Have you ever wondered how long negative information stays on your credit report? Per the FCRA (fair credit reporting act), most items will stay on your report for seven years after they are first posted while bankruptcies will stay on for 10 year.
What if you pay them off after a year or two, will they be removed? The answer is no. After paying off your debt it will be marked as paid, but it will still show up. Paying off your debts is a good idea as it will improve your credit score, but the major improvement will occur after this negative information expires and is removed.
Here is a list of items along with their expiration dates.
- Late payments and collections against you have a seven year limit.
- Home foreclosures stay on your account for seven years well.
- Lawsuits / judgments are also seven years from the date of filing.
- Charge offs have a credit reporting limit of seven years plus 180 days from the date of delinquency.
- If you default on your student loan it will appear on your credit report for seven years.
- Paid tax liens show up for 7 years while unpaid tax liens show up for 15 years.