Timeline
According to Experian, credit scores can change any time. That means there is not a certain date that the FICO scoring system evaluates and updates credit scores. Credit agencies such as banks and auto loan companies usually report account statuses once each month. The creditors report information on balances, payments and available credit. They also report negative information such as charge offs and collection accounts. Charge offs are very bad for credit and indicate that the credit agency closed the account because of nonpayment. Collection accounts occur when charge offs are assigned to collection agencies. Some credit agencies may report information to the credit bureaus at the end of each month, but they are free to report whenever they want.
Court Records
Some credit information is gleaned from court records and could appear on credit reports at any time. Experian and other credit bureaus monitor court records for court judgments, foreclosures and bankruptcies. Negative information from court records severely harms credit. Judgments and foreclosures remain on credit reports for seven years, and bankruptcy information remains for 10 years.
Monitoring
Debtors can monitor updates to their credit report through AnnualCreditReport.com. The site offers people three free credit reports each year under the terms of the Fair Credit Reporting Act. Each report includes instructions for ordering a credit score separately, for a fee.
Credit Repair
Some so-called credit repair agencies advertise that they can cause updates to credit scores by removing negative information from credit reports. However, the Federal Trade Commission maintains there is no way to legally remove negative information from credit reports unless the information is wrong or outdated.
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