topic Re: Closed Account Fall Off Date in General Credit Topics

Closed Account Fall Off Date

satio — Sun, 02 Jun 2019 13:45:26 GMT

My oldest revolving account on all three CRAs is AMEX.

Date Opened: 02/01/1987

Last Activity: 01/2014

The account was closed Jan/Feb 2014 by AMEX during a periodic review of my credit report at the time but was paid to 0 balance at the time of the closing.

This account makes my account history to be 32+ years.

Do I understand correctly that in Jan/Feb 2021 this account and the good history that goes with it will fall off my report at which time my oldest account will move to the next one in line by date or since its my oldest account it will always be my oldest account keeping me at 32+ years?

Re: Closed Account Fall Off Date

simplegirl — Sun, 02 Jun 2019 13:55:44 GMT

Only negative information gets removed in 7.5 years but you stated that is an account that was in good standing which means that it would be on your report for 10 more years after closure so 2024.

Re: Closed Account Fall Off Date

Remedios — Sun, 02 Jun 2019 14:24:03 GMT

@satio wrote:
My oldest revolving account on all three CRAs is AMEX.

Date Opened: 02/01/1987
Last Activity: 01/2014

The account was closed Jan/Feb 2014 by AMEX during a periodic review of my credit report at the time but was paid to 0 balance at the time of the closing.

This account makes my account history to be 32+ years.

Do I understand correctly that in Jan/Feb 2021 this account and the good history that goes with it will fall off my report at which time my oldest account will move to the next one in line by date or since its my oldest account it will always be my oldest account keeping me at 32+ years?

Closed account will stay on your CR for up to 10 years. Some fall off earlier and some may linger a bit longer.

There is no guarantee that it will stay the full 10 years, though.

Re: Closed Account Fall Off Date

Anonymous — Sun, 02 Jun 2019 15:03:18 GMT

@Remedios wrote

Closed account will stay on your CR for up to 10 years. Some fall off earlier and some may linger a bit longer.

There is no guarantee that it will stay the full 10 years, though.

I would say Yes that will be 10 years and maybe even longer on your report. I had a had a Cap1 /Guitar Center card nack in 2002 and closed due to me spending enough in 2004. As of 2015 it was still on my credit profile and I hadnt dispute the amount that was on the account, I think it would still be on there. The big 3 dont really notice the time frames on closed accounts, inquires, charge offs, etc. Its only when the consumer opens up a dispute. Had I known what I know now, I would had left that account alone.

Re: Closed Account Fall Off Date

RobertEG — Sun, 02 Jun 2019 19:04:34 GMT

The FCRA requires the exclusion of "adverse items of information" from your credit report at various times depending upon they type of negative information that was reported. They are all defined under FCRA 605(a), and are closely monitored by the CRAs, who are responsible for excluding the negative information no later than the maximum period as defined under the relevant subsection of FCRA 605(a).

However, the removal of closed accounts in good standing from consumer credit reports is not required under the FCRA.

It is purely an internal housekeeping measure taken by the CRAs in order to clean up their massive databases.

They have chosen approx ten years from closing date as the normal removal period, as after that date, most if not all historical payment history derogs have already passed their mandatory exclusion period under FCRA 605(a), resulting in very incomplete and thus not very useful credit reports.

There is no violation of the FCRA if a CRA removes closed accounts prior to or after the normal 10 year period.

Anecdotal forum posts over the years show that some closed accounts have become excluded at approx 8 years from closure, and some are not removed until substantially later than 10 years.

I personally had a closed credit card continue to be included for 15 years after closure.

Re: Closed Account Fall Off Date

satio — Sun, 02 Jun 2019 22:03:30 GMT

Thanks to all who have responded on the point and provided the clarification.

It's always good to learn from those with more experience on a given subject matter than myself.

Sometimes you actually can teach an old dog new tricks.

Re: Closed Account Fall Off Date

zerofire — Mon, 03 Jun 2019 00:30:42 GMT

The account in question is in good standing so should stick around for the standard 10 years. That makes a 2024 ending normally. However there is a catch to this as most of that accounts info is dependent on if AmEx wants to keep reporting it and if the bureau wants to scrub it. I have had some small accounts get scrubbed off early by FNBO while Citi keeps reporting there closed account. I think AmEx will probably follow the 10 year standard more closely if not let you keep it on file for longer.

Once that AmEx falls off the next oldest account will become your oldest. Hopefully you will have some kind of account ready by then to carry on the torch.