Negative Element
A credit score is lowered when a negative element on your record is reported to the three major credit bureaus: Equifax, TransUnion or Experian. This negative element can be any sort of financial liability tied to your Social Security number, such as a collections account for an unpaid debt, bankruptcy or a tax lien. Each credit bureau gives a different weight to these negative elements, which is why the same person can have different scores from each bureau.
Deletion Negotiation
A debtor may be able to negotiate a collections deletion from his account to have a creditor remove a negative element from his credit history. This option can be pursued if the debtor wishes to pay in full a debt that has gone to a collections agency. The debtor contacts their creditor or collections agency and negotiates a payment term. Any creditor who has created a negative element on a debtor's credit history can remove it. Sometimes, an extra fee may be charged for the deletion service. Paying a debt without requesting a deletion causes a negative element to remain on a credit history for its full term.
Inquiries
Credit inquiries are removed from an individual's credit history after 2 years. Inquiries are reported when an individual has her credit score and history checked as part of a loan or credit application.
Delinquencies and Collections
Delinquencies and collection notices are removed from an individual's credit history after 7 years. Delinquencies are dated from the initial missed payment. Collections records are dated from the date the account moved into collections.
Bankruptcy
Bankruptcy records begin from the date of filing. Chapter 13 bankruptcy filings remain on an individual's credit report for 7 years. Chapter 7, 11 or 12 bankruptcy filings remain on an individual's credit report for 10 years. Individual accounts reported in the bankruptcy filings and subsequent judgments remain on a credit history for 7 years.
Tax Liens
Tax liens levied at the city, county, state or federal level remain on an individual's credit report for a maximum of 15 years from the date they were reported. Once the tax lien has been paid in full, the paid lien record will remain on a credit history for 7 years from the payment date.
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