No Time Like the Present to Check Your Credit Report (cont.)
Contributed by Alix Mcmurray
When You Thought it Couldn't Get any Worse, it Might Actually Get Better
FCRA not only gives permission for legitimate parties (including you! ) to check out your credit report; it also sets limits for how long negative information may be retained within the report. As for accounts sent for collection or otherwise charged off, that limit is "7 years and 180 days" from the due date of the payment that precipitated the charge-off or collection. Bankruptcies can be expunged from your record 10 years after their filing date.
In most cases, civil suits and judgments can be removed seven years after their date of entry by the court, likewise with paid tax liens and many other negative entries. It's a "seven year itch" that you can feel good about scratching.
When You Check that Credit Report, Be On the Lookout for Errors
If you find negative entries which have outlived their time limits, you can seek to have them removed. You can also dispute otherwise inaccurate or incomplete information. You can write or call the lender in dispute, and keep a careful log of your contacts and conversations. The credit bureau has about 30 days to investigate your dispute, and they are required to share the results of that investigation with the lender in question.
The author gratefully acknowledges the work of Garrett Sutton ("The ABC's of Getting Out of Debt", Warner Books, 2004)as critical in the development of this article.
