How to Remove Closed Accounts From a Credit Report
5 Min Read | Last updated: September 15, 2025
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Learn how closed accounts on credit reports may impact your credit score. See how to remove closed accounts from your credit report in some cases.
At-A-Glance
- Closed accounts may appear on your credit report for a number of reasons and aren’t always a bad sign.
- Depending on the specifics of the account, credit score shifts can be positive or negative.
- Information about closed accounts on your credit report isn’t there forever and may even be removed – under certain circumstances.
No matter how closely you pay attention to your financial history, closed accounts can appear on anyone’s credit report. It may be a credit card you haven’t used in many years, a loan you paid off, or even a mistake by a creditor or the credit bureau. Whatever the reason, a closed account may affect your credit score positively or negatively depending on the specifics of the account.
But there are often ways to manage closed accounts – or even remove them from your credit report.
What Is a Closed Account on Your Credit Report?
Simply put, a closed account is one that has been shut off from future credits or debits. Many different types of accounts can be closed, like credit cards and auto loans. Checking, savings, and brokerage accounts can also be closed. There are several reasons why an account might be closed:1
- Paying off/refinancing a loan: If you pay off a loan or replace it with a new one, the original obligation is gone and the account is terminated.2
- Inactivity: Your creditor could close a dormant account like an unused credit card. This usually takes a year, minimum, but could be much longer in certain cases – for example, a credit card you pay the annual fee for but don’t use.3
- Delinquency: A lender might close your account because of delinquencies, late payments, or default.
- You close the account: Some people choose to cancel a credit card they’re no longer using or close a checking or savings account that charges fees.
- Mistakes: Errors happen. One of the bureaus or your lender could have incorrect or fraudulent information.
It’s easy to forget about an account after it’s closed but that doesn’t remove it from your credit report.
How Long Does a Closed Account Stay on Your Credit Report?
How long a closed account stays on your credit report normally depends on the standing of the account when closed. Accounts closed in good standing, with a positive payment history, can remain for 10 years and may be beneficial to your credit score.1 This is because payment history is an most influential factor in credit scoring models.1 There’s usually no reason to remove accounts like these.
Information about accounts closed in connection with bankruptcy or debt settlement can linger for less time: seven years, by law. However, a Chapter 7 bankruptcy can stay on a credit report for 10 years.4
How Closed Accounts Affect Your Credit Score
How closed accounts affect your credit score can seem a bit contradictory to what you might think. For instance, paying off an auto or home loan is considered a good thing, financially. But it may result in a temporary dip in your score because it reduces the variety of credit types in your mix. Lenders usually prefer borrowers who have learned to handle a good mix of loans and credit lines.
If you don’t use a credit card, it may seem logical to close the account. But closing a credit card would lower your overall credit limit, which can raise your credit utilization and that, in turn, could negatively affect your credit score.1
Closed accounts with remaining balances – like a canceled credit card account with an outstanding balance – may also affect your score negatively. If the account defaulted, it could be transferred to a collection agency. Paying off closed accounts like these should improve your credit score, but you might not see an increase right away.2
How to Get Rid of Closed Accounts on Your Credit Report
There are a few ways to go about getting a closed account off your credit report. If the closed account is an error – or fraudulent – then the credit bureaus and information providers must correct the information in your credit report.
If the closed account is verifiable and legitimate – and has negative information like an outstanding balance or a history of late or missed payments – you still have a few options to remove it:
- Goodwill deletion: You request that the information furnisher removes the negative item out of pure goodwill. This option isn’t always successful, but it’s worth pursuing because the furnisher may remove the negative item if you provide them with good enough reason to believe that the negative behavior won’t recur in the future. For instance, if you have an otherwise clean credit history.5
- Wait: While not the quickest solution, it’s always successful. But 7-to-10 years can be too long for most people to wait, especially if you need to take steps to help improve your credit, and ideally, relatively quickly. If you do choose to wait, though, the information just goes away.
FAQs on Removing Closed Accounts From Your Credit Report
Closed accounts may have either a positive or negative impact on your credit report, depending in part on the account’s standing when it closed. An account in good standing could have a positive impact on your credit score for up to 10 years, while a closed account with a remaining balance could negatively affect your credit score for 7 years.
Paying off the balance on a closed account may help mitigate the damage done to your credit score. However, closed accounts are removed from your credit score in 7-10 years, so waiting is still an option if you cannot pay off closed accounts.
You may be able to reopen a closed account depending on your individual circumstances. Contact your card issuer to find out whether your account may be reopened.6
The Takeaway
Closed accounts can help or hurt your credit score. It’s important to take the time to review your credit report regularly and verify your account information. If closed accounts are hurting your score, you may have options to remove the information from your credit report. Taking a proactive approach to your credit history and using the tools available to update or correct your credit report may help you in the long run.
1 “What Does "Closed Account" Mean on Your Credit Report?,” Experian
2 “What Do “Closed” and “Paid in Full” Mean on Credit Reports?,” Experian
3 “Credit Card Closed? Here's Why and What to Do Next,” Kiplinger
4 “When Are Closed Accounts Deleted?,” Experian
5 “How Do I Get a Paid Collection off My Credit Report?,” Experian
6 “Can You Reopen a Closed Credit Card?,” Experian
Derek Moran is a freelance writer and researcher whose work focuses on digital marketing and financial services.
All Credit Intel content is written by freelance authors and commissioned and paid for by American Express.
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