Your credit report serves as a record of your financial history, and negative information can have an impact on your credit score. However, this information doesn’t stay on your report forever. Here's how long different types of negative marks remain:
- Inquiries: Hard inquiries, which occur when a lender checks your credit for a loan or credit card application, stay on your report for 2 years. Soft inquiries, like when you check your own credit, are not visible to lenders and don’t affect your score.
- Late Payments/Delinquencies: Late payments remain on your credit report for 7 years from the date of the missed payment.
- Trade Lines: Accounts with negative history (e.g., missed payments or defaults) are reported for 7 years from the date of the delinquency.
- Collections: Accounts sent to collections are reported for 7 years from the original delinquency date (when the account first became late).
- Civil Judgments: While civil judgments are no longer reported on credit reports due to recent policy changes, older entries might still show up for 7 years if applicable.
- Bankruptcies: Depending on the type, bankruptcies can remain on your report for:
- Chapter 7 Bankruptcy: Up to 10 years from the filing date.
- Chapter 13 Bankruptcy: Typically 7 years from the discharge or filing date.
Why These Timeframes Matter
Understanding how long negative information stays on your credit report is key to managing your financial health. While you can’t erase legitimate negative marks prematurely, over time, their impact lessens as newer, positive information builds on your credit report.
If you find any inaccuracies in your credit report, you have the right to dispute them and request corrections. Regularly checking your report ensures that the information reported is accurate and up to date.