Credit rating default how long
Equifax says that most late payments and negative accounts (accounts that are overdrawn or in debt) can remain on a credit report for up to seven years from the date of the first missed payment, while some bankruptcy public records can stay on a credit report for seven to 10 years. The vast majority of defaults have occurred among the lowest-rated issuers. The 31-year average for securities rated AAA (the highest rating) and AA were 0.0% and 0.2%, respectively. Comparatively, the default rate among B-rated issuers (the second-lowest) was 3.44%, but for the lowest tier, CCC/C, the default rate was 26.63%. Among other services, Fitch generates credit ratings - called "Issuer Default Ratings" - for a range of business sectors. An "issuer" may be a financial or nonfinancial corporation, a sovereign company or an insurance company. A "Default Rating" is the measure of an agency's credit risk.