How FICO Scores Recover After Negative Credit Info is Purged

Source: How FICO Scores Recover After Negative Credit Info is Purged

5 comments on “How FICO Scores Recover After Negative Credit Info is Purged

  1. Steve cook says:

    Wow! Is there any similar information related to a rise in the in the FICO score following the discharge of Chapter 13?

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    • James Spray says:

      As to your question, specifically, not of which I am aware. A Chapter 13 Discharge will drop off the credit report seven years from the date of filing. These charts may provide some idea for you FICO Charts Derogatory Events

      With an aggressive approach to rebuilding credit both during the Plan (varies by jurisdiction) and following the Discharge, one can have 720 FICO Scores less than a year from Discharge. For additional information on rebuilding credit and Chapter 13, you may find my blog titled “Purchase or Refinance During a Chapter 13 Bankruptcy” helpful.

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      • Steve cook says:

        Your reply is very much appreciated, and is extremely helpful!

        To clarify, you state that a “Chapter 13 Discharge will drop off the credit report seven years from the date of filing.” In my case the Discharge is scheduled for August 29, 2018, with paperwork to follow and the final Discharge documentation taking place in 60 days or less after that date. My “filing” was August 29, 2013. So . . . any record of my bankruptcy will disappear from my credit report on or around September 2020 based on your information, and my FICO score may be appreciably higher possibly prior to September 2019 following Discharge, since I have established and been paying off monthly on three credit cards (on-time, total payoffs) for the past two years.

        I look forward to any clarification and/or affirmation of the above that you may provide.

        Appreciatively,

        Steve Cook

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      • James Spray says:

        Providing your usage on the cards is less than 30% (better 20%) of the available limits, your scores will dramatically improve.
        Correction: The bankruptcy will drop off of your report 10 years from filing. So if you filed in 2013, it will drop off in 2023.

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      • Steve Cook says:

        Thank you!

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