I didn't realise I had a debt and now I've found out I have a ccj?

Question

I am paying it off but will it be wiped off my credit history before it is paid as it is nearly six years old or does it have to be paid before it is removed? I know a person who amassed a lot of debt and never paid it off and after 8 years they tried to get credit and where successful - can this be true are all debts removed whether they've been paid or not??

Answer 1

Usually credit info is removed from your history after there is no activity for 7 years. Paying it off is activity.

Answer 2

From what I have read, there is a statute of limitations on that, if there is no activity, then you may not have to re-pay. If you make a payment you are aknowledging the debt and the time frame re-starts.

Answer 3

According to Section 605 (a) of the Fair Credit Reporting Act,

§ 605. Requirements relating to information contained in consumer reports [15 U.S.C. §1681c]

(a) Information excluded from consumer reports.

Except as authorized under subsection (b) of this section, no consumer reporting agency may make any consumer report containing any of the following items of information:

(1) Cases under title 11 [United States Code] or under the Bankruptcy Act that, from the date of entry of the order for relief or the date of adjudication, as the case may be, antedate the report by more than 10 years.

(2) Civil suits, civil judgments, and records of arrest that from date of entry, antedate the report by more than seven years or until the governing statute of limitations has expired, whichever is the longer period.

(3) Paid tax liens which, from date of payment, antedate the report by more than seven years.

(4) Accounts placed for collection or charged to profit and loss which antedate the report by more than seven years.

(5) Any other adverse item of information, other than records of convictions of crimes which antedates the report by more than seven years.

So, the judgment will come off seven years from when placed on credit report. However, you need to review the statute of limitations for the state in which you reside because WHATEVER is longer prevails. For example, Wyoming has a 21 year statute of limitation on judgments!

See http://www.fair-debt-collection.com/SOL-by-State.html#50

.