Quot Credit Reports Quot
2010
What is the exact definition of “last activity” for your credit reports?
I know that an old account will be deleted from your credit report 7 years from “last activity”. But what is “last activity”? Last payment? Last purchase on the credit card? Last contact with the company? Do the 3 credit bureaus have different definitions? Or do companies and collections have different definitions?
The date of last activity (DLA) on a credit card that is current is the date of last charge or last payment. On a credit card or bank loan, mortgage, student loan or car loan that is considered to be a bad debt, it is frozen at the date when the account became 120 days past due.
Collections will purge from the file 7 years from the date they became a collection (defined as 120 days past due).
Keep in mind that accounts that are paid on time (as agreed) remain on the credit file for 10 years from the DLA, as these are positive credit factors. Negative accounts purge after 7 years from DLA.
The definitions are standard throughout the credit reporting industry.
“Cashing In: New Credit & Debit Card Laws and You”, HOUSTON 8
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