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How long do unpaid collection accounts remain on your credit report?
Wiki User
∙ 8y ago
An unpaid collection account will remain on your credit report for 7 years from the date the account was reported by the collection agency. Keep in mind that any new activity regarding the account (for example, if you decide to pay it off) will reset the time limit. In other words, if you have an unpaid collection account from Jan. 2000 and you decide to pay it in Apr. 2004, it will remain on your credit report for 7 years from the date you paid (Apr. 2004) instead of the original date it was reported (Jan. 2000). Leaving it unpaid means that 7 years from Jan. 2000, it must legally be removed from your report.
The previous answer is incorrect. Paying on a collection account does NOT re-set the time limit.
The Fair Credit Reporting Act establishes a method by which the "reporting period" is timed at 7 years. This date is established at 1681c, Sec. 605(c)(1) "...upon the expiration of the 180-day period beginning on the date of the commencement of the delinquency, which immediately preceded the collection activity..."
So, the date that triggers the 7-year countdown is the last time a consumer pays their account on time immediately before it is defaulted. Nothing can legally change this date. Data Furnishers (creditors) have 90 days from the first time they report a collection to identify this date. Altering it (because of a payment or for any other reason) would provide grounds for a lawsuit for violating the FCRA.
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Actually the first answer is correct per conversation i had with Equifax
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As a credit counselor, I get this a lot. The common source of confusion is that the statue of limitations to be sued (varies with state) gets reset which means you can still be dealing with a debt even after it has fallen off your report. It is true the debt must be removed after 7 years, regardless if you make payments or not.
Wiki User
∙ 8y ago
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How long will closed accounts remain on my credit report?
7 years from the DLA for "negative" accounts, and 10 years for accounts "in good standing".
Is it true collection debts erase from your credit report after 7 years?
Yes, however, bankruptcy can remain on the report longer.
How do you find a list of accounts sent to collections?
Get a copy of your credit report from all three bureaus. You can get a free copy each year. This report will tell you all of the collection accounts that are currently reported, and to which of the credit bureaus they are being reported to.
What should you do to get paid collections off your credit report?
If the account is legitimately yours, then you cannot legally have it removed from your credit report. However, if you paid the collection account off, it should be reported as paid on your credit report. Still, the accounts will not be removed from your credit report for 7 years.
How long do charge offs remain on your credit report?
The Fair Credit Reporting Act allows charge offs and collection accounts to show for 7 years, plus 180 days from the last time you paid the account (on time) immediately prior to the charge off.
How long will it take for bad credit to be taken out of your record?
The date when the derogatory account is going to be removed from your credit report is known as the FCRA Compliance Date. Most derogatory accounts remain on your credit report for 7 years. Although there are exceptions. Chapter 7 bankruptcy accounts will remain on your credit report for 10 years. A tax lien may report indefinitely. You can try to have the accounts removed before the FCRA Compliance Date by contacting the credit bureaus, collection agencies, and original creditors. If you don't know what you are doing you will need to do quite a bit of research on how this process works, or you may hire a professional credit repair company to help you.
Where do you pay collection accounts that are reported on your credit report when the company is out of business or no longer handles the account that was reported for collection?
You pay the collection agency.
How long will closed accounts remain on my credit report?
7 years from the DLA for "negative" accounts, and 10 years for accounts "in good standing".
Is it true collection debts erase from your credit report after 7 years?
Yes, however, bankruptcy can remain on the report longer.
How do you find a list of accounts sent to collections?
Get a copy of your credit report from all three bureaus. You can get a free copy each year. This report will tell you all of the collection accounts that are currently reported, and to which of the credit bureaus they are being reported to.
What should you do to get paid collections off your credit report?
If the account is legitimately yours, then you cannot legally have it removed from your credit report. However, if you paid the collection account off, it should be reported as paid on your credit report. Still, the accounts will not be removed from your credit report for 7 years.
What happens to your lower credit rating after you've paid off your collection accounts?
Nothing, a paid collection reporting on your credit report is just the same as if it was reporting unpaid, they both are negative entries.
How long do charge offs remain on your credit report?
The Fair Credit Reporting Act allows charge offs and collection accounts to show for 7 years, plus 180 days from the last time you paid the account (on time) immediately prior to the charge off.
If a collection account isn't a credit card does it fall off your credit report immediately once it is paid?
No. Negative entries concerning all creditor debts remain on the consumer's credit report for the required 7 years.
Remove paid collection from credit report?
Once the account is paid it will update and report as such and remain on your file until it has reached the SOL for reporting which is 7 years
How long does a foreclosure stay on your credit report?
A foreclosure will typically remain on your credit report for seven years.
How long does an unpaid collection account stay on your credit report?
If the debt originated after December 1997; it may remain on your credit report for 7 years plus 180 days from the last time it was paid on time.
