Account wrongly reported as closed with Experian?

[Anonymous]

Hey there,

I searched for this topic but the community is so vast. Please move if Im not in the right place.

Quick back story, I've monitored my credit score for a few years only through Equifax, but of course that wasn't giving me the bigger picture. So, I switched to myFico.

I have a credit card that is a few years old, and I use anywhere between 1-5% utilization to capitalize on rewards. Credit limit 9000. I found out today that Experian has the card listed as closed, and has been for the past 2 years. EX and TU are accurate. I think this is why my Experian Fico score is much lower than the other two, but I'm not sure. 

Anyone experience this and successfully disputed to have it showing as open and active on their credit report? Will a dispute be all I need to do, or should I contact NFCU and ask them to fix? I'd like to get approved for a mortgage soon, and if this showing up through Experian will bump myFico score then I'm all for it.

Thanks for any feedback.

[RobertEG]

I would not file a formal dispute until you have first spoken with the creditor and obtained their review and assistance.

If it is simply a reporting error and the account is in fact open (which will likely be so if you have been able to use the card), they can easily correct such an error without any need for a formal dispute.

A formal dispute temporarily removes certain information from scoring, and can lead to other problems, such as lack of prompt update of removal of the pending dispute flag once the dispute is concluded, that can effect a mortgage application process.

As for scoring, if you have been maintaining a balance of 1-9% on the card, it has been included in util scoring the same as an open account, and there would likely be no scoring impact under FICO.

[medicgrrl]

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@RobertEG wrote:

I would not file a formal dispute until you have first spoken with the creditor and obtained their review and assistance.

If it is simply a reporting error and the account is in fact open (which will likely be so if you have been able to use the card), they can easily correct such an error without any need for a formal dispute.

A formal dispute temporarily removes certain information from scoring, and can lead to other problems, such as lack of prompt update of removal of the pending dispute flag once the dispute is concluded, that can effect a mortgage application process.

As for scoring, if you have been maintaining a balance of 1-9% on the card, it has been included in util scoring the same as an open account, and there would likely be no scoring impact under FICO.

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Wouldn't it have the potential to affect his score because the $9000 CL isn't being used in calculating utilization?  

[RobertEG]

As long as the credit report continues to show the credit limit on the card, it will continue to be scored under % util if it also shows a balance.

Closing does not remove the account from util scoring until it becomes $0 balance.

It is unclear from the post as to how the card could both be closed to further use for a couple of years, and yet continue to be at 1-9% util unless payments were not being made, and thus the account is delinquent.  Minimum payments would result in an account with a % util of under 10% being paid off within a few months unless additional charges were being made.  However, the post does not address that issue.....