Information you do not want to see on your credit report

To put it simple, your credit report is a picture of you as a payer. This information is especially precious for any potential lenders or people who are going to make some deals with you (such as landlords). If you belong to the group of bad credit score owners (below 600), you are probably already quite resigned, but you do not have to give up. There is a chance to improve your “picture” and in spite of the fact that it may take time and effort it will really pay back.

In general, there are things which damage your credit score and you must know what they are in order to avoid them at all cost. In the article we provide 4 most “hurtful” elements which may occur on your credit report as a result of your financial management mistakes.

Tax liens

If you have ever tried to avoid paying taxes, you probably have already got to know that it is a wrong path. Any unpaid taxes can result in a tax lien which is the tax man’s claim on your property. Such a tax lien is a public record and it is going to appear on your credit report for a long time (7 or more years). The only way to escape such a difficult situation is to pay off the debt or try to find another individual solution to the problem communicating with the tax man, and then, if it was possible, do what you would be demanded to do as a consequence of the arrangement.


Another fact destroying your creditworthiness. Being unable to pay for a house may result in losing it and ending up with a foreclosure record on a credit report. No need to add that this situation makes buying another house in the future almost impossible. In such circumstances, it would be advisable to find a cheap place to live and cumulate all efforts to work hard on rebuilding the damaged credit. In the case of serious problems with managing personal finances you should consult a financial adviser who will help you save precious time and avoid next costly mistakes.


The situation in which you keep avoiding the payment on your credit account and the bank decides to charge it off (usually after 6 missed payments), will result in a really bad mark on your credit report. You can insist on running away from paying the debt, but it is still with you. If you care about your credit score, you do not really need such a “companion”. The solution is simple: pay off the debt, remember about paying other payments on time and make utilization on your credit cards low.


This mark provides the unfortunate information that your account has been sent to collections. The bad news is that this information is going to “stain” your credit file for even 7.5 years. Any advice? Start with paying the account, so that it could go from the “unpaid” collections account to the “paid” one. It will not help as much as you would like to, but it will definitely improve your image in the eyes of lenders seeing your credit report. Apart from that, it is important if you do not want to be sued by the creditor. Besides, for example Vantage Score 3.0 does not pay any attention to the paid collections accounts.