Bankruptcies can damage your credit score, prevent you from obtaining loans and may increase your rates for insurance and financial products. The Fair Credit Reporting Act limits the time bankruptcy information can be included on your credit report. Filings are listed under the public records section of your credit reports managed by Equifax, Experian and TransUnion. Any accounts included in your bankruptcy filing will also be included in your file under the individual accounts details with a bankruptcy notation. Removing a bankruptcy from your credit report cannot be done before time period restrictions, but the impact on your credit score can be minimized through credit rebuilding and good financial habits.
Step 1
Understand bankruptcy listing regulations. Individual accounts included in your bankruptcy filing can be listed for seven years after your accounts became delinquent. Chapter 7 liquidation bankruptcies are listed on credit reports for up to 10 years. Standard Chapter 13 bankruptcy filings are listed for 10 years and dismissed or discharged filings are present for seven years. Voluntarily dismissed bankruptcies of any type are listed for seven years. Retention periods may vary slightly by state and by credit bureau.
Step 2
Obtain your credit files. You can request a free credit report yearly from each credit bureau, or pay a fee of around $10 for each additional report per agency. Reports that include credit scores cost about $15.
Step 3
Look under the public records section and determine if the bankruptcy filing information is correct. Review each account listed on your record that was part of your filing. Accounts should have a bankruptcy notation without any open or overdue account details. Accounts that were not part of your bankruptcy should be listed based on the current status of the account. Make a list of any errors you find.
Step 4
Contact each credit bureau and initiate a dispute for every report error. Each credit bureau has an online dispute process, or you can opt to dispute your report in writing. Written disputes tend to take longer to resolve than online disputes due to mail times. Credit bureaus will notify you of their findings and any report modifications within about a month.
Step 5
Reorder your credit reports after dispute resolution. Ensure all errors have been corrected and the report accurately reflects your accounts and bankruptcy status.
Step 6
Limit the impact of bankruptcies on your credit report. Obtain new credit vehicles, such as a secured credit card after your bankruptcy filing, to start rebuilding your credit. Pay on time and limit your overspending to avoid further financial problems. Over time, your credit score will rise based on your positive credit activities and the effect of your bankruptcy will be minimized.
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