Does it Last a Lifetime? By Joyce Lash - Field Specialist II - Family Resource Management

· Most items stay for 7 years;

· Chapter 7 Bankruptcy for 10 years

· Tax liens indefinitely until paid and then 7 years.


The Fair Credit Reporting Act defines the starting point to be from the time you were late or the late payment went into collection, notfrom the last time you made a payment on the account. Collection agencies cannot extend this time if you make payments a year after the debt is reported and then fail to pay off the balance. (Note: This definition was created when revisions were made to the law in 1996.)You should retain records showing when the debt originally became delinquent or was turned over to collection. If you find that a negative report is listed beyond the seven year period it can be challenged and removed. (see Nov. 15th post)

The follow-up question wasn’t as simple to answer because it involved statute of limitations for collectionof debt. This varies by state and contract language; one size does not fit all. If you have a debt that is turned over to collection, the agency canlegally continue to contact you for payment of the outstanding debt, even beyond the 7 year credit report limitation

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