Bankruptcy can be a life-changing decision. You should definitely educate yourself as much as possible about the ramifications before you file. Your specific circumstances will determine whether bankruptcy is the right choice for you. But you must keep your long-term objectives in mind. On a weekly basis I answer the question: How long will bankruptcy stay on my credit report?
How long will bankruptcy stay on my credit report?
Under the Fair Credit Reporting Act, a bankruptcy record will expire from your credit report after 10 years. In actuality, however, your bankruptcy filing may drop off your credit report much sooner than that. Different credit bureaus use different annotations for bankruptcy filings. Bankruptcy filings, however, usually appear in the “Public Information” section at the beginning of the report. The applicable date of the reporting by credit bureaus is the date of the filing (or the “petition date”). Your bankruptcy discharge date or case closure date will not appear on your credit report. You can obtain a free credit report once a year from each of the big three credit bureaus (TransUnion, Experian, and Equifax) at AnnualCreditReport.com.
How long will Chapter 7 bankruptcy stay on my credit report?
Currently, a Chapter 7 bankruptcy will remain on your credit report for ten (10) years. For example, if you filed Chapter 7 bankruptcy in January 2018, then the filing will be removed from your credit report in January 2028.
How long will Chapter 13 bankruptcy stay on my credit report?
A Chapter 13 bankruptcy will remain on your credit report for seven (7) years. Chapter 13 drops off your your credit report three years sooner than a Chapter 7. Credit bureaus report Chapter 13 for a shorter duration as a sort of incentive to consumers. In a Chapter 13 bankruptcy, you repay at least a portion of your debt. For example, if you filed Chapter 13 bankruptcy in January 2018, then the filing will be removed from your credit report in January 2025.
How long will my discharged bills stay on my credit report?
Individual accounts discharged in your bankruptcy drop off your credit report independently of your bankruptcy filing. These credit items include utility bills, credit cards, court judgments, medical bills, and etc. Each of these accounts on your credit report will be annotated as “Discharged in Bankruptcy.”
After a complete credit cycle passes — about four months after you receive your discharge — Lee Legal will review your credit report to ensure that your creditors are reporting your bankruptcy discharge correctly. This service is included in our fees and is just one more reason why you should entrust your bankruptcy case to an experienced bankruptcy attorney.