How long does a bad loan stay on your credit report?

+1 vote
asked Jun 20, 2018 in Other-Finance by Miya (290 points)
How long does a bad loan stay on your credit report?

1 Answer

0 votes
answered Jun 20, 2018 by Christeen (70,120 points)
If you've defaulted on a loan and the loan was sent to a collection agency to try and collect it from you then the loan debt will remain on your credit report 7 years.

The creditor or debt collector has up to 7 years to legally chase you for a debt and sue you in court for the debt.

After the 7 years the debt collector or original creditor can no longer legally force you to pay the debt back since the statute of limitations would've run out by then.

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