, it can significantly hurt your credit score. The negative items can remain on your credit report for up to 10 years. In some cases, you can get the items removed sooner.

Seven-Year Items

    Some negative items remain for seven years, according to the law. After seven years, the credit bureaus will remove these items. Some items in this category are account charge-offs and late payments. A judgment against you in a civil suit can also stay on your credit report for seven years.

10-Year Items

    Although many items stay on your credit report for about seven years, other negative items remain for 10 years. For example, Chapter 7 bankruptcy stays on your credit report for 10 years from the date of discharge. Chapter 13 bankruptcies also stay on your record for 10 years, even though you use a payment plan to repay your creditors. Most criminal arrests also stay on your credit report for 10 years.

Mistakes

    In some cases, you may notice incorrect information on your credit report. You can contact the credit bureaus and dispute these items. If you can provide proof that the information is not correct, the credit bureaus remove it from your credit report and recalculate your credit score.

Credit Repair Scams

    When trying to get negative items from your credit report removed, you may be interested in hiring a credit repair company. Many companies claim to be able to take negative information off of your credit report. This is inaccurate, and the company will not be able to remove items unless they are mistakes. If the information is correct and up-to-date, it will have to stay on your credit report for the full amount of time required.

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