Public records such as tax liens, bankruptcies, and civil judgments are included on credit reports and can severely affect your credit score. These records are available to the public and are often a sign of major financial difficulties, which can make lenders and creditors wary of extending additional credit. For example, a bankruptcy can remain on your credit report for up to 10 years, significantly impacting your ability to qualify for loans or credit cards. It’s important to manage financial obligations responsibly to avoid public records from negatively affecting your credit history.

Each of these factors can have a lasting impact on your financial health and creditworthiness, so maintaining a clean and accurate credit history is essential for securing favorable terms on loans and credit offers.