Is it legal for debt that was originally open 7-12 years ago to show on your report even in collections?

How do we remove these items that were originally reported with original creditor 7 - 12 years ago?

Depends.

Generally, they go by charge-off date, so for example, let's say you opened a Visa account in 1999, but it didn't charge off (go into default) until 2005, then yes, you will see that on your credit report.

As long as you make payments against your debt, it will continue to show on your credit report.

If you STOP paying and they sue you to a judgment, that written judgment (called an EXECUTION) keeps the debt valid for an additional TWENTY YEARS.

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I see that I need to start correcting people again. Sheesh, Pink Bliss gave the only decent answer!

Yehsub - The 7 year reporting period provided under the FCRA begins on the date of first delinquency that leads to the charge off, not the charge off date itself. Nothing can LEGALLY reset this clock.

The statute of limitations on judgements varies from state to state, but the judgement would only show on the credit report for 7 years from the date entered. Again, this is specified under the FCRA.

Twisten - As I mentioned above, NOTHING can LEGALLY reset the 7 year reporting period.

Now what to do about this? Well first you need to file a dispute with the credit bureaus letting them know the items are obsolete. If the creditor "verifies" the information to be correct, you send them a demand to validate letter and specifically state you believe they are reaging an account and demand to know the date of first delinquency. They will either (A) remove the listing, (B) ignore you or (C) provide the actual date of first delinquency.

If (A) happens, your work is done.

If (B) happens, your next step would be to file lawsuit for FCRA violations. This takes some time and research, but if you lay good ground work you can usually find an NACA attorney to take the case on a contingency.

If (C) happens, they will have either proven their information is correct or you will have proof it is incorrect.

======================================...

Edit - Anjell!! There is NOTHING that can reset the 7 year clock. It don't matter how many creditors/collection agencies hold the account, it depends on the date of first delinquency. That is the LAW established with the FCRA. Any company that violates the FCRA is opening themselves up for a MAJOR lawsuit.

Seriously, I don't want to come across like a jerk...I've seen your answers and know you are on the consumer's side...but your answer is all wrong. I know your heart is in the right place, but please...PLEASE check up on the FCRA and FDCPA.

Well as usual there is the wide arange of answers, some correct, some close and some out in left field.

The length of time a debt can be listed is dependant upon what type of debt it is. Here are the FCRA rules:

The credit bureaus keep your personal credit history for periods between 7 and 10 years:
Unpaid Tax Lien - Indefinitely
Chapter 7 Bankruptcies - 10 years from date filed.
Public Records - 7 years from the date of payment;
Closed or Inactive Accounts - 10 years from the date of last activity;
Derogatory Accounts - 7 1/2 years from the date of original delinquency;

Now Judgements are different. Information about a lawsuit or an unpaid judgment against you can be reported for seven years or until the statute of limitations runs out, whichever is longer. Some states SOL for judgments is 10 to 20 years and can be renewed.

Some creditors are known to redate a debt to get it back on or keep it on ones credit report. This is illegal as per the following:
RE-DATING OF THE DEBT IN VIOLATION OF
[CITE: 15USC1681s-2] Â§ 623. Responsibilities of furnishers of information to consumer reporting agencies
a) Duty of furnishers of information to provide accurate information (1) Prohibition (A) Reporting information with actual knowledge of errors A person shall not furnish any information relating to a consumer to any consumer reporting agency if the person knows or has reasonable cause to believe that the information is inaccurate. (B) Reporting information after notice and confirmation of errors A person shall not furnish information relating to a consumer to any consumer reporting agency if-- (i) the person has been notified by the consumer, at the address specified by the person for such notices, that specific information is inaccurate; and (ii) the information is, in fact, inaccurate.

Now your best bet would be to file a dispute with the CRA's and let them contact the creditors to validate the debts. Once they see that the debt is beyond the recording period for credit reports they will remove them and send you a new credit report to verify changes were made.

This HAS to be done the way the CRA's want it done. They require a specific method of disputing entries. Here is a link to download the procedures for disputing
http://www.ftc.gov/bcp/menus/consumer/credit/reports.shtm
Download a pdf file regarding how to dispute with CRA's

Hope this answers your question

CrazyJules is 100% correct. The date first reported delinquent/charge off is when this 7 year period starts and NOTHING resets that time. No matter how many times the debt is sold to how many collections and forwarded and all that, NOTHING resets the date reported delinquent as marked by the original creditor of the account. If these accounts are 7+ years old delinquent, dispute with the credit bureau stating per FRCA the entry should be removed as date delinquent is more than 7 years old. Sometimes these entries dont drop off automatically. You have to dispute them.

Yes, creditors are doing this in the hopes that you'll pay them off to have good credit, and they'll just keep them on there until you do.

The following guide gives time frames of how long creditors actually have to attempt to collect, so if they're still on your credit report, and you want them off, your only real choice IS to pay them.

CREDIT REPORT EXPIRATION GUIDE

Late payments, tax liens, bankruptcies...Are you anxiously waiting for old records to be removed from your credit report? Take the initiative to check the expiration dates on records in your credit report. For example, if you discover an obsolete bankruptcy from 1992, disputing the record with your creditor can boost your credit score. Check out TrueCredit's handy expiration guide to kick your credit management into gear:

Bankruptcy â€“ Chapter 7, 11, and 13 bankruptcies remain on your credit report for 10 years after the filing date. Chapter 13 bankruptcy records are sometimes removed after 7 years from the filing date based on the credit reporting agency policy. When you file for bankruptcy, all the accounts included should be marked as "Included in BK" and will each stay on your report for 7 years.

Charge-off accounts â€“ If your delinquent account is charged-off, the record will stay on your credit report for 7 years.

Closed accounts â€“ If the account has delinquencies, those marks will stay on your credit report for 7 years from the date they were reported. Positive closed accounts (with no delinquencies or late payments) can remain on your credit report for longer than 7 years.

Collection accounts â€“ Accounts sent to collections will remain on your credit report for 7 years.This time period starts 181 days from the most recent delinquent period preceding collection activity on the account. The record will be marked as "paid collection" on your report when you pay the full balance. If you settle with the collections agency for a reduced amount be aware your record will state the account as "paid for less than the total due."

Inquiries â€“ When a creditor or lender checks your credit it causes a "hard inquiry" to be listed on your credit report. These hard inquiries stay on your report for up to two years, and they can cause a slight drop in your credit score if there are too many of them. When your credit is checked by an employer or when you check your own credit online, you may see a harmless "soft inquiry" on your credit report. Soft inquiries do not cause a drop in your credit score and do not appear when a business checks your credit.

Judgments â€“ Most judgments, including small claims, civil and child support, will remain on your credit report for 7 years from the filing date.

Late payments â€“ If you are late with a payment, the 30-180 day delinquency can stay on your credit report for 7 years.

Tax Liens â€“ City, county, state and federal tax liens are especially harmful and can remain on your credit report indefinitely. Once the lien is paid the record will remain on your credit report for 7 years from the payment date.

Many times, your account may be sold multiple times, especially if the debt is old. They may keep attempting to collect, but if the statute has expired, they have no legal recourse against you.

take care and God bless!

Hi,
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http://urlhawk.com/29x

As long as you still owe the money, it NEVER goes away. It only "drops" if the account is paid, you go through a chapter 7 bankruptcy, or they just give up and charge it off. Once the debt is no longer owed, then you have to wait 7 years for it to "drop off".

It depends on the validity of the when the last creditor acquired the account. The intial account may be from 7-12 years ago but they may have sold the account from one collection agency to another in hopes of ultimately collecting on it. This could go on for a long time. The statute of limitation is for each creditor. So if Company A has it for 6.5 years and sells it to Company B...the 7 year clock re-starts. I suggest that if you know the debt is really yours that you pay it.

YES,once the original debtor sells that debt to a new clearing house, the debt can renew for another 7 years as it it were a new debt.

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