How Long Does Negative Information Stay on Your Credit Report in Canada?

The Financial Consumer Agency of Canada (FCAC) says the time information stays on your report varies based on three things:

• The type of financial information.
• Your province or territory, because provincial laws limit how long negative information can be kept.
• The credit bureau that created the report (Equifax or TransUnion).

That's why your Equifax and TransUnion reports can look a little different from each other.

FCAC gives these examples:

• Late or missed payments on credit cards and loans: up to 6 years.
• Credit checks by lenders: Equifax keeps them for 3 years; TransUnion keeps them for 6 years.
• Bankruptcy: 6 or 7 years, depending on the province.

Exact province-by-province timelines (for example, how long a consumer proposal, a judgment or a collection account stays in each province): not stated in a single list here, needs verification. Each bureau can confirm the rules for your file.

For a consumer proposal specifically, see our guide on how a consumer proposal affects your credit.

Accounts you've paid as agreed count in your favour, and they often stay longer than the negative ones. According to FCAC:

• Equifax keeps open accounts you've paid on your report for as long as they're open, and closed accounts for up to 10 years.
• TransUnion keeps positive information for 20 years, whether the account is open or closed.

So every on-time payment you make today keeps working for you long after an old late payment has dropped off.

FCAC lists "negative information about accounts that still appear after the maximum amount of time it's allowed to stay" as one of the errors to look for when you check your report. You can ask the bureau to correct it, for free.

• First, get your free credit report from both Equifax and TransUnion.
• Note the date of each negative item and compare it with the limits above.
• If an item looks past its limit, use our Equifax or TransUnion dispute letter template.

You don't have to wait for old marks to disappear before your score starts improving. FCAC says payment history is the most important factor for your credit score, and suggests:

• Making every payment on time, even if it's just the minimum.
• Trying to use less than 30% of your available credit.
• Contacting your lender right away if you think you'll have trouble paying a bill.

Be wary of anyone offering to remove accurate negative information for a fee. Read what paid credit fix companies promise before you pay anyone.