The FCRA mandates exclusion of "adverse items of information" at various times, depending upon the type of adverse information.
The types and periods are detailed under FCRA 605(a).
Whether or not exclusion also applies to the entire account is a matter of interpretation of section 605(a), and is not explicit in the statute.
One of the CRAs, Experian, has posted its policy interpretation of the statute on its web page regarding the exclusion of only derogs vs the exclusion of the entire account.
Their policy is based on their interpretation of the catch-all exclusion provision of section 605(a)(5), which mandates that "any other adverse item of information" must be excluded no later than 7 years from some general, and thus not explicit, date of occurence.
Experian interprets the reporting of a current status that remains delinquent as basis for exclusion of the entire account once it reaches the exclusion date of the delinquency/CO/collection, as continued reporting of the account itself would continue to show a derogatory current status, which they interpret as precluded under section 605(a)(5).
In distinction, if the account is paid at time of exclusion of prior derogs, then the current status will no longer be one of any delinquency, and Experian then follows the policy of excluding only the reported derogs, and not the entire account.
The other big-4 CRAs may or may not follow that same interpretation of the FCRA exlusion of accounts.
Anecdotal postings vary in how they have been treated. It is not explicit under the law.
