Statute of Limitations Question
 

So, I have an item on my credit report that I can't make go away, although I haven't yet hired an attorney. I recently bought a house, and was able to convince the lender that it was either an abberation or a mistake, so it hasn't actually cost me anything other than the hassle and stress. I'm looking over my credit report, and it looks as though it were first reported in 2001. Isn't this due to come off my history sometime next year? If so, I'm thinking it makes the most sense to just ignore it and let it go away.

Anybody know? I think the law has changed recently, but I don't really have any grasp on the details.

I don't know if I'm correct, but I believe that derrogatory credit can stay on your report for 7 years. There is a statute of limitations on collecting the debt (varies from state to state, generally less than 7 years though), which means after a certain amount of time the creditor can't take you to court to get the debt back, but it's still going to show up on the report.

that's my understanding of it anyway.

When does that 7 years start, is my question.

I'm guessing from when it's first reported as delinquent, but that really is just a guess.

The negative mark in your report will probably stay on your report forever or until you address it (if it is a mistake, a lien, or something of that nature). That said, the further away it gets, the less it will impact your credit and seven years may be the point where it is no longer a factor. Credit scores sort of replenish themselves as time passes, provided that you do not give them any more reason to go down (paid bills later than 30/60/90 days, liens, repossessions, etc.).

Reports to your credit agencies will remain active and count towards your score for 7 total years UNLESS the reporting agency updates their deilnquency report prior to that time. judgements against you, bankruptcies and other court related matters will remain for ten(10) full years and then fall off the list of items counting towards your overall credit score.

Its also an all or nothing situation, either the remarks are showing up and thereby being used in the calculation or they are not showing up for whatever reason, and are not being calculated in.

A couple of years ago I had a lien on my report since 1998. Funny, because it wasn't there in 2001 or 2003 but it was in 2004/05. The worst part was it wasn't even mine. I disputed it, and the company could not come up with any proof that it even existed, so it was removed. Weird, but I'm glad it got cleared up.

That's right, it's a sculpture of limitations.