03 Apr How Long Does Credit Clearance Take?

Once you submit your ITC clearance, it might feel like you have to wait forever. You’ve gone through an arduous Debt Review, you’ve gotten your debt clearance certificate, and now you’ve applied to credit bureaus to dispute discrepancies. You may even be unsure of how long you have to wait, what happens next, and what you can do to hurry along the process. This article aims to answer all these questions in a way that’s easy to understand yet in-depth. Read on for how long ITC clearance really takes.

How long should ITC clearance take?

Not to sound too much like a lawyer.., but it depends. Different credit bureaus might have different eligibility requirements– you might have to submit an array of documents, talk to representatives, and wait, wait, wait. Of course, our friendly team is happy to help you with credit clearance— we’ll liaise with the bureaus on your behalf to ensure speedy credit clearance. Because everyone deserves to be financially free.

If you’re fully paid up– no judgments, no defaults– you owe nothing, and you have a clearance certificate with a good credit record, the process should take 7-20 days.

What affects credit clearance timelines?

In short, it depends on the type of negative information in your report. For instance, the Debt Review flag can last for as long as 5 years unless you have a lawyer to negotiate with bureaus and/or courts on your behalf.

Sorry to say– credit clearance isn’t always quick or easy. In fact, the timeframe around credit clearance depends on many factors, including whether you’re fully paid up and the type of debt you’ve accrued.

Delinquency

Delinquency is when you default (don’t pay) your debt. The typical reporting period is usually around 7 years. Luckily, the more time passes, the less of an impact it has on your credit report, especially if you show you’ve turned a new leaf and are now responsible for credit. If you act quickly by paying within 30 days of the original due date, a late payment will generally not be recorded on your credit reports. After 30 days, you can only remove falsely reported late payments.

Debt Collection

Debt collection agencies contact you via cellphone or email to convince you to pay your debt. Once you’ve paid your default, however, the lender whom you’ve borrowed from has a week, 7 days, after you’ve told them that you’ve paid to update your credit report. You can also negotiate with creditors to get them to update their records with a “paid” status.

Public Records

Public records can be assessed as bankruptcy or a judgment. It’s granted by the court to a consumer (that’s you) after you don’t pay your debt. It stays on your report for 5 years, as set by the National Credit Act.

What you can do to expedite the process

To clear your credit more quickly, it’s important to have solid evidence you can use to back your argument. This can be documents like letters, receipts, emails, and cancellation notices. Make sure all correspondence with creditors, courts, and your debt counsellor is immortalised in writing so you can use it later. If the process seems to drag more than it should, you can always contact the bureaus to check on their progress. If they haven’t made progress, or refuse to clear the negative information even with your provided information, you can always contact the credit Ombudsman.

It’s important to realise that if you have bad credit, bureaus are much less likely to remove negative information. Consider building positive credits and history before asking for clearance, as this shows you are financially responsible. This can take a few months, but it’s worth it.

In conclusion, the period between debt clearance and when you’ve paid depends on the sort of debt you have to your name and whether you have good credit. If you need help with debt clearance or ITC clearance, Credit Boost is here to help! Get in touch with us, and a representative will get back to you as quickly as possible. Last but not least: if you’d like to see whether you have good credit, use our 100% free and easy credit checker.