What is a late payment? A late payment is a delinquency of 30 days or more on any account (installment or revolving), reported by the creditor to the credit bureaus. How long does a late payment stay on your credit report? A late payments can be reported for 7 years after the date of the …
What is a Charge-off? Also known as a Profit and Loss Write-off, a charge-off or chargeoff is the declaration by a creditor that a debt is unlikely to be collected. This occurs when a consumer becomes severely delinquent on the debt. Traditionally, creditors will charge-off an account after six months (180 days) without payment. In …
What is a Collection Agency? If you’re behind in paying your bills, or a creditor’s records mistakenly make it appear that you are, a debt collector may be contacting you. Under the Fair Debt Collection Practices Act (FDCPA), a debt collector is someone who regularly collects debt owed to others. This includes collection agencies, attorneys …
What is a Tax Lien? A tax lien is the government’s legal claim against your property when you neglect or fail to pay a tax debt. The lien protects the government’s interest in all your property, including real estate, personal property and financial assets. The IRS/ State/ County files a public document, the Notice of …
What is a Judgement? A judgement is the legal decision of a court at the end of a lawsuit. It can be placed on consumer’s credit report by a creditor or collection agency through a court. A judgment is usually filed when a creditor or collection agency were not successful in collecting the debt and …