I have two baddies. 120+ day late on mtg., from 12/04 and a paid judgment from 12/04. My EQ is 700. The mtg. has been paid in full. The mtg. does not report on my TU, that score is 711.
It seems the older the lates are, the less impact on your score. I only have one cc with a 320 TL. My oldest closed account is 18yrs.
I am sure different factors are considered for each individuals report, but 700 is attainable with a major late in your report.
When I pulled my FICO scores, I had a 725 with EQ. My EQ report contained one 120 days late from 2004.
On the hand my TU report which is impeccable, my score was 771. That could be due to my having a longer credit history with TU.I'm not really sure how many points the 5 year old 120 days late is having on my score.
I have a 120 day late from August 2005. My TU score has been as high as 777 when I have 0% util. EX had been 762 and EQ highest has been 749. My scores havent changed all that much over the last year so IMHO I am getting near or at the limit in terms of a major derog score bucket.
Even with that black mark, I had been able to get the credit I wanted at the best rates being offered so keep that in mind when looking at your scores.
IMHO a 120 day late will hurt your score a lot until the day it falls off.