How Long Can a Debt be Collected?

One of the most frustrating questions I receive from people is about how long a debt will follow them. There are so many numbers out there about time limits on credit and negative information in our credit report, so what is the real answer? There are a few. First let’s look at how long negative debt information can stay on a credit report. If it is a judgment or bankruptcy it may remain on your credit report for 10 years from the date the case was filed. Other items like credit card debt, collection accounts, repossessions, etc. can only be on the report for seven years after the account became delinquent. It does not matter if the account is sold to...

Posted on Aug 24, 2011

Why is it Important to Check Your Credit Report?

Today, our credit reports are used to make many decisions about our financial future. This includes auto insurance rates, employment opportunities, ability to rent a home or apartment and, of course, whether we can obtain a home, car or credit card loan.  It is critical to protect this very important asset by checking it, at least, annually. Below are some other reasons to check your report and some common things to look for when reviewing it. Make sure that only accurate information is on the report. It is very common for credit reports to contain errors. You don’t want an error to prevent you from getting the best rate on a car loan, home loan, or credit card do you? So you...

Posted on Nov 10, 2010

Credit Card Holder Bill of Rights

The House passed H.R. 5244, otherwise known as the Credit Card Holder’s Bill of Rights on September 23, 2008. H.R. 5244 is an amendment to the Truth in Lending Act to establish fair and transparent practices relating to the extension of credit under an open end consumer credit plan. Here is a list of some pieces included in the bill: Protects cardholders against arbitrary interest rate increases Prevents cardholders who pay on time from being unfairly penalized Protects cardholders from due date gimmicks Shields cardholders from misleading terms Empowers cardholders to set limits on their credit Requires card companies to fairly credit and allocate payments Prohibits card companies from imposing excessive fees on cardholders Prevents card companies from giving sub-prime credit cards to people who can’t afford them Requires Congress...

Posted on Sep 30, 2008