What date is used By FICO for late payments?

[Anonymous]

What date does FICO use when determining age of late payments. Is it the last updated date or date first reported?  Some of my late payments happened >7 years ago but still look to be affecting my score.

[Remedios]

You'd need to pull copy of free annual credit report and see DOFDs or projected removal dates.

Negatives, with a few notable exceptions, must be removed no longer than 7.5 years from DOFD, usually around 7 year mark.

[Anonymous]

Thank you, what is the DOFD?

[Remedios]

Date of first delinquency
Countdown to removal starts from that date.

How they are removed depends on CRA if string of lates is involved, if account was a CO, and it may depend on whether the account was ever brought to current or not.

Single isolated lates should be removed no later than 7.5 years from DOFD.
String may get removed when first 30 day late reaches removal date, or each late may fall off as it reaches removal date.
Different CRAs do it differently.

Bottom line, revolving credit and installment loan lates must be removed at the time specified above.
Student loan lates are different.

[RobertEG]

Delinquncy period is the time from when the delinquency commenced to the last reported date that the debt remained delinquent.

If the creditor reports the delinquency status as, for example, 90-late, they are stating that as of the date of that reported level of delinquency, it has been 90-119 days from the DOFD.

Once the period has exceeded 7 years, the monthly delinquency must then be excluded from your credit report under the provisions of FCRA 605(a)(5), and thus no longer effects scoring.

If you have a monthly delinquency that happened more than 7 years ago and yet continues to appear in your credit report, you can dispute with the CRA and have it excluded.  That will require showing in your dispute of the date of first delinquency as support of the dispute.

[Anonymous]

Thanks, Remedios.  How does this differ for student loans?  That is actually what this is about.

[Remedios]

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@Anonymous wrote:

Thanks, Remedios.  How does this differ for student loans?  That is actually what this is about.

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I kinda know the answer, but I'm slightly rusty on SLs, so instead of me possibly giving you wrong answer, I'll see if @Anonymous can help you with that.

I'm not sure if they are around today so check periodically 

[Anonymous]

Private student loans are the same. Federal loans, I know that if it's a collections/ defaulted account it falls off as usual and that if it's a paid it can age off the same. But there is a difference if it's an unpaid student loan, I can't remember where I saw it though. I think on the student loan gov page.

[RobertEG]

The Higher Education Act includes subsections that remove the normal exclusion of derogs reported on certain types of federal student loans until the loan has been repaid.

That means that the normal credit report exclusion of derogs does not apply until the loan is repaid, which then results in no exlusion at the normal 7 year period.

See subsections 430A and 463 of the Higher Education Act, and the footnote appended to FCRA 605(a).