Q. I filed bankruptcy in 1977 and owed my federal credit union. This debt was submitted when I filed bankruptcy. I have since have built my credit score. Last week I was trying to purchase a car and the dealership applied for credit for me through this credit union. I was turned down because they still had on their books a loan that I had over 30 years ago, How long should credit union hold this against me? I spoke with someone and the lady said I would never be granted a loan. Is this the law regarding credit? I don’t think everyone is treated that way? You would think I committed murder or something.

A: Negative accounts are only supposed to report on your credit for 7 years. What you should do is send a dispute to the credit reporting agencies (Equifax/Trans Union/Experian) who are reporting this debt and ask them to remove it. Do a detailed dispute letter, identifying the account, and also in that letter let them know of the damages this has caused you. Make sure you provide evidence of who you are, copy of DL, SS#, and card. Send this by certified mail and make sure you save copies of everything. The agencies have 30 days to respond. If they don’t remove the debt, then you need to contact a lawyer who specializes in these kinds of cases as now the agency and the creditor are in violation of the Fair Credit Reporting Act (FCRA) and possibly other consumer protection statutes. Good luck.

Category: Fair Credit Reporting Act