Rebuilding Your Credit

[B0A]

Last summer (12') I paid a CO that was on my account for a few years from GM Financial.  After I paid the CO in full all of my credit reports updated to 48 late payments instead of a CO (Paid in Full).  Is there anything I can do?

[guiness56]

Welcome to the forums.

Did it impact your score?  Is the TL showing paid?

[B0A]

Yes, it dropped my equifax score (FICO) by 30 points.  I tried to dispute it after it was paid, but instead GM financial updated the status to charge off paid.  The balance says zero, but it also updated to 48 missed payments.  This looks really bad.  

[guiness56]

None of the lates are showing after you paid it are they?

How long ago was this CO'd?

[B0A]

GM is no longer reporting anything else since I paid. It was CO'd in 2008.  They told me it would fall off in 2015.  I wish I would not have paid it.  

[guiness56]

Paying it should not have dropped your score.  Something else is has to be going on.  When was the last late reported?

[B0A]

This is copied directly from my report.            

Sep, 2012

Apr, 2006

Dec, 2007

XXXXX5887

$573

Installment

Individual

$408

Auto Financing

Descriptions [?]

• Paid charge off
• Auto

No contact information provided by Equifax

Balance [?] Current Status [?]

$0	Bad debt/collection

Seven year payment history [?]30 days late60 days late90+ days late

4 times

0 times

48 times (Aug 2012, Jul 2012, Jun 2012, May 2012, Apr 2012, Mar 2012, Feb 2012, Jan 2012, Dec 2011, Nov 2011, Oct 2011, Sep 2011, Aug 2011, Jul 2011, Jun 2011, May 2011, Apr 2011, Mar 2011, Feb 2011, Jan 2011, Dec 2010, Nov 2010, Oct 2010, Sep 2010)

Recent payment history [?]9 10 11 12 1 2 3 4 5 6 7 8 9 10 11 12 1 2 3 4 5 6 7 82010 2011 2012

Collection

Worst Delinquency [?]

Bad debt/collection

The Worst Delinquency reports the worst missed payment status that has been documented on this account. Your FICO® score evaluates how recently that missed payment occurred and in general, the more recent, the more impact it has on your score. However, the fact that it occurred is still predictive of future payment risk and could be considered by your FICO® score.

[guiness56]

Was it closed before or after you paid the CO?

The last late payment I see is from Aug 2012.  Has another one been reported?

The current status should say paid collection/CO.

[Shogun]

I'm a little confused on this one.  Where did you get that report from?   It should not have dropped you like it did.  For one thing, I can't believe the OC held onto the account for so long without doing a CO and selling to a CA.  Secondly, I don't like the way it updated after paid.  

On a positive note, it is now paid and you no longer owe the debt.  I would try a few rounds of GW letters and see where that gets you.

[B0A]

I'm pretty sure it was closed before I paid it.  I do know that before it was paid, it did not show late.  But only as a CO.  I got that info from MyFico EQ report.