Your credit report information changes throughout your life over time and as you go about your daily activities. Some companies like credit card companies and various lenders report your activity to credit reporting agencies to be added to your credit report, but not everything stays forever.
The Time Limit for Credit Reporting
Companies use your credit report information to assess whether you are a responsible borrower. Naturally, some information is considered more important than others. In particular, recent actions in your credit history are more indicative of your credit habits than matters that go back decades.
While positive information can remain on your credit report indefinitely, provided those accounts remain open. Closed accounts may eventually be deleted from your credit report according to the guidelines of credit reporting agencies to maintain this information.
Fortunately, credit mistakes won’t follow you forever. Most negative information can stay on your credit report for up to seven years at most. Some types of negative information will remain on your credit report for a longer period.
Type of Information Time Limit for Credit Reporting
Late payment information, such as late credit card bill payments and legal collections: 7 years
Bankruptcy: 7 years + 180 days from the date of bankruptcy
Defaulting on a student loan: 7 years
Eviction: 7 years
Bankruptcy: Up to 10 years from the date of filing bankruptcy
Hard inquiries: 2 years
Note: Credit reports no longer include tax liens and civil judgments based on changes made by credit reporting agencies to reporting practices.
For New York Residents Only
New York has its own fair credit reporting law that applies to consumers in the state. While much of the state law aligns with federal law, there is one distinction – paid collections remain on your credit report for 5 years from the payment date or the last date of activity.
Updating Personal Information
Each time a business reports new personal information to a credit reporting agency, it is simply added to your existing information. This explains why you may have multiple different names and a long list of addresses on your credit report. Credit reporting agencies have no rules to remove this information unless you inform them of errors.
Should You Do Anything?
Once the time limit for credit reporting has passed, old information should automatically disappear from your credit report. You do not need to do anything to prompt the credit reporting agency to update your credit report.
However, if there is an error in the reporting date, you will need to use the credit report dispute process to correct the error so that the information disappears from your credit report in due time. Send copies of all evidence supporting your claim to help prove your case.
Note: You can file a complaint with the Consumer Financial Protection Bureau if the credit reporting agency and the information provider continue to violate your rights by including inaccurate information in your credit report. The bureau can help facilitate a resolution or pursue punitive actions against companies that repeatedly violate the law.
Time Limit for Credit Reporting vs. Payment Obligation
The expiration of the time limit for credit reporting does not mean you are no longer indebted. The time limit for credit reporting does not determine how long a creditor or collector can claim you owe an unpaid bill. As long as the legitimate debt remains unpaid, the creditor can attempt to use all legal means to collect payment from you, including contacting you, sending letters, and any other legal action.
Confusion
With the Civil Code Regarding Time Limits
There is another time limit that applies to debts, which is the civil filing period. This time limit varies from state to state and restricts the time that a creditor or collector can use the courts to force you to pay the debt – if you can prove that the civil filing period has expired. The civil time limit is usually separate from the time limit for credit reporting. The debt may continue to appear on your credit report even after the civil time limit has expired, especially if the civil time limit is less than seven years.
Source: https://www.thebalancemoney.com/negative-info-credit-report-960421
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