So what happens immediately after a negative items is deleted after 7 years?

[Anonymous]

Does my report look as if that negative item never existed? And when applying for new credit, the creditor will see no evidence of it ever being on there? And I assume my score would see an immediate boost the following month, correct? I have 9 negatives on my reports, all due for deletion by March 2013. 7 of them due this year coincidentally. Several perfect positive good standing items will remain and stay that way forever Following all the deletions, to a creditor, will it look as if I've always been a good little credit boy? Can I expect a substantial score increase from just "7 year law" deletions? Thank you.

[RobertEG]

Good question.

The FCRA 605(a) requires that adverse items that have passed the CR exclusion date can no longer be included in any CR issued by a CRA.

That raises the side issue of what must be exluded from your CR to comply with this statute.

For example, you have a collection that reaches its CR exclusion date, and is removed from your CR.

It would not take much in reviewing the OC account history to infer that a collection might have been reported.  The OC reports various status codes along the way, including numerous monthly delinquencies, a charge-off, collection referral, and update of debt balance to $0 once the debt is sold to a debt collector. If they simply report a DOFD, that infers it was reported due to collection referral, as required under FCRA 623(a)(5). 

ARe any of these considered as "adverse items" that also require CR exclsuion?  I doubt that any CRA pours through a consumer credit file upon expiration of a reported collection with an eye to remove anything in the consumer's credit file that might indicate that a collection occured.  Are those other items also "adverse items" that require CR exclusion?

[Anonymous]

I guess I should rephrase my post.

When the 7 or 7.5 year mark is hit, Is every single piece of evidence that the derogatory item ever existed erased? Whether it was a CO or a settlement or whatever other categories there are. I have settlements with CA and some CO that are due to be dropped this year. Those accounts have "last date of activity" and such that are long after the DOFD's.

Will those negative, post-DOFD activity dates also be deleted even though the the original account info is deleted?

What do you mean by "It would not take much in reviewing the OC account history to infer that a collection might have been reported." I thought every detail associated with the account, even post-DOFD actions, are deleted. Is this incorrect?Can a lender still find out that I had an old, bad credit report prior to the new, higher score one?

If I apply for an auto loan after all these deletions, will lender not see one single derogatory evidence from any of these deleted accounts? Will my report look squeaky clean? All my derogatories are due for deletion by Spring 2013. After that I'm hoping my score has a squeaky clean history and no new lender would know about the old delinquencies.

[MarineVietVet]

With only a few exceptions when the CRTP has expired then whatever negative was reporting is removed from your reports and can never again be legally put back on. The exceptions to the never again reporting are:

(1) a credit transaction involving, or which may reasonably be expected to involve, a principal amount of $150,000 or more;

(2) the underwriting of life insurance involving, or which may reasonably be expected to involve, a face amount of $150,000 or more; or

(3) the employment of any individual at an annual salary which equals, or which may reasonably be expected to equal $75,000, or more.

In those three cases a creditor has a right to go back and look at all of your past credit information to make a decision but I've never seen anyone post that they were denied any kind of credit because a lender looked at old records.

Does this answer any of your concerns?

From a BK years ago to:
EX - 3/11 pulled by lender- 835, EQ - 2/11-816, TU - 2/11-782

"Some people spend an entire lifetime wondering if they've made a difference. The Marines don't have that problem".

[Anonymous]

Thank you very much. None of those 3 apply to me. Glad to know. Looking forward to the auto cleanups on the way. First removal is due this month so I'll check my report in 1 or 2 months to see if it really got removed.