How Long Do Late Payments Stay on Your Credit File in Australia?

Quick Answer: Under Australia's Comprehensive Credit Reporting (CCR) system, repayment history — including late or missed payments — is visible on your credit file for the most recent 24 months on a rolling basis. Older missed payment data rolls off as new data replaces it. A formal default (for debts of $150+ after a notice period) is different — it stays for 5 years from the listing date. Court judgements also stay 5 years. Only defaults listed in breach of the Privacy Act 1988 can be removed before the 5-year expiry.

"Late payment" and "default" are two different things in the Australian credit reporting system — and they stay on your file for very different lengths of time. Most people don't know this distinction, which leads to either unnecessary panic about a missed bill or dangerous complacency about a formal default.

This guide explains both, clearly.

Two Types of Negative Payment Data

Repayment History Under CCR: 24 Months Rolling

Since 2018, most major lenders have participated in Comprehensive Credit Reporting. Under CCR, they report monthly on whether you paid on time, late, or not at all. This data is stored for the most recent 24 months on a rolling basis. For more, see our guide on how long defaults stay on your credit file.

This means:

• A missed payment from 25 months ago is no longer visible in your repayment history
• A perfect payment record over the last 24 months actively builds your score
• A single late payment from 3 months ago reduces your score, but will roll off in 21 months

CCR repayment history is not the same as a formal default. A late payment noted under CCR will hurt your score, but it will disappear within 2 years. A default stays for 5 years. For more, see our guide on how to remove a default from your credit file.

What Triggers a Formal Default (5 Years)

A formal default is listed when:

• The debt is $150 or more
• You have received a written Section 21D notice from the creditor at least 30 days before listing
• The payment has not been made by the notice deadline

Once listed, a default stays on your file for exactly 5 years from the listing date — regardless of whether you later pay it. Australian Credit Solutions offers how we remove worst repayment history marks.

If the Section 21D notice was never sent, the default was listed unlawfully and can be challenged under the Privacy Act 1988 and Credit Reporting Code. Check your reports at Equifax, Experian, and Illion.

Frequently Asked Questions

How long does a missed payment stay on your credit file in Australia? Under Comprehensive Credit Reporting (CCR), monthly repayment data — including late or missed payments — is retained for the most recent 24 months on a rolling basis. Payments older than 24 months are no longer visible. A formal default (for debts of $150+, after proper notice) is different and stays for 5 years from listing. For more, see our guide on how long do late payments stay on your credit file?.

Is a late payment the same as a default in Australia? No. A late payment under CCR is a monthly notation that a payment was made after the due date or not made at all. It affects your score and stays for up to 24 months. A formal default is a separate, more serious entry that occurs after a formal notice process and stays for 5 years. Multiple late payments can lead to a default being listed, but they are recorded differently.

Can a late payment be removed from my credit file in Australia? CCR repayment history notations — unlike defaults — are generally not removable. They represent accurate records of your payment behaviour and roll off naturally after 24 months. If a late payment was recorded in error (you paid on time and the lender reported incorrectly), you can dispute it under the Privacy Act 1988 accuracy obligation.

How much does a late payment affect credit score in Australia? A single late payment typically reduces an Equifax score by 50–100 points, depending on the severity (days late) and the overall composition of the file. A pattern of late payments across multiple accounts compounds the damage. The impact diminishes as the payment ages and rolls off the 24-month window.

Does paying a default remove the late payment entry? Paying a default changes its status from "unpaid" to "paid" in the default section of your file — a separate record from your CCR repayment history. Both entries exist independently. Paying the default doesn't affect the repayment history notations, and the repayment history notations don't affect the default listing timeline.

Worried About What's on Your File?

A free assessment from Australian Credit Solutions reviews your full credit file, distinguishes between what can be challenged and what needs to run its course, and gives you a clear action plan.

Australian Credit Solutions is ASIC-licensed (ACL 532003), lawyer-led by Principal Solicitor Elisa Rothschild, and has helped thousands of Australians navigate their credit files since 2014. No Win No Fee.

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Australian Credit Solutions Pty Ltd holds Australian Credit Licence ACL 532003. Credit repair services are subject to individual assessment. Results may vary. This article provides general information only and does not constitute legal or financial advice.

Related reading: How Long a Default Stays on File → | Default Removal Services → | Credit Score Explained →