What happens to charged-off debt after 7 years?
Sophia Koch
Updated on February 17, 2026
Unpaid credit card debt will drop off an individual’s credit report after 7 years, meaning late payments associated with the unpaid debt will no longer affect the person’s credit score. After that, a creditor can still sue, but the case will be thrown out if you indicate that the debt is time-barred.
How long can a charged-off debt be collected?
How Long Can a Debt Collector Pursue an Old Debt? Each state has a law referred to as a statute of limitations that spells out the time period during which a creditor or collector may sue borrowers to collect debts. In most states, they run between four and six years after the last payment was made on the debt.
How long does it take to get a charge off off your credit report?
In many cases, you’ll need to be patient when it comes to charge-offs. The Fair Credit Reporting Act (FCRA) allows legitimate charge-offs to remain on your credit reports for up to seven years. But, if a charge-off is incorrect or contains questionable information, it may be possible to get it removed from your report much sooner.
What happens to a negative credit report after 7 years?
Negative credit accounts, such as charge-off accounts or collections, have a limited amount of time that they can appear on your credit report. After seven years, most negative accounts are automatically deleted from your credit report, according to the Federal Trade Commission.
What happens when debt is removed from credit report?
Whether or not an item appears on your credit report has no bearing on the fact that you owe the debt and that the lender or a collection agency can contact you regarding payment. The length of time that a debt can be collected varies by state law and the type of debt.
Can a charge off come back after 7 years?
Once the account has been charged off, the creditor turns the account over to a collection agency, and then they attempt to collect the past due amount. After seven years from the point the account became delinquent, most charge-offs are removed from your credit history. But technically you are still on the hook for the money.
