✅ Derogatory marks can lower your credit score and affect your standing with lenders, making it harder to get approved for loans or good credit terms. The more derogatory marks on your report, the lower your credit score will be and the more of a credit risk you will appear.

✅ Your recent credit history is also a factor in the way derogatory marks affect your credit. For instance, showing you’ve made payments on time over a three year period is more important to lenders than a repossession four years ago.

💡 The sooner you address the derogatory mark, the faster your score can recover.