topic Re: Capital One Card in Rebuilding Your Credit

Capital One Card

dujaidecor — Sat, 16 Jun 2012 17:23:16 GMT

I had a Capital One card that I opened in 2004. Should I just pay it off? Or will it fall off at the end of this year?

Status:
Account charged off. $912 written off. $1,753 past due as of Mar 2012.

Date Opened:
01/2004

Date of Status:
04/2006

Reported Since:
01/2004

Last Reported Date:
03/2012

Type:
Credit card

Terms:
N/A

Monthly Payment:
$0

Responsibility:
Individual

Credit Limit:
N/A

High Balance:
$1,819

Recent Balance:
$1,753

Recent Payment:
$0

Creditor's Statement:
Account closed at credit grantor's request.

Payment history legend

Current/Terms of agreement met

Account 30 days past due

Account 60 days past due

Account 90 days past due

120

Account 120 days past due

150

Account 150 days past due

180

Account 180 days past due

CRD

Creditor received deed

Foreclosure proceedings started

Foreclosed

Voluntarily surrendered

Repossession

PBC

Paid by creditor

Insurance claim

Claim filed with government

Defaulted on contract

Collection

Charge off

CLS

Closed

No data for this time period

Payment History:

2012

MAR

FEB

JAN

2011

DEC

NOV

OCT

SEP

AUG

JUL

JUN

MAY

APR

MAR

FEB

JAN

2010

DEC

NOV

OCT

SEP

AUG

JUL

JUN

MAY

APR

MAR

FEB

JAN

2009

DEC

NOV

OCT

SEP

AUG

JUL

JUN

MAY

APR

MAR

FEB

JAN

2008

DEC

NOV

OCT

SEP

AUG

JUL

JUN

MAY

APR

MAR

FEB

JAN

2007

DEC

NOV

OCT

SEP

AUG

JUL

JUN

MAY

APR

MAR

FEB

JAN

2006

DEC

NOV

OCT

SEP

AUG

JUL

JUN

MAY

APR

MAR

180

FEB

150

JAN

120

2005

DEC

NOV

OCT

SEP

AUG

Account History:
Charge Off as of Mar 2012, Feb 2012, Jan 2012, Dec 2011, Nov 2011, Oct 2011, Sep 2011, Jul 2011, Jun 2011, May 2011, Apr 2011, Mar 2011, Feb 2011, Jan 2011, Dec 2010, Nov 2010, Oct 2010, Sep 2010, Aug 2010, Jul 2010, Jun 2010, May 2010, Apr 2010, Mar 2010, Feb 2010, Jan 2010, Dec 2009, Nov 2009, Oct 2009, Sep 2009, Aug 2009, Jul 2009, Jun 2009, May 2009, Apr 2009, Mar 2009, Feb 2009, Jan 2009, Dec 2008, Nov 2008, Oct 2008, Sep 2008, Aug 2008, Jul 2008, Jun 2008, May 2008, Apr 2008, Mar 2008, Feb 2008, Jan 2
180 days past due as of Mar 2006
150 days past due as of Feb 2006
120 days past due as of Jan 2006
90 days past due as of Dec 2005
60 days past due as of Nov 2005
30 days past due as of Oct 2005

Re: Capital One Card

User592954 — Sat, 16 Jun 2012 17:36:04 GMT

damage was done

let it fall

if you pay it off

it's a negative for another 7 years

now if they want to report you as GOOD ALWAYS PAY IN FULL for paying it off

nice to have a 7 year old positive

but for 7 years you had a negative

now it's gonna drop

if you acknowledge the debt or pay it off

you can get stuck 7 more years with it

so if they want 5% PIF with a CLEAN PAYMENT HISTORY for 7 years

pay it off

but it's not likely they will do that

end of year its like its never been there

sure you might get some dunning calls

but you send out certified letters to the dunners that you have no debt with them and any further contact will resut in legal action

the bank took their credit write off with the irs

the bank sold the note for almost nothing

few months it's gone from bureaus unless you claim the debt or pay on it

SO DO NOT PAY OFF unless you have a contract they report it as always good

since the original debtor sold it, they can't offer that, unless the original bank kept the debt which they never do usually

Re: Capital One Card

dujaidecor — Sat, 16 Jun 2012 17:46:52 GMT

Thanks for the advice. Is it correct it will dropped off Oct 2012 since that was the first delinquent month? Or will it be more like 2013?

Re: Capital One Card

User592954 — Sat, 16 Jun 2012 17:48:46 GMT

it's 7 years from 1st delinquent payment as long as you never made more payments

u might have to notify bureaus though if they keep it past 7 years

so watch for the drop date

then complain to bureaus

Re: Capital One Card

dujaidecor — Sat, 16 Jun 2012 17:52:51 GMT

Thank you for the help:smileywink:

Re: Capital One Card

marty56 — Sat, 16 Jun 2012 18:17:12 GMT

dujaidecor wrote:
Thanks for the advice. Is it correct it will dropped off Oct 2012 since that was the first delinquent month? Or will it be more like 2013?

What date was it charged off? It will not drop off in Oct.

Re: Capital One Card

User592954 — Sat, 16 Jun 2012 18:20:55 GMT

It's illegal for a bureau to report any delinquent CC account past 7 years from the delinquency, CO's are insignificant, it's the first negative payment that triggers 7 years and if the bureaus don't show the drop they will as soon as you complain to them the delinquency is OVER 7 years, so the bureaus will clean it up as soon as you complain

that account is dead 7 years after it goes first delinquency unless you pay on it, that's the trigger, within that account when they charge it off or whatever is insignificant, the law is 7 years on delinquent accounts so october it drops and if not, you certified maill a complaint to all 3 bureaus after you file complaints on line and it will drop fast

Re: Capital One Card

pipeguy — Sat, 16 Jun 2012 23:33:21 GMT

User592954 wrote:
damage was done
let it fall
if you pay it off
it's a negative for another 7 years
now if they want to report you as GOOD ALWAYS PAY IN FULL for paying it off
nice to have a 7 year old positive
but for 7 years you had a negative
now it's gonna drop
if you acknowledge the debt or pay it off
you can get stuck 7 more years with it
so if they want 5% PIF with a CLEAN PAYMENT HISTORY for 7 years
pay it off
but it's not likely they will do that
end of year its like its never been there
sure you might get some dunning calls
but you send out certified letters to the dunners that you have no debt with them and any further contact will result in legal action
the bank took their credit write off with the irs
the bank sold the note for almost nothing
few months it's gone from bureaus unless you claim the debt or pay on it
SO DO NOT PAY OFF unless you have a contract they report it as always good
since the original debtor sold it, they can't offer that, unless the original bank kept the debt which they never do usually

Where do I start? There are so many things wrong with this post that with no personal disrespect directed towards the poster, please IGNORE the advice offered above.

A negative account can be report for 7+ years from the date of first delinquency, additional payments do NOT change the reporting period.

One should always pay whatever debts they create - I understand life gets in the way sometimes, but 5% with "terms", really?.

"certified letters to the dunners that you have no debt with them and any further contact will result in legal action" - again, really? On what basis will you take legal action?

It doesn't matter if the debt is owned by the OC or a CA, reporting a Charge Off carries forward 7- 7.5 years, neither OC or CA is obligated to delete any correct record with the CRAs and I've already mentioned the ethics of keeping ones promises by honoring their obligations.

Re: Capital One Card

marty56 — Sat, 16 Jun 2012 23:33:37 GMT

User592954 wrote:
it's the first negative payment that triggers 7 years and if the bureaus don't show the drop they will as soon as you complain to them the delinquency is OVER 7 years, so the bureaus will clean it up as soon as you complain

No, delinquencies fall off 7 years after it occured not 7 years after the first one occured.

Re: Capital One Card

User592954 — Sat, 16 Jun 2012 18:37:12 GMT

actually the 1997 adjustment to the fair credit act does extend 180 days into the 7 years

legal grounds for legal action

every state has strict dunning rules

legally once a debt is written off a companies 'books' the fact they resold it is irrelevant, the IRS gave them a loss on the debt and it's technically 'satisfied''

I've helped many people clean up old debt and yes, 5% to a company that took the tax writeoff is a gift IMO

as to morals or whatever

debt is debt,there's rules about it

7 years is the window given by laws so anyone can recover from past mistakes

when you're dealing with unsecured credit card debt the problem is the banks were too lienent in the USA with all these cards

when you consider the usurous rate banks charge on these cards I have zero pitty for banks with usurous violations

any credit rate above 10% is usury IMO

banks greed put most into bad debt situations

as to morals

my morals are simple owe no one money

Lived by that for years

I had to reappear on bureaus due to one of my companies maybe doing an IPO

the banks are so screwed up they can't even consider real stuff like net worth when issuing credit cards today

so the 'game is simple' you have to appear in bureaus like a square peg in a square hole

you have a car loan

maybe a mortgage

you have 3 to whatever revolving debt

you keep the revoling low or 0

as the mortgate and installment age you are upper echelons of credit bureaus

you go to a bank with millions of networth and a ghost n bureaus they look at you like you don't exist

so necessary evil

if you have money you need no credit

I did that for years

now with a potential IPO on one of my companies yeah I got to appear in bureaus

all these banks took advantage of the loose IRS rules as to bad debt

when they charge you off, 'legally' that debt is paid in full as far as the 'laws' are concerned

it's their choice, keep the debt and try to get paid or take the write off

so the banks are all double dipping with charge offs and then reselling debt etc

so INFORMATION is the key

morals

the banks are the most immoral institutions in the world

I feel sorry for john doe public

take the info if you can use it

Re: Capital One Card

User592954 — Sat, 16 Jun 2012 18:42:39 GMT

first negative means

when an account first goes 30 days delinquent

that's the trigger

unless the person makes payments and brings it current

so an account could have a 30 day late, then it goes current, then later it goes negative

so the first 30 day negative that isn't 'cured' triggers the 7 years

a bank won't cancel an account the first 30 day late 'usually'

so you can see negatives on an account that get 'cured' meaning the user made it current and the relationship restarted

once you have a negative 30 day hit and the account goes to CO the first 30 day negative when it's no cured is the trigger and the 1997 act seems to have added a 180 day bonus for the banks to still report you negative

but my experience with the bureaus is once 7 years hit the first uncured 30 day late

they will drop the derog upon complaints but technically the lender don't have to drop it until 180 days after the 7 years now, that's a change since 1997

Re: Capital One Card

llecs — Sat, 16 Jun 2012 23:38:51 GMT

I know I'm hammering the same point, but with so many posts to weed through, pardon the duplicity:

Per the FCRA, Sect. 605, OP's CapOne CO cannot legally remain for longer than 7.5 years from the Date of First Delinquency of the debt which might be 10/2005. That'll place the drop off date somewhere between 10/2012 and 4/2013. IME, DW's CapOne CO dropped at 7 yrs. on one report up to 7 yrs and 3 or 4 months on the other two.
Nothing can reset the 7-7.5 yr CRTP. It's illegal to do so. Paying can't reset it. Acknowledging the debt can't reset it. Having it sold to a CA cannot reset it. Nothing can reset it.
Based on what OP posted, CapOne still owns the debt. They will assign CAs to collect, and yes you should send DV letters, but they are still allowed to collect if verified per the FDCPA. OP, I'd remain silent and personally wouldn't send DV letters. CapOne LOVES to sue. I'd save up and remain mum about it until you have 100% saved. This is assuming you are in SOL. Not enough info posted.
OP, once you have 100% saved, I'd either PIF or wait for it to drop then be open to paying if, especially if inside your state's SOL.
COs are very significant. DW's last baddie was a CapOne CO and it raised her scores by 30 or so when it fell off. In fact, most CO'd CCs still factor into CC util. Revolving util is a major score drain if bad.
Usury is relative, and certainly the level is opinionated. For some 5% is too much. For others 30% is just fine. I'm commenting on opinion here, but if a debtor agrees to the rate, is it still usurous? If I sign a car loan at 20%, I wouldn't be so smart. But if I agreed to it, who's to blame?
Part of this thread was removed because it went off-topic, and didn't want to distract from OP's org. question.