How long does negative information stay on your credit report?

The first step in buying a car is getting approved for a car loan. Now, loan approval is easy for people with good credit scores. But what about people with bad credit ratings? Do they have to suffer for making some mistakes in the past? Are they destined to be rejected by the lenders?

The answer is no. Negative credit information does not stay on your credit report forever. After a specified period of time, negative credit information is removed. According to the Fair Credit Reporting Act, there are different time frames for different types of credit information.


1. Chapter 7 Bankruptcy – Information related to Chapter 7 bankruptcy remains on your credit report for ten years from the date you file for bankruptcy.

2. Chapter 13 Bankruptcy – Chapter 13 bankruptcy remains for seven years from the filing date.

Late payments

To have a good credit score, you must pay all bills before the due date. If you have not paid your bills by the due date, the lender considers it a “late payment” and the information related to the “late payment” is visible for seven years.

Tax Links

If you haven’t paid your taxes, they will show up on your credit report for an indefinite period of time. Information related to tax links will be removed only when you pay for them. After paying off the balance, the information can remain for seven years.

Other public records, such as paid and unpaid judgments, can remain for seven years from the date they are filed.

Account collection

A collection account is a loan that has been turned over to a debt collection agency. If you do not make payments to the lender, he / she can sell or transfer your loan to a third party who now has the right to collect your money from you. This information can remain on your credit report for seven years from the expiration date of the account.

Credit accounts

If you have paid off the loan through regular payments, the information will remain on your credit report for ten years from the last date of account activity. However, if you have unpaid credit accounts, it can remain on your credit report for seven years from the account’s expiration date.

If you have any negative information on your credit report, it will be removed in a couple of years. Once the information is removed, your credit score will improve and lenders will offer you better interest rates.

Leave a Reply

Your email address will not be published. Required fields are marked *