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VIC Debt and Bankruptcy - Will Credit History be Fixed in 5 Years?

Discussion in 'Debt and Bankruptcy Law Forum' started by CHIMPU, 19 December 2015.

  1. CHIMPU

    CHIMPU Member

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    Hi,

    I am really confused about credit history and bankruptcy, so let me tell you what actually happened.

    I was in huge debt in 2010 and wanted to get rid of everything. It was like 50,000 dollars debt some with banks and some with telco companies etc. I left the country in 2010 and because of some reason, I again came back in 2011. I thought credit history will be fixed in 5 years, am I right? Or do I have to declare bankruptcy and then it will be fixed in another 5 years or even 7 years?

    In 2011, I accessed my credit report and it says on every default when it will be removed and the last one was due to be removed in November 2015 which has already gone. So, does that means my credit history is now a clean slate or does it still have any info in it? And if it is now clean, how do I start fresh?
     
  2. Sophea

    Sophea Well-Known Member

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    Hi CHIMPU,

    After 5 years the following will be deleted from your credit history:
    • Any credit enquiry
    • Overdue accounts listed as a payment default
    • Overdue accounts listed as clearouts
    • Writs and summons
    • Court judgments
    With bankruptcy the length of time the information remains on file could vary depending upon when the bankruptcy, debt agreement or personal insolvency agreement was entered into and when it ends.

    I would contact your credit provider and request a credit history report. I believe you can do this every 12 months.
     
  3. CHIMPU

    CHIMPU Member

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    I am very thankful to you for replying.

    I have an old credit file which is from 2011. In this credit history, all the credit enquiries and payment defaults are listed and that's what you have written above that these will be removed, which is a good news?

    Now, I need to know how I can have a fresh start with my credit history now as it's been more than 5 years. I will not be applying to the creditors where the default was as I understand that they will never approve my credit. The question is, how do I start a new credit history?

    Also, I think applying for credit history copy again is a little risky as I don't want to notify credit corp about my whereabouts as I don't want any calls or letters from them.

    Also, I didn't apply for bankruptcy or anything like that as I didn't even know about it. I just didn't apply for any credit anywhere or notified anyone.
     

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