Introduction: Your credit report is a crucial document that influences your financial standing and borrowing capabilities. It serves as a comprehensive record of your credit history, encompassing information about loans, credit cards, and financial transactions. But did you know that certain items on your credit report have a specific shelf life? In this blog post, we will explore the duration that various financial events stay on your Equifax and TransUnion credit reports. Understanding these timelines can help you plan your financial decisions better and improve your creditworthiness in the long run.

1. Judgments: Judgments represent a court ruling against you for unpaid debts or liabilities. Here’s how long judgments will remain on your Equifax and TransUnion credit reports:

• Equifax: A judgment will be reported for 6 years on your Equifax credit report.
• TransUnion: In most provinces, TransUnion will report judgments for 6 years. However, in Ontario (ON), Quebec (QC), New Brunswick (NB), and Newfoundland and Labrador (NL), judgments will remain on the report for 7 years. In Prince Edward Island (PEI), TransUnion will report judgments for a duration of 10 years.

2. Consumer Proposals: A consumer proposal is an arrangement made with creditors to settle debts. Let’s examine how long consumer proposals will stay on your credit report with Equifax and TransUnion:

• Equifax: Equifax removes a consumer proposal from your credit report 3 years after all included debts have been paid.
• TransUnion: With TransUnion, a consumer proposal will be removed from your credit report either 3 years after all included debts have been paid or 6 years after the proposal is signed.

3. Bankruptcy: Bankruptcy is a significant financial event that impacts your credit report. Here’s the duration that bankruptcy will remain on your Equifax and TransUnion reports:

• Equifax: Equifax will report bankruptcy for 6 years after the discharge date.
• TransUnion: In most provinces, TransUnion will report bankruptcy for 6 years after the discharge date. However, in Ontario (ON), Quebec (QC), New Brunswick (NB), Newfoundland and Labrador (NL), and Prince Edward Island (PEI), bankruptcy will remain on the credit report for 7 years.

4. Double Bankruptcy: A double bankruptcy is when an individual experiences bankruptcy twice in their credit history. The impact of double bankruptcy is long-lasting on your credit report:

• Both Equifax and TransUnion: Double bankruptcy will stay on your credit report for a whopping 14 years.

Conclusion: Your credit report is an essential aspect of your financial life, and understanding the duration that various items stay on it is crucial. Judgments, consumer proposals, bankruptcy, and double bankruptcy all have different timelines for their presence on your Equifax and TransUnion reports. By staying informed about these durations, you can make informed financial decisions and work towards building a healthier credit score. Remember to review your credit report regularly and take the necessary steps to address any discrepancies or negative items. With time and responsible financial management, you can improve your creditworthiness and open doors to better borrowing opportunities.