Credit Report Issues...?

Question

Hi there-

Just wondering something... I heard that EVERYTHING that is on your credit report for 7 years or more, it gets "deleted" (that's the best way to put it i guess)...
First off, is this true?
and Second, does EVERYTHING get deleted off your credit if it is 7 years old or more?

thanks for your time!

p.s. please no repeat answers for free points. i appreciate it. thanks again!

Answer 1

You are partially correct.

Positive information will stay on your credit report possibly indefinitely.

Most negative information will stay on your report for 7 years before it is removed. If you file for bankruptcy, that will stay on your credit report for 10 years before you are clean again.

Keep paying your bills on time and you should have a long excellent credit history. If you have a few bad marks, that's how long they will stay on there.

I hope that was helpful.

Answer 2

If you have open collections, charge-offs or judgements, they can theoretically stay on your credit report forever.

30-, 60-, 90- and 120-day late payments usually go away after 2 years on open accounts.

Bankruptcies that have been discharged do not show on your credit report after 7 years, usually.

Think of it this way: for closed collection accounts and bankruptcies, they go away after 7 years. for late payments on open debt, they go away after 2 years.

I suggest that if you want to clean up your credit, you pay off your bad debt first. You can often settle for 1/2 the original amount owed, if you call the last week of the month (collectors get paid commission monthly based on the $ amount of debt that gets paid off).

So, here is how you handle closing out bad debt: Call the last week of the month and say you want to settle the debt for 1/2 of what is owed. They'll usually agree. When they agree, you get them to send you the agreement IN WRITING. Do NOT pay them anything until you get a commitment from them in writing that they will close the account for less than the full amount. They can fax or email the agreement to you. Get an eFax account for free and they can fax it to you; faxing is their preferred method of sending these agreements.

Then, pay the agreed-upon amount and have them mail or fax you a confirmation letter stating that the debt is closed and settled.

Do not let them talk you into paying the full amount: you already screwed up your credit, but they'll say that by paying less than the full amount will continue to hurt your credit: that is a lie.They are just trying to get more $ out of you so they get a bugger commission check.

As you pay your bad debt off, make sure you have some good, open debt accounts that appear on your credit report, so you can rebuild your credit history. If you can swing it, make sure you have at least 3 good, open debt accounts. You don't have to owe anything on them, just make sure they are open and current.

good luck!

Answer 3

Please ignore Chris H's response, as it contains so much innacurate info I don't know where to start correcting it.

Please refer to the Fair Credit Reporting Act. It is very specific and clear.

Negative reports stay on your report for 7 years, beginning on the day of the delinquency. After that, they must be deleted.

Other reports can stay on for a long time. But you want that informatin on your history so it established that you have a good credit history.