What are derogatory or negative credit items?
A derogatory or negative credit item is a bad mark on your credit. For example, if a creditor says you are 30 days late on a payment, it’s considered a derogatory or negative credit item. Other examples of derogatory or negative credit items include: other late payment information in increments like: 30, 60, 90, 120, 180 days late; loan default; collections; charge-offs; judgments and foreclosures. Judgments are also considered public information. Bankruptcy is also considered a derogatory or negative credit item. What is a charge-off? If you become seriously delinquent on an account, which most people who have filed bankruptcy have, the creditor may decide that you probably won’t pay the debt. If this happens, the creditor writes the debt off as a loss for tax purposes—the charge-off. However, even though the creditor writes off the debt, they still will continue to attempt to collect on the debt until they are notified that you have filed for bankruptcy. Charge-offs, like other derog
