How Long Will Bankruptcy Stay on Your Credit Report?

Find out how long bankruptcy will stay on your credit report and what you can do to improve your credit score after bankruptcy.

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The Three Major Credit Bureaus

There are three major credit bureaus in the United States- Equifax, Experian, and TransUnion. Bankruptcy can stay on your credit report for up to 10 years, and will have a negative impact on your credit score.

Experian

Experian is one of the three major credit bureaus in the United States, and one of the largest credit bureaus in the world. Headquartered in Costa Mesa, California, Experian has operations in 37 countries around the world.

Experian is a consumer credit reporting agency, which means that it collects and maintains information on consumers’ credit history. This information is then used by lenders to make decisions about whether or not to extend credit to a particular borrower.

One of the things that makes Experian unique is its focus on data collection and analysis. In addition to collecting data on consumers’ credit history, Experian also collects other types of data, including demographics, marketing data, and financial data. This allows Experian to offer a variety of services in addition to credit reporting, such as identity verification, fraud prevention, and marketing services.

If you have ever applied for a loan, chances are good that your lender looked at your Experian credit report. If you have ever been denied for a loan or had an application rejected because of your Experian credit report, you may be wondering how long bankruptcy stays on your Experian credit report. The answer depends on the type of bankruptcy you filed and when it was discharged.

There are two main types of bankruptcies: Chapter 7 and Chapter 13. Chapter 7 bankruptcies are typically discharged within six months of filing. However, if your bankruptcy was filed more than 10 years ago, it will no longer appear on your Experian credit report.

Chapter 13 bankruptcies are a bit different. These bankruptcies are typically discharged after three to five years, but they may remain on your Experian credit report for up to seven years from the date they were first filed.

Equifax

Equifax is one of the three major credit bureaus in the United States. It is a for-profit company headquartered in Atlanta, Georgia. Equifax compiles and maintains information on over 800 million individual consumers and more than 88 million businesses worldwide.

Equifax generates most of its revenue through the sale of its consumer credit reports to lenders and businesses, but it also charges consumers for services such as fraud protection and credit monitoring.

While bankruptcy information remains on your Equifax credit report for up to 10 years, the impact of bankruptcy on your Equifax score will lessen over time.

TransUnion

TransUnion is a consumer credit reporting agency. TransUnion collects and aggregates information on over one billion individual consumers in over thirty countries. Information pertaining to an individual’s creditworthiness is then sold to businesses so that they can make informed decisions about that person, such as whether to extend them credit or offer them employment.

How Long Does Bankruptcy Stay on Your Credit Report?

Bankruptcy can stay on your credit report for up to 10 years, depending on the type of bankruptcy. Chapter 7 bankruptcy stays on your credit report for 10 years, while Chapter 13 bankruptcy stays on your credit report for 7 years. This can make it difficult to get credit in the future.

Chapter 7

Chapter 7 bankruptcy stays on your credit report for 10 years from the date you file, which can negatively impact your score for a significant period of time. However, as the years go by and you establish a good payment history with new credit accounts, your score will gradually recover.

Chapter 13 bankruptcy stays on your credit report for 7 years from the date you file, which is still a long time but not as long as Chapter 7. In addition, Chapter 13 bankruptcies have less of a negative impact on your score than Chapter 7s because they often involve consolidation and repayment plans. So, although your score will still be impacted, it may not be impacted as severely.

There are some things you can do to help improve your credit score after bankruptcy, such as using credit counseling services and maintaining good payment history with new credit accounts.

Chapter 13

Chapter 13 bankruptcy remains on your credit report for seven years from the filing date. This is longer than the other common type of bankruptcy, Chapter 7, which stays on your credit report for 10 years. But it’s still possible to get credit and improve your credit score while you have a Chapter 13 bankruptcy on your report.

The Impact of Bankruptcy on Your Credit Score

FICO Score

FICO scores are the most widely used credit scoring system in the U.S. and range from 300 to 850. The higher your score, the better your credit rating and the lower your interest rates will be. A bankruptcy can have a serious impact on your FICO score, but the good news is that it won’t stay on your credit report forever.

How long bankruptcy stays on your credit report depends on the type of bankruptcy you filed. A Chapter 7 bankruptcy, which is the most common type, will stay on your report for 10 years. A Chapter 13 bankruptcy will stay on your report for seven years.

While it may seem like a long time, keep in mind that bankruptcies grow less damaging over time. And as long as you make a concerted effort to improve your credit after bankruptcy, you should be able to get back on track and improve your score.

VantageScore

The VantageScore is a scoring system developed by the three major credit bureaus – Equifax, Experian and TransUnion. It’s similar to the FICO score, but there are some important differences.

For starters, the VantageScore considers all types of bankruptcy, not just Chapter 7 bankruptcies. And unlike the FICO score, which looks at your credit history over the past seven years, the VantageScore only looks at your credit history over the past two years.

So if you’ve filed for bankruptcy within the past two years, your VantageScore will be lower than it would be otherwise. But if you’ve been managing your credit responsibly since then, your score will gradually improve.

It’s also worth noting that not all lenders use the VantageScore, so even if your score is high, you may still have difficulty getting approved for a loan or credit card.