Bad Credit: How Long Can It Stay On Your Record?  

Will negative items stay on your credit report for 7 years? What about a reliable and cheap bad credit merchant account? Who can help you with this? Just read this article to know what you need.

Bad Credit & Bad Credit Merchant Account

The federal law that governs the period of time bad credit info can still be available on your report is called the Fair Credit Reporting Act (FCRA). Bad credit info is usually removed after 7 years. However, be aware that bankruptcy can stay for up to 10 years.

Be aware that the 7-year mark doesn’t remove your actual debt, especially if you haven’t paid it off. Specifically, the exact time depends on:

  • The information type
  • The area you live in
  • By which credit bureau the report was created

Now, let’s take a look at what affects your credit record:

  • Secured loans
  • Legal judgments
  • Bank accounts
  • Registered items/debts
  • Debt collection
  • Revolving transactions
  • Hard credit inquiries
  • Consumer proposals
  • Bankruptcy
  • Positive information

What about getting a reliable and cheap bad credit merchant account? Well, this can’t be an issue if you turn to a reputable merchant services provider that’s ready to work with your type of business. This is the fastest way to get the necessary merchant services for your company.

Bad Credit on Your Record

Factors that affect the time your damaged credit will take to improve include various things such as the time period that’s passed since your last missed payment, and more. Thankfully, you can prevent your information from getting worse even when it’s still on your file.

Importantly, you should regularly go through your credit report to find out whether there’re any issues you can dispute or negative items there so to delete them from your credit report as soon as possible.

To sum up, it usually takes 7 years for most negative items to get deleted from your credit report. So, do your best to improve your credit and enjoy better terms for merchant service. Anyway, there’re respectable alternative online lenders and payment processors that have no problem working with merchants with bad credit and ready to offer the cheapest possible rates to high risk businesses.

Author Bio: Michael Hollis is a Detroit native who now lives in Los Angeles. He is an account executive who has helped hundreds of business owners with their bad credit merchant account solutions. He’s experimented with various occupations: computer programming, dog-training, scientificating… But his favorite job is the one he’s now doing full time — providing business funding for hard working business owners across the country.