PostHeaderIcon With a lot of unsecured debt, I want to know if the record of the debt will go away after a period of time.?


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I have a large amount of unsecured debt. I have not been able to make even minimum payments for the last 6 months due to job loss. I have heard that all record of individual debts will fall off after 7 years. Is this true and if not, am I looking at debt consolidation or bankruptcy?

2 Responses to “With a lot of unsecured debt, I want to know if the record of the debt will go away after a period of time.?”

  • Steve D says:

    Yes…they falloff your record after 7 years of inactivity. However, for those seven years, you have pretty much precluded yourself for obtaining credit elsewhere (or if you can obtain credit, higher interest rates).

  • WTF Man says:

    I’m sorry to hear that you’re struggling. I know a lot of people are having trouble with the way the economy is.

    Yes, your debts will fall off of your credit report after 7 years of INACTIVITY, that being the key word. However, when debts go to collections, they can get moved around to different collection agencies and that starts the seven year period over again. When this happens, the cycle just continues and it’s possible they may never fall off. When you file bankruptcy, I think debts remain there for 7 years after the filing, but they are listed as “filed under chapter 7 or 13″ and the activity ceases, so I believe they still fall off after 7 years.

    Debt consolidation will only work if you have income to make the new consolidated payment. I would recommend calling 1-800-550-1961, that’s a company called GreenPath, they are a credit counseling agency and might be able to offer some advice.

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