How long does a deliquent account stay on your credit report? What things should I be considering before going ahead? Please point me in the right direction.
Untitled
Accounts for lending purposes stay on a credit report for seven years. For insurance and some other purposes it can remain on your credit report for ten years.
What you can do is to contact the credit bureau with the negative report and ask to place a comment on the account. That gives you the opportunity to explain what happened. "I was out of work for six months," "I was hospitalized," etc. If you simply didn't pay a creditor, do so now, at least it would be at a zero balance.
One line item report doesn't mean you can't get a loan for seven years. Each loan is reviewed based on the merits of the request. Capacity to repay and collateral are important. You may also find a cosigner who will stand good for you. The important thing is to speak with a lender when you want to make a case for your request, not an automated loan processor.
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Accounts for lending purposes stay on a credit report for seven years. For insurance and some other purposes it can remain on your credit report for ten years.