Quick overview

Derogatory marks are negative, reportable events that lenders and scoring models treat as evidence of higher credit risk. Because they remain visible to future lenders for years, they can influence interest rates, insurance costs, and loan approvals long after the underlying debt is resolved (Fair Credit Reporting Act; CFPB) (https://www.ftc.gov/legal-library/browse/statutes/fair-credit-reporting-act, https://www.consumerfinance.gov/).

In my experience working with borrowers and credit-counseling clients, understanding the exact reporting timeline is the first step to rebuilding credit. Below I explain typical timelines, practical consequences, dispute options, and realistic repair strategies so you can plan what to expect.

How long common derogatory marks stay on your report

  • Late payments: 7 years from the date the account first became delinquent and was not brought current. Even after you bring the account current, the 7‑year clock runs from the original delinquency date (Consumer Financial Protection Bureau) (https://www.consumerfinance.gov/).

  • Collections (including charge-offs reported as collection accounts): 7 years from the original delinquency date on the original account—the date the account first went unpaid and collections activity began. Note: major credit reporting changes have affected how medical collections are reported; see the CFPB and our article on medical collections for details.

  • Foreclosure: Generally 7 years from the date of the first missed payment that led to the foreclosure.

  • Chapter 7 bankruptcy: Up to 10 years from the filing date.

  • Chapter 13 bankruptcy: Typically up to 7 years from the filing or discharge date (depending on reporting practices and the bureau).

  • Repossession: Usually reported for 7 years from the first date of delinquency.

  • Charge-offs: Reported as a negative tradeline and typically stay for 7 years from the date of first delinquency.

  • Public records (civil judgments, tax liens): Changes in reporting guidelines since 2017–2018 mean many public records are no longer reported by the big three bureaus, but older entries and some exceptions may still appear; check your report for specifics (FTC; CFPB) (https://www.ftc.gov/creditreports, https://www.consumerfinance.gov/).

These timelines are controlled by the Fair Credit Reporting Act (FCRA) and are enforced through the credit bureaus and furnishers. For authoritative guidance, review the CFPB and FTC pages on credit reports and the FCRA (https://www.ftc.gov/creditreports, https://www.consumerfinance.gov/).

Why the dates matter: original delinquency vs. resolution date

The single most important date is the original delinquency date (ODD) — the date an account first became late and was never brought current. The ODD, not the date a collection agency reports a debt or the date you paid it, sets the clock for the 7‑ or 10‑year reporting period.

Example: If a credit card payment was missed on March 1, 2018 (and the account never returned to current status), a collection tied to that account will generally fall off the credit report on March 1, 2025—seven years after the ODD—even if the collection was reported later.

How derogatory marks affect your credit score and lending options

  • Severity: A recent 90‑day late or a new collection hurts scores more than an old 30‑day late entry.
  • Age: Older derogatory marks have less impact than recent ones; scores tend to recover as positive data accumulates.
  • Mix and frequency: Multiple derogatory marks across accounts damage scores more than a single incident.

Practical outcomes:

  • Higher interest rates or required higher down payments for mortgages.
  • Difficulty qualifying for premium credit cards or apartment leases.
  • Possible need for co‑signers or secured credit options.

Mortgage-specific notes: Lenders follow overlays in addition to FCRA timelines. For example, after a Chapter 7 bankruptcy, many conventional mortgage programs ask for a waiting period (often 2–4 years) after discharge before approval, even if the bankruptcy stays on the report for up to 10 years. For details consult mortgage program rules or our guide on qualifying for a mortgage after bankruptcy (internal resource below).

Common myths and misunderstandings

  • Myth: “Paying a collection removes it.” Paying a collection does not automatically remove the negative line from your credit report; the entry typically remains until the original reporting timeframe expires. However, paid collections may be scored more favorably by some newer scoring models and will show lenders you addressed the debt.

  • Myth: “You can reset the 7‑year clock by paying or settling.” The ODD is fixed. Paying or settling does not restart the reporting clock.

  • Myth: “Everything stays forever.” In most cases, derogatory marks have a maximum window (7 or 10 years) and then must be removed per the FCRA.

When derogatory marks can be removed early

  1. Inaccurate or unverifiable information: If an account is reported with incorrect dates, balances, or that never belonged to you, you can dispute it. The bureaus must investigate and correct or remove inaccurate entries (FCRA; FTC) (https://www.ftc.gov/creditreports, https://www.consumerfinance.gov/).

  2. Identity theft or mixed files: If fraud or identity mix‑up is the reason, you can place fraud alerts or get an identity theft report and request removal of fraudulent accounts.

  3. Goodwill removal: For paid accounts, some creditors may agree to remove a late payment as an act of goodwill. This is rare and typically only successful when the account holder has established a strong prior history and has a persuasive written request.

  4. Pay‑for‑delete: Collection agencies sometimes offer to remove a collection in exchange for payment. This practice conflicts with credit bureau policies and is not a guaranteed or standard solution; many bureaus discourage it and some furnishers will not honor it.

For step‑by‑step dispute guidance, see our article: How to Dispute Errors on Financial Accounts and Credit Reports.

Practical repair strategies (what to do now)

  • Get your free reports annually from AnnualCreditReport.com and review each bureau (Equifax, Experian, TransUnion). If you need more frequent monitoring, use trusted services but always verify with the official reports (https://www.annualcreditreport.com).

  • Prioritize current accounts: Bring active accounts current and maintain on‑time payments. Positive payment history is the single largest factor in most scoring models.

  • Lower utilization: Reduce credit card balances where possible; utilization under 30% (and ideally under 10%) helps scores.

  • Address collections strategically: If a collection is small, settling or paying can stop collection activity and may help with future lending; document any agreement in writing.

  • Add positive tradelines: Secured credit cards, credit‑builder loans, or being added as an authorized user on a seasoned account can speed recovery if used responsibly.

  • Seek counseling if overwhelmed: Nonprofit credit counselors can help you create a budget and negotiate with creditors.

For medical‑debt specifics, see our guide: When Medical Bills Hit Your Credit Report: Response Strategies.

Timeline checklist — how to track removals

  1. Note the original delinquency date on each derogatory tradeline when you get your reports.
  2. Mark the 7‑ or 10‑year removal date on your calendar and verify the line disappears soon after.
  3. If an item remains past the statutory period, file a dispute with each bureau and cite the FCRA requirement; reference the ODD and request deletion.

If you need help understanding the entries and managing disputes, our article “When and How Collections Drop Off Your Credit Report” explains the reporting lifecycle and practical steps for collections removal (https://finhelp.io/glossary/when-and-how-collections-drop-off-your-credit-report/).

When to get professional help

Consider professional debt counseling or a consumer attorney if:

  • You suspect identity theft or mixed‑file reporting.
  • A public record (judgment, lien) remains after the statute period and bureaus won’t remove it.
  • You’re negotiating large debts, filing bankruptcy, or facing foreclosure and need tailored legal or tax advice.

Sources and further reading

This article is educational and not personalized financial or legal advice. For decisions about bankruptcy, litigation, or complex debt negotiation, consult a licensed attorney or a certified credit counselor.

(Information current as of 2025.)