Reposting this as we’re coming into July 1st. It seems like that will actually start removing these from their databases starting July 10th. More information here.
The WSJ is reporting that starting around July 1st the three major nationwide consumer reporting agencies (commonly referred to as credit bureaus) will remove tax-lien and civil-judgement data. These negative items will be removed if the items don’t include a complete list of at least three data points: a person’s name, address and either a social security number or date of birth.
The company behind the FICO score is estimating that this will affect roughly 12 million U.S. consumers (~6% of total population) and that just under 11 million people will see a score improvement of less than 20 points. Critics of the change are saying that this will give people that are more likely to default better access to credit.
My personal opinion is that inaccurate negative items that appear on a consumers credit report also greatly affect a consumers access to credit and it’s not unreasonable to ask that these negative items contain those three basic data points mentioned above.
Let me know your thoughts on this change in the comments below.
