Credit Reporting Time Limit

When you have negative items on your credit report, you may have problems opening new accounts and getting loans. Your bad credit might also keep you from getting insurance or a job. Not all items have such a severe impact. For example, too many inquiries by lenders can bring down your credit score, but not nearly as much as late payments, court judgments or bankruptcy. Fortunately, almost all negative items will drop off your report within a specified time limit.

Inquiries

When you apply for a credit card, loan or other credit account, most financial institutions will review your credit report. Their inquiries will show up on your report for two years from the date each inquiry occurred.

Late Payments

Late payments will remain on your credit report for seven years. According to Bad Credit Advisor, this period starts with the month in which the payment was originally due. If you pay late several times on the same account, each late payment will drop off your report in its individual time frame.

Collection Accounts

No matter when an account is purchased by a collection agency or given to the agency, it will still fall off your credit report in seven years from the original delinquency date. A credit agency cannot legally restart the clock just because the debt is now in its hands. Some may try, but you can file a dispute with the credit bureaus to have the information removed.

Charge-offs

Charge-offs are balances that the lender has deemed uncollectable. The time limit for reporting of charge-offs is seven years, starting on the original delinquency date plus 180 days. Even though a charge-off has been written off by the original lender, it may be sold to a collection agency. This will not automatically start the clock again.

Foreclosures, Suits and Judgments

When you lose your home to foreclosure, it will appear on your credit report for seven years. Lawsuits and judgments will normally stay on your credit report for seven years, too. However, if your state has a shorter statute of limitations, this information will be removed within that period rather than the full seven-year period.

Bankruptcy

A Chapter 7 bankruptcy remains on your credit report for 10 years from the date it was filed or the date of the bankruptcy decree. A Chapter 13 bankruptcy will drop off your credit report in seven years if you pay it as agreed. If you do not, it will stay on your record for 10 years.

Student Loans and Tax Liens

If you don't pay your federal student loan, it can stay on your credit report forever. If you pay it off, the time limit becomes seven years. Unpaid tax liens can also stay on your report indefinitely. If you pay your lien, it will be removed seven years after your payoff.