Your credit report is definitely something that every person wants to cherish as much as possible. If you get a low credit score, you will have to deal with more problems in the future, especially when you are looking for a car or a mortgage loan. Well, majority of the people around the globe have credit scores that are below average, but still, having a good credit score is a target for many.
When you asked for a credit report, there are public records that are usually found there. Basically, these public records are always related to financial matters that may affect your credit score as a whole. If you want to have an idea on the different types of public records that can be found on your credit report, here is a small list that you can check.
Well, if you filed bankruptcy in the past, whether it is Chapter 13 or Chapter 7 bankruptcy, your court records will always be included on the credit report. You file for bankruptcy if you do not have the capacity to pay for the debts that you already have. This kind of public record will be included on your credit report because filing bankruptcy will have a direct effect on your credit score.
Filing bankruptcy does not mean that you debts are paid. You are not required to pay them, but it is the same as not paying them, which is not a good record for your credit score. Your score will surely soar down because of this. Any update on your credit report will be automatically updated in your credit report.
Tax lien will also be seen in your credit report and it is always associated to the failure in paying your taxes. This is a serious problem because not paying your taxes properly in the government will surely have a direct hit to your credit score. You can skip payments on loans, but not on taxes and any other financial responsibilities that you have for the government.
However, even if you have unpaid tax, it will only remain on your credit report for up to 10 years from the filing date. You should also remember that a paid tax lien will only be deleted 7 years from the date it is paid.
This is also a debt, but this is quite different from the other two. This is a debt that you owe to the court because of a lawsuit filed against you. If you failed to pay the lawsuits filed to you, it will be seen in your credit reports in the form of civil judgments.
However, once a civil judgment is paid, it will be updated automatically on your credit score and it will indicate that you paid it already.
If you think that the information on your credit reports related to your public records are incorrect, you can always fix it and ask the credit reporting companies to handle the errors and improve your credit score.