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Established Contributor
AndyK
Posts: 913
Registered: ‎06-09-2011

Disputing closed CC account?

So I was wondering, what happens if you dispute a closed CC account? Would they still verify it, or would it drop off? I don't mean a negative account on your reports - I mean an account closed in good standing.

I'm not really exactly sure where I'm going with this train of thought, but I just suddenly thought of it.

EQ 679 FICO (02/24/2012)
TU 721 FICO (03/10/2012)
EX 703 FICO (05/05/2012)

Cards: NFCU cashRewards $14k, NFCU Platinum $14k, USAA Amex $7k, Amazon Visa $3k, Chase Freedom $2.5k, Amex Zync NPSL, Discover More $1k, Amazon Store $1.3k, Walmart Store $700
New Contributor
PetRaccoon
Posts: 359
Registered: ‎11-29-2011

Re: Disputing closed CC account?

Could you elaborate? I'm not sure what you're trying to say..

TU08:: 754 (4/14) EQ: 745 (6/14) 753 (1/13) Ex: 766 (12/11)
Goal: 800! Then Keep it there and keep growing!~
Card(s): HSBC Premier WMC: 5,000 (7/09), Chase Freedom 6,000 (11/11) BCE 3,200 (12/11) Chase Saph: 5,000 (5/12)
Established Contributor
AndyK
Posts: 913
Registered: ‎06-09-2011

Re: Disputing closed CC account?

[ Edited ]

PetRaccoon wrote:

Could you elaborate? I'm not sure what you're trying to say..



Okay, say you have a credit card account that you closed with a $0 balance - no negatives, no lates, just closed upon customer request. It's just sitting on your credit report as an account closed in good standing. If you disputed that account with the CRA, what would happen? Would the creditor actually verify the account? Or would it just get removed off your report, since it's no longer an open account?

I've read people saying that if you have a closed account that drops off your report early, you'll have a really hard/impossible time getting it added back on. I was wondering if the same would be true in reverse, where they'd drop off easily?

I think I had some master plan as to why that would be beneficial, but I can't think of what it was right now.

EQ 679 FICO (02/24/2012)
TU 721 FICO (03/10/2012)
EX 703 FICO (05/05/2012)

Cards: NFCU cashRewards $14k, NFCU Platinum $14k, USAA Amex $7k, Amazon Visa $3k, Chase Freedom $2.5k, Amex Zync NPSL, Discover More $1k, Amazon Store $1.3k, Walmart Store $700
New Contributor
Nightfallx
Posts: 134
Registered: ‎04-25-2011

Re: Disputing closed CC account?

[ Edited ]
They won't remove it for 7 years, it would probably hurt your fico if you removed it because of the aaoa
in my wallet:
Amex Zync : NPSL (main card always pif)
Discover More: 6,500$ (no balance)
Chase Sapphire : 5000.00$ (no balance)
Citi Thank You Card backed by Amex 8,200$ (no balance)
Amex Blue Cash 21,000$
Best Buy Store Card : 5,700$ (I'm a nerd so used a lot)
Established Contributor
AndyK
Posts: 913
Registered: ‎06-09-2011

Re: Disputing closed CC account?

[ Edited ]

Nightfallx wrote:
They won't remove it for 7 years, it would probably hurt your fico if you removed it because of the aaoa


I thought it was 10 years for positive accounts?

Oh, that AAOA thing reminded me of what I was thinking!

Say you apply for a card and get approved, but the terms (or CL) are awful, and you decide you really don't want it. You'll take the ding for the inquiry, for a new account being opened, and your AAOA going down because of the brand new tradeline.

 

But if you closed the account in good standing and then disputed it, and it was removed from your report, you'd only end up with the inquiry damage - you wouldn't have it hurting your AAOA.

EQ 679 FICO (02/24/2012)
TU 721 FICO (03/10/2012)
EX 703 FICO (05/05/2012)

Cards: NFCU cashRewards $14k, NFCU Platinum $14k, USAA Amex $7k, Amazon Visa $3k, Chase Freedom $2.5k, Amex Zync NPSL, Discover More $1k, Amazon Store $1.3k, Walmart Store $700
New Contributor
PetRaccoon
Posts: 359
Registered: ‎11-29-2011

Re: Disputing closed CC account?

The account keeps aging, at least, from what I was told the other day, even if closed.

TU08:: 754 (4/14) EQ: 745 (6/14) 753 (1/13) Ex: 766 (12/11)
Goal: 800! Then Keep it there and keep growing!~
Card(s): HSBC Premier WMC: 5,000 (7/09), Chase Freedom 6,000 (11/11) BCE 3,200 (12/11) Chase Saph: 5,000 (5/12)
Moderator Emeritus
MarineVietVet
Posts: 14,084
Registered: ‎07-14-2009

Re: Disputing closed CC account?


AndyK wrote:

Nightfallx wrote:
They won't remove it for 7 years, it would probably hurt your fico if you removed it because of the aaoa


I thought it was 10 years for positive accounts? Generally that's how it works.

Oh, that AAOA thing reminded me of what I was thinking!

Say you apply for a card and get approved, but the terms (or CL) are awful, and you decide you really don't want it. You'll take the ding for the inquiry, for a new account being opened, and your AAOA going down because of the brand new tradeline.

 

But if you closed the account in good standing and then disputed it, and it was removed from your report, you'd only end up with the inquiry damage - you wouldn't have it hurting your AAOA. On what basis would you dispute it? It's not reporting incorrectly..


 

Established Contributor
AndyK
Posts: 913
Registered: ‎06-09-2011

Re: Disputing closed CC account?


PetRaccoon wrote:

The account keeps aging, at least, from what I was told the other day, even if closed.



Over time, yes, it will. I'm talking about short term benefit.

If you had two cards, one with a 6 year history and one with a 2 year history - your AAOA would be 4 years. If you added a new card, it would drop your AAOA down to  2.6 (so probably 2) years. Over time, that new account would age, even if closed. But if you closed it and got it removed right away, it would bump your AAOA back to 4 years. So short-term, you'd get your AAOA back up.

With as short of a credit history as I have, it makes no difference to me at this point, I'm just curious if it would theoretically work. I'm not sure if it's really legitimate or not, but considering you can get GW letters written to remove BAD accounts, I can't imagine you wouldn't be allowed to remove a GOOD account from your history.

EQ 679 FICO (02/24/2012)
TU 721 FICO (03/10/2012)
EX 703 FICO (05/05/2012)

Cards: NFCU cashRewards $14k, NFCU Platinum $14k, USAA Amex $7k, Amazon Visa $3k, Chase Freedom $2.5k, Amex Zync NPSL, Discover More $1k, Amazon Store $1.3k, Walmart Store $700
Established Contributor
AndyK
Posts: 913
Registered: ‎06-09-2011

Re: Disputing closed CC account?


MarineVietVet wrote:
On what basis would you dispute it? It's not reporting incorrectly..  


I don't really have a good answer to that.

I just figured that people get late payments removed and derogatory accounts removed, and those are often accurate and correct. They just manage to dispute it or get a GW letter written to get it removed. And those are negative accounts - you'd think removing a positive account from your history would be less frowned upon than removing a negative account.

EQ 679 FICO (02/24/2012)
TU 721 FICO (03/10/2012)
EX 703 FICO (05/05/2012)

Cards: NFCU cashRewards $14k, NFCU Platinum $14k, USAA Amex $7k, Amazon Visa $3k, Chase Freedom $2.5k, Amex Zync NPSL, Discover More $1k, Amazon Store $1.3k, Walmart Store $700
Moderator Emeritus
MarineVietVet
Posts: 14,084
Registered: ‎07-14-2009

Re: Disputing closed CC account?


AndyK wrote:
I don't really have a good answer to that.

I just figured that people get late payments removed and derogatory accounts removed, and those are often accurate and correct. They just manage to dispute it or get a GW letter written to get it removed. And those are negative accounts - you'd think removing a positive account from your history would be less frowned upon than removing a negative account.

Just a very gentle reminder that disputing accurate information is considered unethical credit repair.

 

 

 

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EX - 3/11 pulled by lender- 835, EQ - 2/11-816, TU - 2/11-782

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