Simple Charge-Off Question

[jbh]

Hey,

If an account with a cc gets delinquent and charges off, and is sent to a collection agency, does the credit reporting agency stil keep any positive payments that took place before it went delinquent or do they disappear instantly? Thus, the account is purely listed as a collection/baddie

Thanks. 

[Chopbrocoli]

There should be 2 accounts. One is a seperate collection account and the other is your account from the OC. The payment history with the OC should not disaaper. The display will show:

Account Status: Charged Off

Etc, etc, etc

Payment History:

OK OK OK OK OKOK OKOK CO 

Jan FebMarAprMayJunJulAugSep

[jbh]

Very helpful. See, the reason I ask is because a debt collector re-aged an old cc account...but magically the OC never lists those payments in between the date it opened and the newly aged date of first delinquency. Very helpful.

Huge help!

Thanks

Message Edited by jbh on 12-03-2008 07:35 AM

[jbh]

Actually, that leads to another q just out of random curiosity:

Would the positive history of that account stay for 10 years but the negative part leave after 7? That'd be interesting to say. How would that work?

Thanks. I'll go away now

[guiness56]

Once an account is CO it is permanently a negative account and will not go back to a positive state.  It will be removed in 7 - 7.5 years.

[llecs]

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guiness56 wrote:

Once an account is CO it is permanently a negative account and will not go back to a positive state.  It will be removed in 7 - 7.5 years.

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Not always. I had a Zales CO that reflected as such back in 1996 or maybe 97 (engagement ring). Anyway, in 2000 or so I PIF, not knowing what a PFD was back then. In 2001, the CO reference was deleted and it read as "Open" with no derogs. It was not reporting monthly though. Fast forward to today. The Zales still reads as "open" with no derog info listed. Now it shouldn't be on the CR as it is closed past 10 yrs, but I won't remind them of that.

On a similar note, DW has a CapOne CO listed as paid (actually sold with no CA chasing after it). TU updated the account in the spring to list 0 lates, paid as agreed, closed, and no mention of a CO. It is prior to the 7 yrs and CapOne updated after they sold it.

This seems to apply to CCs. I agree that there is no reason why a CO non-CC or loan would convert to a good account.

[jbh]

So, would I be doing the right thing by showing them that, if I opened up this account (according to them, it would have been when I lived in California, at 2000/2001) 3 years before the new fake D.O.F.D, the sheer fact that no postive payments posted should be my proof that this is bs. I mean, how could the DOFD and account opening be separated by 2+ years and not have any posted history?

Right?

Thanks